Finance House reports net profit of AED 381.9 Million for first nine months of 2008
 
14th October 2008
finance house

Abu Dhabi, October 14, 2008- Finance House pjsc has announced a net profit of AED 381.9 million for the nine months to September 2008. Mr. Mohammed Alqubaisi, Chairman of Finance House said, “Despite the turmoil in global financial markets and its impact on this region, we have been able to boost our profitability and more importantly, maintain our liquidity at very comfortable levels. These results continue to demonstrate our passionate commitment to deliver on our strategy as a means to strong financial performance for our shareholders. We met or exceeded our objectives by virtually every measure.

As at 30th September 2008, our Shareholders’ Equity rose to AED 1.168 billion, and this is after distributing a dividend of AED 150 million to shareholders earlier this year. Since 31st December 2007 our net worth has grown by 23%, supported by this performance. As compared to the previous year-end, customer deposits grew 20% to a figure of AED 851.5 million, which is a testimony to the confidence of the market in Finance House.”

Total assets grew to AED 2.676 billion, a rise of 24% over the 31st December 2007 figure. This is reflected in the growth in loan portfolios which rose by 66% over the previous year-end, and is contributed by both commercial and retail portfolios. The Company’s investments have performed very well in capital markets that have turned deeply bearish. The Company does not have, and never had, any exposures to US or European markets. While operating costs have increased as a result of inflationary pressures, the Company’s cost-to-income ratio has improved from 23% (2007) to 19% in the first nine months of the current year.

Mr. Alqubaisi added, “We are confident that our strategy will stand us well in the times ahead and enable us to continue generating above average equity returns for our shareholders”.