Al Ansari’s board recommends Dhs300m interim dividend

Al Ansari’s board recommends Dhs300m interim dividend

Image courtesy: Al Ansari Financial Services

Al Ansari Financial Services’ board of directors has approved an interim dividend of Dhs300m for the first six months of 2023, equivalent to 4 fils per share.

The proposed dividend payout, which is subject to shareholders’ approval and compliance with all regulatory requirements, is in line with the company’s previously announced dividend policy of distributing Dhs600m.

Al Ansari said the first half of the payment will be made in 2023 and the second half of the payment in 2024.

The UAE money exchange and remittances firm reported a 2.5 per cent decrease in H1 2023 profit on the back of higher depreciation charges from expanding its branch network and increasing finance costs.

The company said its half-year net profit dropped by Dhs263m compared to nearly Dhs270m in the same period a year ago amid higher finance costs due to interest payments on a Dhs300m term loan drawn in December 2022.

Similarly, the company’s second-quarter net profit dropped by 10.7 per cent to Dhs130m, from Dhs146m for the same period a year earlier.

The firm’s Q2 2023 operating income rose by 1.2 per cent year-on-year to Dhs291m, mainly driven by strong growth in the bank notes, wage-protection system and other services.