https://adgully.me/post/4014/multiply-group-announces-337-yoy-increase-in-net-profit

Multiply Group Announces 337% YoY Increase in Net Profit

Abu Dhabi: Multiply Group (ADX: MULTIPLY), a leading Abu Dhabi-based investment holding firm, today announced a net profit excluding fair value changes of AED 331 million for Q3 2023. This marks a significant 337% increase from AED 76 million reported in the same quarter of 2022. In Q3, 2023, the Group’s net profit, including fair value changes in investments, stands at AED 145.77 million. The Group's Q3 2023 revenue of AED 351.8 million is a 23.82% YoY growth driven by the organic growth across its 4 core verticals (+9% YoY) and the consolidation of Media 247 and LVL effective 1 July 2023. The gross profit margin rose to 50.1%, reflecting an improvement of 128 basis points from Q3 2022. This growth was bolstered by dividend income amounting to AED 194.37 million from the Group’s public portfolio and an increased share of profit to reflect the change in the functional currency of the Turkish JV Kalyon from Turkish Lira to USD.In the first nine months of 2023, the Group’s year to date net profit excluding fair value changes rose to AED 811.17 million, a 199% YoY growth. Multiply Group remains poised to capitalize on emerging value-accretive acquisition opportunities worldwide, spanning its operating verticals and investment arm. The Group boats a robust cash position of AED 1.65 billion, favourable debt-to-equity and debt-to-assets ratios, and access to over AED 4 billion in financing capacity. With its dual investment arms, Multiply and Multiply+, the Group continues to demonstrate its financial prowess, targeting lucrative opportunities across a spectrum of asset classes. Multiply’s current investment verticals encompass Mobility, Energy and Utilities, Media and Communications, and Beauty and Wellness. Meanwhile, Multiply+ remains sector-agnostic, aiming for double-digit returns across asset classes. Under Multiply+, the public market portfolio is currently valued at AED 33.28 billion, compared to an initial investment of AED 15.43 billion.On the sustainability front, Sustainalytics, a global leader in environmental, social and governance (ESG) rating and research, has rated Multiply Group’s risk level at 15.8. This commendable rating places the Group in the “Low Risk” category, positioning it among the top 10% of companies in the Diversified Financials sector. This is a testament to our commitment to sustainability. Q3 2023 Group Highlights:Key InvestmentsMultiply Group successfully acquired a 55% majority stake in Media 247, a leading UAE outdoor advertising firm, at an investment of AED 225 million. Media 247, known for its extensive portfolio of over 45 exclusive outdoor premium hoardings, unipoles, and 3D structures across Dubai’s most prominent locations, solidifies Multiply Group’s position in the media vertical. In H1 2023, Media 247 overachieved both revenue and profitability targets, highlighting its strong financial capabilities. In a move to bolster its footprint in the wellness domain, MG Wellness Holding LLC, the wellness-centric subsidiary of Multiply Group, secured a 49.38% equity interest in LVL Technology Holding in August. LVL Technology Holding is renowned for its LVL Wellbeing platform, which offers a comprehensive suite of individual, team, and corporate well-being solutions, championing a balanced work-life dynamic. This strategic investment is poised to amplify operations and bolster regional expansion. Furthermore, the integration of HealthierU into the LVL Wellbeing platform has created a holistic offering, positing it as the region’s premier source for preventative health and wellbeing services for its clientele.Under Multiply+ arm, Multiply Group invested AED 367 million for a minority stake in EIG’s Breakwater Energy which owns 25% interest in Repsol E&P, a North American-based gas-weighted exploration and production company. Through this acquisition, Multiply+ taps into a highly profitable and cash generative, diversified global upstream portfolio offering a highly attractive dividend profile.Subsidiary MilestonesEmirates Driving Company (EDC) registered a 14.15% net profit increase YoY driven by favourable revenue mix and higher interest income versus last year. In line with the expansion strategy into new markets, EDC’s board approved the investment in the Consultants Driving School in KSA by signing a convertible notes agreement with a total value of SAR 10 million. Further details to be disclosed subject to financial and legal approvals. Furthermore, the company achieved the ISO 31000 certificate for its risk management system and the