Dubai Financial Market (DFM) - PJSC · DFM:DFM
Dubai Financial Market (DFM) - PJSC — Dubai Financial Market (DFM) — 9M 2022 Earnings Presentation
31 slides from Dubai Financial Market (DFM) - PJSC's earnings presentation, 2022
Slide 1: Investor Presentation 9M 2022
9M 2022 Investor Presentation DFM IR dfm.ae
Slide 2: A World Class Market Place - Key Figures 9M 2022
A World Class Market Place - Key Figures 9M 2022 576 Market Capitalization 69.5 Total Traded Value 47% Foreign Investors Trading Share AED BILLION AED BILLION PERCENT 71 Listed Companies 367 Average Daily Traded Value 19% Foreign Ownership % of Market Cap COUNT AED MILLION PERCENT Listed on DFM and
Slide 3: Strong Demographic & Macroeconomic Fundamentals
Strong Demographic & Macroeconomic Fundamentals Continued GDP Recovery Post COVID-19 Pandemic Growing Population 2020 & 2021 Real GDP Growth (%)* 2020 -2025E Population Annual Growth (%) 6.0 3.1% 3.8 3.5 3.3 3.1 3.1 2.9 2.8% 1.8 2.4 2.3% 2.0% 1.5% 1.2% -2.7 -2.6 0.2% -3.1 -4.1 -5.4 -5.9 -7.0 -0.1% -
Slide 4: Dubai Growth is Driven by a Well Diversified Economy and Strong Trade Activity
Dubai Growth is Driven by a Well Diversified Economy and Strong Trade Activity Dubai GDP Growth* Dubai Direct Foreign Trade Breakdown (AED bn) 6.2% 5.9% 802.1 830.1 828.7 757.3 770.0 711.1 445.6 CAGR 2010-2020 4.0% 118.9 129.4 123.7 3.1% 3.1% 2.7% 109.7 125.0 146 2.1% 169.0 165.1 186.8 176.7 165.7 8
Slide 5: Investor Reach - Global Connectivity
Investor Reach - Global Connectivity AMERICAS MIDDLE EAST AND AFRICA 12% / 37% 74% / 27% EUROPE ASIA PACIFIC 10% / 30% 4% / 6% Snapshot of investor Snapshot of investor composition with a bigger focus locally and regionally. / composition with a bigger focus on international investors. REGIONALLY ⁃
Slide 6: dfm.ae
MARKET STRUCTURE & OUTREACH & OPERATIONAL FINANCIAL 6 OFFERING LANDSCAPE OPPORTUNITY HIGHLIGHTS HIGHLIGHTS dfm.ae
Slide 7: Dubai's Capital Market Structure
Dubai’s Capital Market Structure DFM established in 2000 as a government owned exchange and in 2007 became the first regional exchange to be publicly listed, Nasdaq Dubai was established in 2005. 2 Exchanges 1 Capital Market Combined Liquidity Pool 33.3% 80.66% 66.7% Brokers Investors 7 dfm.ae
Slide 8: Products and Services Landscape - Key Offerings
Products and Services Landscape - Key Offerings LISTING OPTIONS ASSET CLASSES POST-TRADE PLATFORM & SERVICES Central Counter Party Clearing MAIN MARKET EQUITY MARKET Venue for listing and dual listing of Public CCP Companies Depository SECOND MARKET FIXED INCOME Listing venue for Private Joint Stock
Slide 9: Post-Trade Functions Development
Post-Trade Functions Development DFM PJSC Launched its New CCP and CSD Subsidiaries on 28th April 2020. KEY BENEFITS MAIN IMPACT • Maximizing clearing members’ capital requirements, adopting international best practices for margins and Enhanced efficiency in operational settlement funds. performance
Slide 10: Derivatives - Supporting Investors to Manage Risk
Derivatives - Supporting Investors to Manage Risk 3 Index Futures 1 Crude Oil Futures 30 UAE & Regional Single Stock Futures Dubai is the first regional market to offer equity futures on regional equities, allowing investors to hedge and manage their risks. 10 dfm.ae
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MARKET STRUCTURE & OUTREACH & OPERATIONAL FINANCIAL 11 OFFERING LANDSCAPE OPPORTUNITY HIGHLIGHTS HIGHLIGHTS dfm.ae
