Waha Capital, a leading investment company in Abu Dhabi, has reported a net profit of AED265 million ($73 million) in the first half (H1) of 2021, compared to a net loss of AED27 million in the same period of 2020.

The company attributed the growth to returns delivered by its public markets funds management business.

In the second quarter, net profit was AED154 million, a 39 percent increase sequentially and 42 percent lower than a year earlier. Meanwhile, the company continued its disciplined approach to enhancing efficiencies, with the cost to income ratio for the first half improving to 26 percent from 31 percent a year earlier.

The Public Markets business, which manages emerging markets credit and equity funds, delivered healthy returns on proprietary investment made by Waha Capital as well as fee income from third-party investors.

The business reported net income of AED320 million during the first half of the year. The Private Investments business produced net income of AED34 million during the period from its diversified portfolio of global assets, which include exposure to healthcare, industrial real estate, energy, travel, and US equities.

Waleed Al Mokarrab, Chairman of Waha Capital, said: "Waha Capital has successfully navigated the diverse challenges presented by the pandemic over the last 18 months, including widespread economic disruption as well as volatility in global capital markets and in oil prices. The positive financial performance in the first half of the year and a robust balance sheet provide solid foundations for the company as it embarks on its next phase of growth.''

''The Executive Management team, with the full backing of the Board, is taking a rigorous approach to implementation of a strategy to develop further depth and scale in both the funds management business and the private investments business. Our objective is clear: to deliver continuous value creation to shareholders within a world class governance framework," he added.

Ahmed Khalifa Al Mehairi, Chief Executive Officer of Waha Capital: “Our strong first-half results are testament to the capacity of Waha Capital to deliver stable and sustained financial performance through economic and market cycles. The Public Markets business has grown into a significant emerging markets money manager, with assets under management of over $ 1 billion, and our funds have continued to provide attractive returns to Waha Capital and third-party investors.

“The Private Investments portfolio remains resilient, and we continue to assess opportunities to recycle capital selectively into new areas of growth. As the global operating environment gradually improves, Waha Capital is well positioned to deliver on its clear strategy for further growth.” – TradeArabia News Service