company hosted the 11th National Dialogue for Climate Ambition in partnership with the UAE Ministry of Climate Change and Environment (MOCCAE). Omorfia Group, Multiply Group’s Wellness & Beauty vertical, reported a 22.18% net profit growth YoY driven by gross margin expansion on favourable revenue mix and a spike in interest income. The company expanded its flagship brand, Tips & Toes, by inaugurating two new branches in Abu Dhabi and Dubai. With a network of 40 branches across the UAE and Saudi Arabia, Tips & Toes is positioned as the region’s largest and most successful salon and spa chain. Additionally, Bedashing Beauty Lounge, with its 23 branches, was celebrated as the UAE’s favourite beauty salon in the FACT Spa & Wellness Awards 2023, continuing its expansion and enhancing its comprehensive beauty services across the country.Pal Cooling Holding (PCH), a leader in the UAE’s district cooling industry, reported a flat YoY profit growth as the double-digit growth in revenue on new connections was countered by higher finance costs and additional expenses related to the commissioning of the first phase of Tamouh  district cooling plant’s expansion (additional capacity of 5,000 RT). During the quarter, PCH successfully connected the new Nord Anglia School in Reem Island, with a 1,250 RT cooling load requirement, to its Tamouh district cooling plant. With the impending second phase due for completion this year, the plant’s total installed capacity will reach 75,000 RT. Moreover, PCH’s upcoming Danat district cooling plant will feature a design capacity of 37,500 RT, elevating PCH’s total design capacity to a staggering 257,000 RT, with an installed capacity of 183,000 RT, across its seven plants. Viola Communications, a fully-integrated marketing and communications solutions provider, reported a 84% net profit growth YoY led by significant increase in agency services revenues and higher occupancy of Out-Of-Home (OOH) media assets. The company marked its presence among the top 100 event organizers and agencies in 2023 on the prestigious Eventex index, becoming the only UAE agency to earn this distinction. The agency cinched five awards for its campaign for Abu Dhabi Department of Community Development’s Abu Dhabi Moments, an integrated initiative designed to help foster a sense of belonging amongst communities. Furthermore, Viola Communications secured nominations for the MENA Digital Awards in the “Best Integrated Digital Campaign” and “Best Use of Social Media” categories. In a strategic partnership with Atlantis Dubai, LVL Wellbeing is set to offer guests an immersive wellness experience. Whether guests seek relaxation, workouts, or sound healing, they can now access exclusive content through in-room TVs and the state-of-the-art digital wellbeing studio at Atlantis Dubai’s AWAKEN Spa. This initiative complements the AWAKEN Wellness programme, marking a first for Dubai's hospitality sector.Corporate Social ResponsibilityAs part of its "Cleaning up the Oceans" initiative, Multiply Group made a significant environmental impact by extracting 30,000 pounds of plastic waste from the world’s oceans during the Year of Sustainability. This initiative not only supports the global ocean and coastline clean-up efforts but also aligns with the objectives of the upcoming COP28 environmental summit. In partnership with US-based 4ocean, the Group is ambitiously targeting the offset of more than 100,000 pounds of plastic waste by the close of 2023. Multiply Group concluded the final phase of its comprehensive corporate wellness program, spanning six months. This initiative has been instrumental in mitigating chronic diseases among high-risk employees within the Group. The program’s holistic approach included personalised nutritional sessions, doctor consultations, fitness challenges, biometric screenings, blood tests, and a series of well-being webinars, ensuring the overall health and well-being of its workforce.In a bid to foster knowledge and literacy, Multiply Group undertook a significant book collection drive. Thanks to the generous contributions from its employees, a substantial collection of books was donated to one of the UAE's authorised cultural foundations, furthering the cause of education and reading.Earlier this year, Multiply Group extended its support to the Logos Hope ship mission during its stopover at the Abu Dhabi port. Recognised as the world's largest floating book fair, the Logos Hope mission embodies the noble cause of disseminating knowledge, providing assistance, and instilling hope globally.
https://adgully.me/post/3091/multiply-group-secures-55-majority-stake-in-media-247-strengthening-its-profile

