Dubai Financial Market (DFM), the Gulf’s only listed stock exchange, reported an 89 per cent drop in fourth-quarter net profit on Thursday as trading activity plunged, tracking a slump in oil prices.
The firm made a net profit of Dh15.5 million in the three months to December 31, down from a net profit of Dh138.2m in the year-ago period, Reuters calculated based on the DFM’s annual financial statement.
HSBC forecast DFM would make a quarterly net profit of Dh20m.
DFM’s 2015 annual profit was Dh261m versus Dh759.3m in 2014, a statement from the firm said.
Trading commissions are the main source of income for DFM. The bourse traded Dh151.4 billion of shares in 2015, down 60 per cent on 2014, according to the statement.
The company’s board has proposed a 5 per cent cash dividend for 2015.
Dubai’s government owns a majority stake in DFM through holding company Borse Dubai.
Follow The National’s Business section on Twitter