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Alpha Dhabi records Dh4.6 billion net profit in first quarter of 2024

Alpha Dhabi records Dh4.6 billion net profit in first quarter of 2024
6 May 2024 11:05

ABU DHABI (WAM)


Alpha Dhabi Holding reported a Group Net Profit of Dh4.6 billion for the first quarter of 2024, showing continued momentum in executing its strategy across key verticals and commitment to generating higher shareholder value.

With strong financial results across the Group, Q1 '24 was marked by record Revenue of Dh14.2 billion (an 11% increase year-on-year 'YoY'). The period also witnessed a stellar jump of 232% in net profit from operations compared to Q1 2023. The Group also reported a 29% YoY increase in its cash balance to Dh21.5 billion.

"Alpha Dhabi's significant profitability demonstrates our ability to effectively execute our growth strategy, and it points to the ongoing pursuit of excellence," said Mohamed Thani Alrumaithi, Chairman of Alpha Dhabi Holding. "Overall, our results for the quarter tell a story of continual year on year growth, sending a strong signal about our commitment to vital sectors in the UAE's present and future economy."

CEO of Alpha Dhabi Holding Hamad Al Ameri said, "Alpha Dhabi has started 2024 in the same way as we finished 2023, by delivering strong performance and building on our relentless growth momentum. Our record revenue of Dh14.2 billion as well as a jump of 232% in net profit across our core operations reflect the pace at which we're moving to capture opportunities across our diversified portfolio and throughout the investment landscape. Fundamentally, we're primed to continue making investments that position us for future growth and deliver meaningful impact across our vibrant economy."

The strong performance in the quarter is attributed to a combination of factors, most notably organic expansion across its portfolio and strategic acquisitions, underscoring the Group's commitment to enhancing shareholder value. Alpha Dhabi's diversified and agile portfolio has been a significant driver behind continued growth.

Total gains in the quarter at Dh2.0 billion, were lower than corresponding period in 2023 when the Group de-recognised Pure Health. The reduction in gains, together with the adoption of Corporation Tax in the UAE in 2024, contributed to a decrease in Group Net Profit, overall.

The Group's financial position remains strong, boasting total assets of Dh147.4 billion as well as having equity of Dh79.0 billion. Alpha Dhabi is strategically poised to forge further ahead its growth ambitions which will include further possibilities for acquisitions and geographical diversification.

The diversity and depth of Alpha Dhabi's increasing portfolio have been a significant driver of its revenue growth and contribution to the increase in net profit from operations. The company's portfolios in Industrial, Real Estate and Construction contributed significantly, representing 37%, 33%, 18%, of the total revenue, respectively.

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