Bahrain’s Investcorp posts 17% drop in half-yearly net profit

Bahraini investment firm Investcorp posted net income worth $48m for H1 FY20, slipping 17 per cent compared from $58m for H1 FY19.

For the six months ending December 31 2019, Investcorp’s net income, excluding the fair value change of legacy investments, reached $59m, two per cent higher than $58m for the six months ending December 31 2018, a statement said.

On a fully diluted basis, earnings per ordinary share were $0.65 for H1 FY20, down 12 per cent from $0.74 for H1 FY19.

Total comprehensive income for H1 FY20 totaled $46m, dipping 18 per cent compared to $56m in H1 FY19. Meanwhile, the firm’s gross operating income (excluding the fair value change of legacy investments) scored $197m in H1 FY20 compared to $199m in H1 FY19.

The firm’s assets under management (AUM) increased by $3bn to total $31.1 billion during the period, the statement said.

“The increase in AUM during the period was largely attributable to organic initiatives, demonstrating strong global demand for our offerings with investors seeking increased exposure to alternative assets,” said Mohammed Alardhi, executive chairman, Investcorp.

“The successful globalisation and institutionalisation of our distribution platform is enhancing the resiliency of our business.”

In 2019, Investcorp acquired 11 new US multifamily properties for a combined price of $370m, making it the company’s largest US real estate portfolio acquisition in the past decade.

Read more:Bahrain’s Investcorp acquires 11 US properties for $370m

Also read: Bahrain’s Investcorp leads $11.2m funding in Indian startup Bewakoof