DUBAI, 30th November, 2022 (WAM) — The Board of the Investment Corporation of Dubai (ICD), approved ICD’s consolidated financial results for the six months ended 30th June, 2022.
The Board of Directors meeting was chaired by H.H. Sheikh Hamdan bin Mohammed bin Rashid Al Maktoum, Crown Prince of Dubai and Chairman of Dubai Executive Council, Chairman of ICD, and in the presence of H.H. Sheikh Maktoum bin Mohammed bin Rashid Al Maktoum, Deputy Ruler of Dubai, Deputy Prime Minister, Minister of Finance, and Vice-Chairman of ICD.
The ICD generated record revenues of AED121.1 billion and record net profits of AED14.8 billion during H1 2022, dwarfing last year’s first-half earnings. All business segments of ICD, the principal investment arm of the Government of Dubai, contributed to this outstanding achievement.
Sheikh Hamdan attributed the exceptional performance to the vision and encouragement of His Highness Sheikh Mohammed bin Rashid Al Maktoum, Vice President, Prime Minister and Ruler of Dubai, to make Dubai one of the primary champions of global economic growth.
“The 61 percent growth in ICD’s revenues and a more than ten times increase in its profits during the first half of 2022, despite the global economic slowdown and uncertainty worldwide, reflects the resilience and robustness of Dubai’s economy and the prudence of its fiscal policies. The exceptional results are a manifestation of His Highness Sheikh Mohammed bin Rashid’s vision to ensure that Dubai remains at the forefront of championing global economic recovery,” he said.
“We are proud to record ICD’s best-ever financial performance during the first half of a year, underscoring Dubai’s position as one of the world’s most dynamic, resilient, and future-ready cities. By embracing change and innovation, Dubai offers an exceptional and exemplary model to emulate for shaping the new world economic paradigm. We will continue to foster innovation, especially in future-focused sectors, while driving efficiency and implementing confidence-boosting measures in our traditional economic pillars to set new benchmarks and enhance Dubai’s global competitiveness and status as the world’s premier business and investment hub,” Sheikh Hamdan added.
The ICD’s first-half revenues reached a record AED121.1 billion, a 61 percent increase compared to the same period last year.
The Group, mandated with the management of the Government of Dubai’s portfolio of commercial companies and investments, witnessed a significant surge in travel and tourism activities, reflected in the growth in Transportation and Other segments, while its Oil & Gas revenues received a sizeable boost on the back of substantially higher international oil prices.
The Group reported record first-half net profits of AED14.8 billion, up more than ten times over the same period last year, with Transportation returning to profitability in a significant turnaround, Oil & Gas improving its profits by 190 percent, and the Other segment increasing by 129 percent buoyed by record earnings from aluminium production and strong fundamentals in the real estate and hospitality sectors.
The results attributable to the equity holder were net profits of AED12.2 billion.
ICD’s assets resumed their growth and reached a record AED1.136 trillion on the back of a much higher level of activity overall. The Group’s liabilities were up marginally to AED887.5 billion, while borrowings and lease liabilities slightly declined.
The Group’s share of equity increased by 4.8 percent to AED199.8 billion.
Mohammed Ibrahim Al Shaibani, Managing Director, Investment Corporation of Dubai, said, “ICD’s record revenues, earnings and assets for the first half of 2022 are an impressive achievement as the expansion of our businesses accelerated despite the global economic slowdown. Benefiting from favourable local and regional economic momentum, our companies redeployed operational capacity whilst maintaining a strong discipline on costs.
“Despite the challenging global economic outlook, ICD maintains a strong balance sheet, is confident of the growth potential of its businesses and will remain cautious and selective in how it deploys new capital whilst exploring new investment opportunities.”