GFH posts $90.25m net profit

TDT | Manama                                        

The Daily Tribune – www.newsofbahrain.com

GFH Financial Group yesterday reported fourth-quarter and full-year 2022 profits that rose from a year ago, helped by contributions from subsidiaries, investment portfolios, sukuk sale and treasury activities.

In line with the results, the Board of Directors recommended a total cash dividend of 6% on par value (USD 0.0159 per share).

Q4 results

Fourth quarter Net profit attributable to shareholders was US$24.02 million versus US$23.88 in the fourth quarter of 2021, an increase of 0.6% after provisions of US$13.4 m.

GFH attributed the increase to income contribution from the Group’s subsidiaries as well as placements and fees of investment portfolios and the sale of Infracorp Sukuks. Earnings per share remained unchanged at US cents 0.72 from the comparative quarter of 2021.

Total income was US$147.79 m compared with US$128.14 m in the fourth quarter of 2021, a rise of 15.3%. Consolidated net profit was US$26.23 m compared with US$24.34 m in the fourth quarter of 2021, an increase of 7.8%.

Total expenses were US$121.56 m compared with US$103.80 m in the prior-year period, up 17.1%.

Full-year results

Full-year net profit attributable to shareholders was US$90.25 m compared with US$84.22 m in 2021, an increase of 7.2%.

The increase is attributed to the investment banking business, significantly enhanced contributions from the commercial banking subsidiary, infrastructure, as well as treasury activities. Earnings per share was US cents 2.65 compared to US cents 2.60 for the full year 2021, an increase of 1.9%.

Total income was US$441.67 m, up 10.8% from US$398.75 m for the previous year. Consolidated net profit for the year was US$97.71 m compared with US$92.62 m in 2021, an increase of 5.5%. Total expenses for the year were US$343.96 m compared with US$306.13 m in 2021, an increase of 12.4%.

Commenting, Ghazi Al Hajeri, Chairman of GFH, said, “Gains made during the year were supported by performance across all our core business lines, despite market volatility and pressure from rising interest rates..” Hajeri continued, “The Group is well placed to continue building on this positive momentum throughout 2023.

With strong foundations and geographic presence, we expect to accelerate growth and further enhance our ability to create opportunities and generate value for our investors and shareholders throughout the coming year.”

Hisham Alrayes, Group CEO of GFH, added, “This was another milestone year for GFH as we continued to grow our investments, our global footprint and investor and shareholder base off the back of ongoing strong performance and market confidence in the Group and our ability to enhance results year after year.

Currently, GFH manages over US$17.6 billion of assets and funds including  a global portfolio of investments in logistics,  healthcare,  education and technology in the MENA region, Europe and North America.