Abu Dhabi, UAE – Alpha Dhabi reported a year-on-year increase of 161 percent in its profit to AED 7.3 billion ($2 billion) in the first quarter of 2023 compared to AED 2.8 billion ($0.76 billion) during the same period last year.
Revenues also grew significantly to reach AED 12.8 billion ($3.26 billion) representing a 56 percent year-on-year increase relative to AED 8.2 billion ($2.23 billion) in Q1 2022, with contributions from the existing real estate and industrial portfolios continuing to be strong drivers of growth.
Alpha Dhabi continues to pursue acquisitions and investments as part of its growth strategy and to this end the company partnered with Mubadala to co-invest in global credit opportunities. The two companies aim to collectively deploy up to AED 9 billion ($2.5 billion) over the next five years, leveraging Mubadala’s long-term and strategic partnership with Apollo, one of the world’s largest alternative asset managers.
Mubadala will hold 80 percent ownership in the Abu Dhabi Global Market-based joint venture entity.
This transaction also represents Alpha Dhabi’s entry into the private credit market as it continues to execute on its diversification strategy and capitalize on investment opportunities in new markets.
Alpha Dhabi’s portfolio expansion outside of the UAE is supporting growth with overseas revenue accounting for AED 0.9 billion ($024 billion) in the first three months of 2023, representing a 7 percent increase year-on-year.
Alpha Dhabi’s balance sheet remains strong with AED 120.6 billion ($33 billion) in total assets, representing a 129 percent increase year-on-year, on the back of strong investment activity.
The Group remains well-funded with a strong cash position of AED 16.6 billion ($4.35 billion).
“Alpha Dhabi has delivered another set of excellent financial results as we continue to cement our position as a leading regional investment holding company,” Hamad Al Ameri, CEO of Alpha Dhabi Holding, said. “Our diversified business continues to grow from strength to strength with a positive market sentiment in the UAE, underpinned by strong economic fundamentals and a buoyant capital markets landscape in contrast with the global outlook.”