Slide 12: Diversification Opportunity - Sector Representation of Dubai's GDP vs DFM
Diversification Opportunity - Sector Representation of Dubai’s GDP vs DFM DFM’s IPO pipeline strategy aims at a Dubai Real GDP Breakdown – Q1 20221 DFM Sectors Breakdown2 – Q3 2022 better reflection of Dubai’s GDP mix. • Unlike the economy, the DFM market is Consumer dominated by the Financial secto
Slide 13: Diversified Investor Base - Bringing Together Regional & International Investors
Diversified Investor Base - Bringing Together Regional & International Investors Institutional & Foreign Investors Retail & HNWI Investors Institutional Investors’ Trading Share (%) Institutional Ownership (% of Market Cap) 1 Mn+ 207 56% 86% 70% 24% Total Investors Nationalities FY FY 2013 2013 9M 9
Slide 14: Capital Raising Success
Capital Raising Success SELECTED TRANSACTIONS Nearly AED131 bn Raised Since Inception in Dubai IPOs Funds raised on Captial Markets since Inception to 2022 AED Bn 14.4 50.0 45.0 7.6 40.0 Convertible Bonds 35.0 2.1 0.01 30.0 25.0 20.0 38.8 15.0 0.5 21.6 28.1 Capital Raises 3.1 10.0 13.1 10.8 5.0 5.4
Slide 15: Index Inclusion - Attracting Investors Through Index Representation
Index Inclusion - Attracting Investors Through Index Representation All the major index providers cover stocks listed on DFM in their relevant local, regional and international indices. • MSCI UAE • FTSE Nasdaq Dubai • S&P UAE Price Inclusion into additional indices can • MSCI GCC Countries • FTSE E
Slide 16: ESG & Sustainability – a Key Agenda for Investors
ESG & Sustainability – a Key Agenda for Investors • Dubai aims to become the city with the lowest SDGs Global 2021 Ranking carbon footprint by 2050. • UAE ranks highest on SDGs progress in the UAE 71 region. JORDAN 72 • UAE leads in ESG reporting to drive market transparency and meet growing investo
Slide 17: Recent Developments - Expanding to Create Further Opportunities
Recent Developments - Expanding to Create Further Opportunities IPO Pipeline Plans Foreign Ownership Residency Changes In late 2021, The Government of The Government has improved The option of obtaining a Dubai formed the Dubai Securities the attractiveness of setting up a Golden Visa is not only an
Slide 18: Key Listing Requirements - Variety of Options Available to IPO
Key Listing Requirements - Variety of Options Available to IPO Mainland Companies Free Zone Companies Main Market Growth Market Size AED25 mn paid-up capital AED20 mn paid-up capital > USD250 mn < USD250 mn Financial Track Record 2 Years 2 Years 3 Years Minimum 1 Year Free Float Minimum 30% Minimum
Slide 19: dfm.ae
MARKET STRUCTURE & OUTREACH & OPERATIONAL FINANCIAL 19 OFFERING LANDSCAPE OPPORTUNITY HIGHLIGHTS HIGHLIGHTS dfm.ae
Slide 20: Operational Highlights - Key Indicators
Operational Highlights - Key Indicators Market Capitalization (AED bn) Total Traded Value (AED bn) 576 151 133 115 394 411 375 341 344 340 302 72 66 69 60 53 2015 2016 2017 2018 2019 2020 2021 9M 2022 2015 2016 2017 2018 2019 2020 2021 9M 2022 Note: Figures exclude Nasdaq Dubai 20 dfm.ae
Slide 21: Operational Highlights - Key Indicators
Operational Highlights - Key Indicators ADTV (AED mn) Market Velocity (%) 603 533 59% 461 49% 367 39% 38% 41% 291 49% 36% 37% 35% 261 238 213 37% 29% 17% 19% 14% 18% 16%¹ 2015 2016 2017 2018 2019 2020 2021 9M 2022 2015 2016 2017 2018 2019 2020 2021 9M 2022 DFM Market Velocity Global Average Velocity
