GFH Financial Group Reports Robust 11.2% Increase in Net Profit for H1 2024
GFH Financial Group B.S.C., a leading financial institution in the GCC region, has reported a significant increase in net profit attributable to shareholders for the first half of 2024. The company continues to demonstrate strong financial performance and strategic growth.
Summary
GFH Financial Group B.S.C. has reported an 11.2% increase in net profit attributable to shareholders for the first half of 2024, totaling US$60.75 million. The company has shown strong double-digit growth in income and strategic exits from investments, while maintaining stable ratings from Fitch.
GFH Financial Group B.S.C., a prominent financial institution headquartered in Bahrain, has announced a remarkable 11.2% increase in net profit attributable to shareholders for the first half of 2024, reaching US$60.75 million. This impressive performance is a testament to the company's robust financial strategies and effective management.
In the first half of 2024, GFH reported a total income of US$332.23 million, reflecting a substantial 53.7% year-over-year (YoY) increase. For the second quarter of 2024 alone, the total income was US$169.26 million, marking a 52.3% YoY growth. The earnings per share (EPS) also saw a notable rise, reaching US cents 1.70 for the first half and US cents 0.94 for the second quarter, representing YoY increases of 9.7% and 9.3%, respectively.
One of the key highlights of GFH's performance was the successful exit from its joint investment in Citrix with Carlyle, achieved 18 months ahead of the projected three-year timeline. This strategic move underscores the company's ability to effectively manage and realize its investments.
Additionally, GFH welcomed Al Qasimi as a major shareholder and appointed BHM as a market maker for its shares listed in the UAE markets. This move is expected to enhance the liquidity and marketability of GFH's shares, potentially attracting more investors.
The Group also reported a remarkable 154.6% YoY growth in income generated from the sale of real estate assets, including its investment in Charthouse Bahrain. This significant increase highlights GFH's ability to capitalize on its real estate investments and generate substantial returns.
Moreover, Fitch Ratings affirmed GFH's Long- and Short-Term Issuer Default Ratings (IDR) at 'B' with a Stable Outlook on the Long-Term IDR in the second quarter of 2024. This affirmation reflects the company's stable financial position and creditworthiness.
Given the strong financial performance and strategic initiatives undertaken by GFH Financial Group, investors might consider holding their positions in the company. The consistent growth in income, successful investment exits, and stable credit ratings indicate a promising outlook for GFH, although it is essential to remain cautious and monitor future developments.
Source
Summary
GFH reported an 11.2% increase in net profit attributable to shareholders for the first half of 2024, totaling US$60.75 million. The total income for the first half of 2024 was US$332.23 million, reflecting a 53.7% year-on-year increase. Earnings per share (EPS) rose by 9.7% year-on-year to US cents 1.70. For the second quarter of 2024, total income was US$169.26 million, with a 52.3% year-on-year increase, and net profit attributable to shareholders was US$33.61 million, a 9.8% year-on-year rise. Significant highlights include the Group's early exit from its joint investment in Citrix with Carlyle, the addition of Al Qasimi as a major shareholder, and the appointment of BHM as a market maker for the Group’s shares in UAE markets. Income growth of 154.6% year-on-year was mainly driven by the sale of real estate assets, including the Group’s investment in Charthouse Bahrain. Fitch Ratings affirmed the Group’s Long- and Short-Term Issuer Default Ratings (IDR) at 'B', with a Stable outlook on the Long-Term IDR.
