Dubai Financial Market Company (PJSC) announced today its financial results for the first quarter of the year ending March 31st 2011, recording a net profit of AED 2.18 million, a 98% increase compared to the fourth quarter of 2010.
The Company recorded total revenue of AED 48.7 million in Q1-11 compared to AED 55.6 million during Q4- 2010. The first quarter of 2011 revenues comprised of AED 33.58 million of operating income and AED 15.12 million of investment returns. DFM Company operating expenses reached to AED46.52 million compared to AED 54.5 million recorded during the previous quarter.
It is noteworthy that DFM trading value reached to AED 10.9 billion during the first quarter of 2011 compared to AED 11.9 billion in the last quarter of 2010.
Abdul Jalil Yousef Darwish, Chairman of Dubai Financial Market (PJSC) said: “DFM Company pursues an ambitious strategy to diversify revenue streams and downscale reliance on trading commissions as the main source of income. Since the beginning of this year we have started the implementation of this strategy which will reflect positively on our revenues and profits and maximize shareholders’ value. The diversification strategy is stemmed from DFM’s devotion to achieve a more balanced revenue structure similar to the prevailing ratios within the international financial markets. This effort does not contradict with our profound confidence that the low trading activities are purely passing circumstances mainly due to the repercussions of the global financial crisis and these conditions are going to improve in light of the sound fundamentals of the UAE economy.”
Essa Abdul Fattah Kazim, Managing Director and CEO of Dubai Financial Market (PJSC) said: “The Company’s efforts to diversify revenue sources began to materialize over the last few months with the accomplishment of two significant steps. Firstly, we have successfully signed agreements to sell market data to 14 local, regional and international data vendors and secondly, we have applied listing fees in April 2011. Additionally, the daily average of DFM trading value has improved to AED 250 million in April 2011 compared to AED 170 million in the first quarter of this year. We hope that this growth will gain momentum to further support the company’s revenue and profit through the rest of the year.”
DFM interim condensed consolidated financial statements for the period ended 31/03/2011