Multiply Group posts Dh214 million net profit in second quarter

Khaleej Times

3 days ago

Multiply Group, a leading Abu Dhabi-based investment holding firm, on Tuesday announced its Q2 2025 net profit at Dh214 million excluding fair value changes, with 39% revenue growth across the operating portfolio.
Ebitda excluding fair value changes of stood at Dh395 million (Dh403 million in Q2 2024).
Adjusting for the impact of the Kalyon Enerji joint venture (realising a share of loss as a result of foreign exchange losses arising from the revaluation of EUR-dominated loans), the Group's Ebitda rose 38 per cent year-on-year (YoY) for Q2 2025.
Net profit from subsidiaries increased 52 per cent underpinned by solid growth across verticals. Reported profit of Dh532 million included Dh318 million in unrealised gains from revaluation, driven by periodic market fluctuations.
The Group continues to focus on integrating operations across its verticals, with an emphasis on digital transformation and operational efficiency. These efforts have contributed to strong revenue momentum. Group revenue increased by 39 per cent YoY to Dh503 million, driven by growth across all verticals, the full-quarter consolidation of The Grooming Company Holding and the acquisition of Excellence Driving. Blended gross profit margin remained healthy at 52 per cent, reflecting continued profitability across the core portfolio.
The Group's net profit from operating businesses increased by 52 per cent on the back of the Beauty vertical more than doubling net profit and the Mobility vertical increasing net profit by 48 per cent as a result of organic and inorganic growth while Media vertical grew by 23 per cent. The Group recorded a share of loss from Kalyon JV amounting to Dh54 million in Q2 2025 (Q2 2024 - Dh78 million gain) as a result of the foreign exchange losses from the revaluation of EUR-denominated loans on the back of a stronger Euro.
The Group's balance sheet remains robust, with cash balance of Dh1.85 billion. Execution of its long-term strategy continues to deliver results, as the Group builds a diversified portfolio across core verticals while pursuing high-return investments under Multiply+
Under Multiply+, the Group's public market portfolio closed the quarter with a valuation of Dh32 billion, compared to an initial investment of Dh15 billion. Despite market fluctuations affecting the fair value of some assets, performance across the portfolio remains strong as does the underlying long-term potential from targeted investments.
Samia Bouazza, group chief executive officer and managing director, said: 'This quarter's revenue growth of 39 per cent reflects the strong double-digit performance delivered across all verticals. This momentum translated into a 69 per cent increase in operating Ebitda and a 52 per cent rise in net income from our operating subsidiaries. These gains were partially offset by an adverse Dh132 million impact from our share of profit in the Kalyon joint venture, primarily due to foreign exchange losses arising from the revaluation of EUR-dominated loans. While our inorganic initiatives contributed to the Group's overall growth, organic Ebitda from our operating businesses increased by 54 per cent year-on-year, led by our Media & Mobility Verticals. During the quarter, we also signed a definitive agreement to divest our 100 per cent stake in PAL Cooling Holding, a prominent provider of district cooling solutions in the UAE catering to landmark residential, commercial and mixed-use developments in Abu Dhabi. The transaction, valued at c. Dh3.8 billion, will result in significant cash inflows. These proceeds will be strategically redeployed to support future growth opportunities as we actively evaluate options to optimize our balance sheet and strengthen Multiply Group's capital structure.'