Multiply Group secures 55% majority stake in Media 247 strengthening its profile

Multiply Group (ADX: MULTIPLY), an Abu Dhabi-based investment holding company, confirmed today the completion of its acquisition of a 55% majority stake in Media 247, a leading outdoor advertising firm in the UAE, for AED 225 million. This strategic move follows Multiply Group’s announcement in April 2023 regarding its intent to invest, subject to regulatory approvals, which has since been secured. The acquisition price has been adjusted as a result of the Company’s strong financial performance during the first half of 2023, where it overachieved its revenue and profitability targets by about 10% and 37%, respectively.Media 247, known for its extensive portfolio of over 45 exclusive outdoor premium hoardings, unipoles, and 3D structures across Dubai’s most prominent locations, further solidifies Multiply Group’s position in the media and advertising sector. The company’s diverse service offerings, ranging from media management and printing services to transit media solutions across Dubai’s largest taxi fleet, have made it a preferred partner for many top-tier advertisers and agencies both locally and internationally.Media 247's resilience, especially during challenging times such as the pandemic, further underscores its value proposition and the soundness of Multiply Group's investment decision.Samia Bouazza, Group CEO and Managing Director at Multiply Group, commented on the acquisition, stating: “Our investment in Media 247 underscores our strategic commitment to grow our verticals through the addition of high-value assets that yield sustainable recurring returns. The global media and communications industry, valued at US$ 2 trillion, is undergoing a seismic shift due to rapid digital transformation, immediate content dissemination, and heightened user engagement, presenting unprecedented growth avenues. By integrating a majority stake in Media 247, one of the largest in Dubai, into our portfolio – Multiply Media is poised to emerge as a leading integrated multi-brand media powerhouse in the UAE.”“Our vision is clear. We are committed to making continued value accretive investments in this vertical, with the overarching goal of propelling Multiply Media to the appropriate valuation to list on the local stock exchange,” she added.The acquisition of Media 247 aligns with Multiply Group’s ‘buy and build’ strategy, which focusses on acquiring profitable companies, fostering portfolio-wide synergies, driving bolt-on investments, and enhancing scalability and margins.Multiply Group, with its dual investment arms: Multiply and Multiply+, continues to showcase its financial acumen by targeting high-yield opportunities across diverse asset classes, reinforcing its reputation as a leading investment entity in the region. Multiply operates and invests in four current verticals - Mobility, Energy and Utilities, Media and Communications, and Beauty and Wellness, while Multiply+, its sector-agnostic and opportunistic investment arm, looks to target double-digit returns across asset classes. 
https://adgully.me/post/1952/multiply-group-reports-net-profit-excluding-fair-value-gains