Slide 22: Operational Highlights - DFM General Index Performance
Operational Highlights - DFM General Index Performance DFMGI Performance YTD 2022 18000 5000 16000 4500 14000 4000 12000 3500 10000 3000 8000 6000 2500 January-22 February-22 March-22 April-22 May-22 June-22 July-22 August-22 September-22 Nasdaq Composite S&P 500 DFMGI 22 dfm.ae
Slide 23: Operational Highlights - DFM PJSC Stock Trading Activity
Operational Highlights - DFM PJSC Stock Trading Activity DFM PJSC Stock Price Performance (AED) DFM PJSC Stock Trading Activity (AED mn) 32.4 2.84 30.7 21.1 18.5 1.25 13.8 14.4 13.5 1.23 1.12 0.93 11.4 11.0 11.2 0.97 1.49 0.8 6.3 4.4 3.8 5.0 3.6 3.6 2015 2016 2017 2018 2019 2020 2021 9M 2022 2015 20
Slide 24: Operational Highlights - DFM PJSC Dividends
Operational Highlights - DFM PJSC Dividends Dividends Per Share (AED) Dividends Payout History (AED mn) 0.07 600 300% 242% 250% 500 171% 164% 142% 153% 200% 0.05 0.05 0.05 150% 400 74% 100% 119 138 300 167 50% 0.03 560 0.025 0% 200 -50% 78 141 281 262 100 233 -100% 122 99 -150% - -200% 2013 2014 201
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MARKET STRUCTURE & OUTREACH & OPERATIONAL FINANCIAL 25 OFFERING LANDSCAPE OPPORTUNITY HIGHLIGHTS HIGHLIGHTS dfm.ae
Slide 26: Financial Highlights
Financial Highlights Total Revenue (AED mn) Total Revenue Mix (%) 351.8 327.1 298.1 18% 22% 17% 21% 17% 240.1 27% 27% 185.7 43% 33% 34% 56% 56% 39% 45% 45% FY 2019 FY 2020 FY 2021 9M 2021 9M 2022 FY 2019 FY 2020 FY 2021 9M 2021 9M 2022 Trading fees Investment income Others fees and income Investment
Slide 27: Financial Highlights
Financial Highlights EBITDA (AED mn) and EBITDA Margin (%) Net Profit (AED mn) and Net Profit Margin (%) 62.3% 64.2% 61% 52% 61% 37.3% 40.5% 33.2% 19% 36% 225.7 203.7 142.6 181.7 122 146 99.1 86 97 34 FY 2019 FY 2020 FY 2021 9M 2021 9M 2022 FY 2019 FY 2020 FY 2021 9M 2021 9M 2022 27 dfm.ae
Slide 28: Financial Highlights
Financial Highlights Operating Expense Breakdown (%) (AED mn) 209.2 198.9 150.8 2% 1% 1% Interest Expense 5% 6% 6% 11% 12% 11% Maintenance 5% 4% 4% Depreciation 7% 6% 8% Others 27% 28% General & Administrative Expenses 28% Amortization of Intangible Assets Payroll & Other Benefits 43% 42% 42% FY 202
Slide 29: Financial Highlights
Financial Highlights Selected Balance sheet items (AED mn) Main Financial Assets (AED mn) Main Financial Assets Breakdown Managed Funds 8% FY 2021 Q3 2022 Q3 2022 Investment in Equity Securities Cash and Cash Equivalents 313 9% Investment Deposits 3,253 2,816 Financial Assets Investment Deposits 2,8
Slide 30: Consolidated P&L
Consolidated P&L Three months period ended Nine months period ended (AED’000) 30 Sep 2021 30 Sep 2022 30 Sep 2021 30 Sep 2022 Income Trading commission fees 21,419 41,081 83,638 135,485 Brokerage fees 3,747 3,393 10,959 10,221 Clearing settlement and depositary fees 2,045 3,762 13,379 16,898 Listing
Slide 31: Disclaimer
Disclaimer Contact Us: The information in this document (“information”) be considered as a recommendation in relation is provided by way of general information and to holding, purchasing or selling securities or Investor Relations T: +971 4 305 5650 comment only. While reasonable care has been other
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