Investcorp, the Bahrain-based alternative investment management firm, swung to a net loss in its 2020 fiscal year as fee income dropped amid the coronavirus-induced economic slowdown, but the company remains focused on reaching its $50 billion (Dh183.5bn) target in assets under management, its executive chairman said.
“The unprecedented global impact of the Covid-19 pandemic negatively affected our results,” Mohammed Alardhi said.
“We continue to remain confident in our growth strategy, having entered this crisis and approaching our 2021 fiscal year in a position of strength with now $1.2bn in accessible liquidity and $32.2bn in AUM (Assets Under Management).”
The company reported a net loss of $165 million for the 12 months ending June 30, compared to a profit of $131m recorded during the same period in the previous year, it said in a statement on Thursday. Fee income dropped 23 per cent to $288m.
The coronavirus pandemic has disrupted global trade and tipped the world economy into the deepest recession since the Great Depression. The International Monetary Fund is projecting a 4.9 per cent contraction this year and a sluggish recovery in 2021.
Most financial institutions have taken steep provisions or had their profits dented by the impact of the pandemic.
Investcorp, proposed a $0.10 per share dividend for the fiscal year. Its total assets declined 10 per cent to $2.1bn at the end of the fiscal year.
Net debt of the firm increased 35 per cent to $672m due to the adotion of IFRS 16 accounting standards and the completion of some strategic corporate investments.
“While the short-term economic outlook remains uncertain due to the ongoing pandemic, we are committed to advancing our growth strategy and reaching $50bn in AUM over the medium term,” Mr Alardhi said.
The company's assets under management rose 14.6 per cent to $32.2bn during the financial year on the back of “continuing diversification across geographies, clients and products”.
Last month, Investcorp sold a portfolio of industrial properties in the US for more than $200m with the transaction generating “strong returns”. The industrial properties in Boston and Chicago were acquired by Investcorp in 2017.
The company is also planning to invest heavily in technology, with plans to allocate "a significant proportion" of its $1bn-$2bn of annual private equity investments over the next two years into technology assets.
Dates for the diary
To mark Bodytree’s 10th anniversary, the coming season will be filled with celebratory activities:
- September 21 Anyone interested in becoming a certified yoga instructor can sign up for a 250-hour course in Yoga Teacher Training with Jacquelene Sadek. It begins on September 21 and will take place over the course of six weekends.
- October 18 to 21 International yoga instructor, Yogi Nora, will be visiting Bodytree and offering classes.
- October 26 to November 4 International pilates instructor Courtney Miller will be on hand at the studio, offering classes.
- November 9 Bodytree is hosting a party to celebrate turning 10, and everyone is invited. Expect a day full of free classes on the grounds of the studio.
- December 11 Yogeswari, an advanced certified Jivamukti teacher, will be visiting the studio.
- February 2, 2018 Bodytree will host its 4th annual yoga market.
Defending champions
World Series: South Africa
Women’s World Series: Australia
Gulf Men’s League: Dubai Exiles
Gulf Men’s Social: Mediclinic Barrelhouse Warriors
Gulf Vets: Jebel Ali Dragons Veterans
Gulf Women: Dubai Sports City Eagles
Gulf Under 19: British School Al Khubairat
Gulf Under 19 Girls: Dubai Exiles
UAE National Schools: Al Safa School
International Invitational: Speranza 22
International Vets: Joining Jack
Living in...
This article is part of a guide on where to live in the UAE. Our reporters will profile some of the country’s most desirable districts, provide an estimate of rental prices and introduce you to some of the residents who call each area home.
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Kolarov (56')
The specs
- Engine: 3.9-litre twin-turbo V8
- Power: 640hp
- Torque: 760nm
- On sale: 2026
- Price: Not announced yet
The National Archives, Abu Dhabi
Founded over 50 years ago, the National Archives collects valuable historical material relating to the UAE, and is the oldest and richest archive relating to the Arabian Gulf.
Much of the material can be viewed on line at the Arabian Gulf Digital Archive - https://www.agda.ae/en
How green is the expo nursery?
Some 400,000 shrubs and 13,000 trees in the on-site nursery
An additional 450,000 shrubs and 4,000 trees to be delivered in the months leading up to the expo
Ghaf, date palm, acacia arabica, acacia tortilis, vitex or sage, techoma and the salvadora are just some heat tolerant native plants in the nursery
Approximately 340 species of shrubs and trees selected for diverse landscape
The nursery team works exclusively with organic fertilisers and pesticides
All shrubs and trees supplied by Dubai Municipality
Most sourced from farms, nurseries across the country
Plants and trees are re-potted when they arrive at nursery to give them room to grow
Some mature trees are in open areas or planted within the expo site
Green waste is recycled as compost
Treated sewage effluent supplied by Dubai Municipality is used to meet the majority of the nursery’s irrigation needs
Construction workforce peaked at 40,000 workers
About 65,000 people have signed up to volunteer
Main themes of expo is ‘Connecting Minds, Creating the Future’ and three subthemes of opportunity, mobility and sustainability.
Expo 2020 Dubai to open in October 2020 and run for six months
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