DUBAI/February 22-2021: Al Ramz Corporation Investment and Development (Al Ramz) has reported a net loss AED10.87 million for the financial year ended December 31, 2020 (FY20), as against a net profit of AED4.07 million a year earlier.
The Dubai Financial Market (DFM)-listed company offers a variety of financial products and services including asset management, corporate finance, market making, liquidity providing, brokerage, IPO management and research.
Notwithstanding the loss reported, Al Ramz was successful in preserving its revenue generation as it reported AED62.8 million during FY20 compared with AED62.3 million in the previous year.
This strong delivery was, however, eclipsed by a loss on investments to the effect of AED31 million resulting in a net loss for the year as against a profit in the previous year.
The Group also optimised its balance sheet as it reduced leverage leading to risk profile enhancement. Further, the quality of earnings improved by AED1.8 million from AED21.2 million in 2019 to AED23 million in 2020, as diversification of revenue sources continued to favourably impact earnings including market making, liquidity provision, fund management and fixed income.
The Group took a prudent approach in its assessment of receivables and recorded AED7.2 million provisions during 2020.
Al Ramz was also remarkably successful in responding to the COVID19 pandemic. The Group swiftly transitioned to operating remotely for its entire workforce at early stage ensuring.
Dhafer Sahmi Al Ahbabi (seen in the picture), Chairman of the Board, said the company has been able to preserve its revenues despite the turmoil.
“We look forward to greater growth and better performance in 2021 in light of the new offering to our clients and the strong progress on the delivery of our strategy as we journey to become a leading regional investment institution,” the chairman said.