Press Release – Dunia Group doubles 2015 dividend payout as underlying business momentum stays strong
18 May 2016
Dunia Group’s total dividend payout increases 97% to AED 142 million in 2015, compared to AED 72 million in 2014
Dunia Finance declares a full year 2015 dividend of AED 109 million, Dunia Services announces its first full year dividend payment of AED 33 million
Dividend pay-out of 25.8% of paid up capital for Dunia Group, underscores a robust financial performance in 2015 and strong underlying business momentum
Dunia Group (‘dunia’ or ‘the Group’), a leading UAE based financial organization, today announced total dividend payments of AED 142 million for 2015, a 97% increase on 2014, reflecting the firm’s record profitability and strong underlying business momentum.
The Group’s financial services arm, Dunia Finance, declared a full year payment of AED 109 million, while Dunia Services, the knowledge sharing and consultancy business arm, announced its first full year dividend payment of AED 33 million. Combined, both payouts account for 56.6% of dunia’s 2015 net income of AED 250.9 million.
Of particular note last year was the performance of Dunia Services. Incorporated less than 4 years ago with an initial paid up capital of AED 300,000, the unit recorded net income of AED 33.5 Million in 2015.
dunia’s ability to selectively acquire new customers and deepen existing customer relationships remains a key profit driver. Maximization of value creation through cross selling has also contributed to increased revenue and balance sheet growth. The Group’s strong financial footing is backed up by an unsupported ‘BB’ credit rating from Fitch following a rating upgrade in 2015.
Salem Rashid Al Noaimi, Chairman of Dunia Group, said:“We are delighted to have significantly increased returns to our shareholders in 2015. This reflects our strong financial performance over the last year, strengthened capital base, and the Company’s continuing strong momentum. We are also delighted that Dunia Services has been able to pay a full-year dividend for the very first time, which is a testament to its strong performance and growth potential.”
Rajeev Kakar, Managing Director and CEO of Dunia Group, added: “In 2015, we were able to demonstrate substantial progress in becoming the provider of choice for financial services in the UAE. The Group is well positioned for long-term growth, and as a result, we have been able to make a large increase in dividend payments to our shareholders. We remain committed to continuing to invest in excellence through innovative products and services delivered through new-age technology solutions in line with the evolving needs of customers, to ensure dunia's continued strong growth ahead.”