IHC Announces $1.4 Billion Share Buyback Plan After Record Profit Surge

IHC Announces $1.4 Billion Share Buyback Plan After Record Profit Surge

By Staff Writer, 21 June 2024

Abu Dhabi-based conglomerate International Holding Company (IHC) has announced plans to repurchase shares valued at up to AED 5 billion ($1.4 billion), equating to approximately 0.6% of the company's capital. This decision was approved by shareholders during the General Assembly Meeting held on Thursday, according to a disclosure on the Abu Dhabi Securities Exchange (ADX).

The share buyback, set to be carried out over the next year pending regulatory approvals, follows IHC's impressive financial performance. The initiative aims to enhance shareholder value by increasing earnings per share, a move underscored by the company's robust financial health, marked by substantial cash flow and a strong balance sheet.

In the first quarter of this year, IHC reported a net profit of AED 8 billion, an 87.6% increase from the AED 4.3 billion recorded during the same period last year. The surge in profits was driven by strong performances across its core sectors, including real estate and construction, technology, marine and dredging, and food and services. Additionally, IHC's revenues saw a 22.5% rise, reaching AED 19.3 billion.

Source: Cleofe Maceda / Zawya

Related Report

Dubai’s Digital Economy and Startup Ecosystem

Dubai’s Digital Economy and Its Expanding Startup Ecosystem

Dubai’s startup ecosystem will have raised over USD 2 billion by the end of 2022, with self-employed and digital economy roles tripling. Few MENA markets have a 20-year-old startup ecosystem birthing multiple unicorns. Dubai has been the digital startup hub for tech giants and new unicorns alike. Since 2017, Dubai has raised 96% of UAE’s funds, totaling over USD 2 billion by October 2022. LinkedIn data shows a booming digital economy job market with increasing opportunities and remote work options. Learn from top home-grown startups and global transplants why Dubai is poised to become the next digital economy capital of the world.

Subscribe To Our Newsletter

Stay up to date with the latest news, special reports, videos, infobytes, and features on the region's most notable entrepreneurial ecosystems