Dubai Financial Market (DFM) announced on Monday that its net profit before tax surged to Dh195.4 million for the period ending June 30, 2024, representing a substantial 74 percent increase compared to the same period in 2023. The first half of 2024 witnessed heightened trading activity, increased trade values, and a surge in new investors. DFM's total consolidated revenue jumped by 40 percent to Dh305.7 million in the first half of 2024, up from Dh218.1 million in the same period of 2023. This revenue includes Dh154 million from operating income and Dh151.7 million from investment returns and other income. Total expenses excluding tax rose to Dh110.3 million compared to Dh106 million in H1 2023.
The first half of 2024 saw a notable increase in trading activity on the DFM, with the total number of trades reaching 1.07 million, a 22 percent rise compared to the same period in the previous year. Moreover, the total trading value increased by 4 percent to Dh48 billion. The DFM General Index experienced a slight decline of 0.73 percent. In the first half of 2024, DFM attracted 72,583 new investors, with 85 percent being from foreign countries. Institutional investors were particularly active, accounting for 66 percent of the trading value, with net purchases by foreign investors totaling Dh1.2 billion.
DFM achieved significant success in H1 2024 with its IPO listings. In March, Dubai’s parking operator Parkin surged over 30 percent upon its public debut, achieving an unprecedented oversubscription level of approximately 165 times for all tranches combined, a record for the exchange. In May, Spinneys, a premium grocery retail operator, also went public with its offering oversubscribed by 64 times. The offering attracted significant interest from retail investors, with the UAE retail offering being increased accordingly. Market capitalisation of DFM listed companies stands at Dh679 billion in H1 2024, with sector distribution by market capitalisation as follows: Financials at 42 percent, Utilities at 20 percent, Real Estate at 18 percent, Industrials at 13 percent, Communication Services at 4 percent, with other sectors, including Consumer Staples, making up the remainder.
Helal Saeed Al Marri, Chairman of DFM, stated: “We are proud to report a robust performance in the first half of 2024, reflecting the solid foundation we’ve built. The success of our Capital Market Summit underscores our commitment to fostering a dynamic marketplace that encourages global dialogue and collaboration. We will continue to deliver value for our stakeholders by focusing on innovation, strengthening our infrastructure, and diversifying our services and products offerings. These efforts reinforce the exchange’s position as a leading financial market in the region, solidifying Dubai’s stature as a key player on the global financial stage.” Hamed Ali, CEO of DFM and Nasdaq Dubai, commented: “DFM’s steady growth in the first half of 2024 is a testament to our strategic initiatives and the confidence of our investors. Our commitment to innovation is driving new opportunities for both companies and investors, as exemplified by the announcement of ARENA and the enhanced iVestor App. The success of public listings from both government and private entities highlights the depth and resilience of our markets. Additionally, the increase in our foreign investor base can be attributed to the success of our international roadshows, showcasing global appeal and robust investment opportunities within Dubai’s financial markets. We look forward to continuing this momentum and unlocking new opportunities for our stakeholders.”
