Waha Capital: $25.6 Million Net Profit in Q2 Abu Dhabi Stock Exchange
Waha Capital, a prominent investment management firm with Mubadala Investment Company as one of its major shareholders, experienced a remarkable turnaround in the second quarter, generating a net profit of Dh93.9 million ($25.6 million) attributable to owners.
Waha Capital Achieves Strong Q2 Profits Amid Economic Resilience
This impressive growth was largely driven by favorable returns from its capital markets business. In stark contrast, during the corresponding period of 2022, the company had reported a loss of Dh59.3 million. The positive trend continued, as Waha Capital disclosed a net operating income of Dh259 million from April to June, a significant improvement compared to a loss of Dh54.2 million in the same period last year. Mohamed Al Nowais, the managing director, credited the company's prudent approach for its resilience and successful performance despite global economic uncertainties.
Waha Capital's Solid Growth Strategy Drives Impressive Q2 Profits
Waha Capital's public markets division has been consistently delivering robust results since its inception, with the flagship funds surpassing their benchmark indices in 2023. Additionally, the company's strategic focus on the private investments business began bearing fruit, as evident from significant growth and successful investments in the global opportunities and core portfolio. Moreover, they have strategically monetized mature assets under the legacy portfolio, showcasing a well-thought-out growth strategy. Mr. Al Nowais, the managing director, was appointed to lead Waha Capital during its next phase of growth and development, and under his guidance, the company reported a net profit attributable to owners of Dh168.9 million for the first half of this year, a substantial increase from the net profit of Dh87.3 million during the same period in 2022.
Waha Capital's Public Markets and Private Investments Shine in Q2 Performance
The public markets division emerged as a standout performer for Waha Capital, registering a net profit of Dh155 million in the second quarter, which is an impressive improvement compared to a loss of Dh53.7 million in the corresponding period last year. Similarly, the private investments business exhibited positive signs, narrowing its Q2 loss to Dh3.3 million from Dh2.2 million in 2022's second quarter. Furthermore, the wholly-owned subsidiary of Waha Capital, Waha Land, displayed strong performance by recording a net profit of Dh8.3 million in the three months ending June, operating in the light industrial real estate sector.
Waha Capital Cautiously Optimistic Amid Uncertain Economic Landscape
Despite an expectedly uncertain macroeconomic environment ahead, characterized by slow growth, high inflation, and geopolitical risks, Waha Capital remains cautiously optimistic about the future. The company's total assets under management reached Dh10.2 billion as of June 30, a considerable increase compared to Dh9.49 billion at the end of last year, reflecting its sustained growth and prudent investment management practices.