Dubai Financial Market Records 171% Surge in Q1 2024 Net Profit

Dubai Financial Market Soars with 171% Increase in Q1 2024 Net Profit

Dubai, UAE: The Dubai Financial Market (DFM) has achieved remarkable financial growth in the first quarter of 2024, reporting a staggering 171% surge in net profit before tax, soaring to Dh 95.6 million compared to Dh 35.3 million during the corresponding period of 2023. This substantial increase underscores the exchange’s robust performance and strategic resilience amidst evolving market dynamics.

Rapid Revenue Expansion

DFM’s total consolidated revenue experienced a substantial uptick, climbing by 64% to Dh 148.1 million in Q1 of 2024, compared to Dh 90.1 million during the same period in 2023. Notably, the total revenues comprised Dh 62.5 million in operating income and Dh 85.6 million in investment returns and other income. Meanwhile, total expenses excluding tax amounted to Dh 52.5 million, reflecting a prudent management approach in cost containment.

Vibrant Trading Activity

During the first quarter of 2024, DFM witnessed a surge in trading activity, with the trading value exceeding Dh 25 billion compared to Dh 19 billion in the corresponding quarter of 2023. This vibrant trading environment underscores investor confidence and market buoyancy, driving robust liquidity and investment opportunities within the exchange.

Stakeholder Value Creation

Helal Saeed Al Marri, Chairman of DFM, expressed pride in the exchange’s strong performance, highlighting the successful listing of Parkin as the first IPO of 2024. This accomplishment reflects DFM’s commitment to expanding market offerings and fostering growth and diversification, ultimately delivering value to stakeholders. The impressive performance of the DFM General Index, advancing by 4.59%, and the 6% increase in market capitalization to Dh 730 billion further underscore the market’s confidence in DFM’s strategic direction.

Foreign Investor Confidence

Foreign investors continued to demonstrate confidence in DFM, maintaining a strong presence with a market share of 47% of trading value and net purchases of Dh 1.3 billion during the first quarter. Institutional investors also contributed significantly, with a 65% share of trading value and net purchases of Dh 717 million. The influx of 44,259 new investors, predominantly foreign, reflects growing market interest and confidence in DFM’s trading and IPO opportunities.

Strategic Vision for the Future

Hamed Ali, CEO of DFM and Nasdaq Dubai, emphasized the exchange’s commitment to excellence and innovation in meeting the evolving needs of customers and stakeholders. With this positive momentum, DFM is poised to achieve its strategic objectives and reinforce its position as a global financial hub. The exchange remains dedicated to delivering sustainable value to all stakeholders and looks forward to the future with confidence and optimism.