Multiply Group Reports Net Profit Excluding Fair Value Gains

Dubai: Multiply Group, an Abu Dhabi-based investment holding company, reported a net profit excluding fair value gains (losses) of AED 266 million, a 241% growth compared to the same period last year. The Group generated AED 303 million of dividends from its public market portfolio.Notably, revenue from its operating business reached AED 269 million during Q1, an 11.6% growth year-on-year with over 50% gross margin. This reflects the Group’s continued focus on building its verticals.Fair Value Losses of AED 265 million were incurred in Q1. It is imperative to note that these fair value changes are largely unrealised, and the short-term movements do not impact the Group’s long-term view of these assets. From a total invested amount of AED 12.6 billion, the Group’s current public market portfolio stands at over AED 33 billion, a 166% appreciation. Multiply Group’s investment portfolio is a key part of its asset base, and it has been an important growth driver.Multiply Group sees more value accretive acquisition opportunities emerge globally across its operating verticals and investment arm. The Group has a strong cash flow position with over AED 1.2 billion, very healthy debt to equity and debt to assets parameters, and access to over AED 6 billion in financing capacity. In parallel, across operating businesses several measures including tech infusion, bolt-on acquisitions are being lined-up to enhance organic growth. Multiply Group is well-positioned and focused on generating a more robust and sustainable EPS growth.Q1 2023 highlightsEmirates Driving Company launched the first test of Auve Tech’s autonomous vehicles in the Middle East, which will significantly strengthen and improve Abu Dhabi’s mobility sector. The new partnership symbolises EDC’s growing focus on smart mobility systems and its contribution to making Abu Dhabi a smarter, safer and more sustainable city. EDC also held its second engaging edition of the ‘EDC - Innovation Lab' with a selected group of external experts, partners and the company’s professionals to discuss various topics about the future of mobility under the theme of ‘Future Mobility: Where To’.Omorfia Group, which comprises personal care and beauty companies, expanded its Bedashing Beauty Lounge brand reaching 23 locations with the opening of two new branches, one in Al Taif entering Fujairah market and another one in Al Jada, its second branch in Sharjah. More recently, Omorfia Group opened the 9th branch of Jazz Lounge Spa in Port de la Mer, Dubai.International Energy Holding’s Kalyon Enerji commenced operations of the Kalyon Karap?nar Solar Plant after receiving the certificate of acceptance of the final section of the power plant, issued by the Ministry of Energy and Natural Resources (MENR) in Turkey. Kalyon Enerji also received a development impact assessment from J.P. Morgan’s Development Finance Institution for the Kalyon Karap?nar Solar Power Plant and has set a series of development objectives that are expected to advance four of the United Nations Sustainable Development Goals (SDGs): SDG #7: Affordable and Clean Energy, SDG #8: Decent Work and Economic Growth, SDG #13: Climate Action and SDG #15: Life on Land. The company also started development of 390 MW Solar - ANKA Project, 200 MW Wind - STORM Project, and 1 GW YEKA Wind Project (Kalyon shareholding 40%).Meanwhile, Viola Communications, a fully-integrated marketing and communications solutions provider successfully arranged and managed multiple big scale events, such as ADAA’s International Ethical Standards Board for Accountants (IESBA) under the theme "Building the Ethical Foundations for Sustainability”, the launch of Sea La Vie - a luxurious residential project at Yas Bay that will be developed by Nine Yards, and the open-air art gallery, DIFC Sculpture Park, featuring immersive experiences and artworks from over 70 local and international artists at DIFC.Inclusion In IndicesThe quarter saw the Group being upgraded from Mid Cap Index to Large Cap Index in FTSE Global Equity Index Series (FTSE GEIS) in its March 2023 semi-annual review.
https://adgully.me/post/1951/multiply-group-reports-net-profit-excluding-fair-value-gains

Multiply group reports net profit excluding fair value gains

Dubai: Multiply Group, an Abu Dhabi-based investment holding company, reported a net profit excluding fair value gains (losses) of AED 266 million, a 241% growth compared to the same period last year. The Group generated AED 303 million of dividends from its public market portfolio.Notably, revenue from its operating business reached AED 269 million during Q1, an 11.6% growth year-on-year with over 50% gross margin. This reflects the Group’s continued focus on building its verticals.Fair Value Losses of AED 265 million were incurred in Q1. It is imperative to note that these fair value changes are largely unrealised, and the short-term movements do not impact the Group’s long-term view of these assets. From a total invested amount of AED 12.6 billion, the Group’s current public market portfolio stands at over AED 33 billion, a 166% appreciation. Multiply Group’s investment portfolio is a key part of its asset base, and it has been an important growth driver.Multiply Group sees more value accretive acquisition opportunities emerge globally across its operating verticals and investment arm. The Group has a strong cash flow position with over AED 1.2 billion, very healthy debt to equity and debt to assets parameters, and access to over AED 6 billion in financing capacity. In parallel, across operating businesses several measures including tech infusion, bolt-on acquisitions are being lined-up to enhance organic growth. Multiply Group is well-positioned and focused on generating a more robust and sustainable EPS growth.Q1 2023 highlightsEmirates Driving Company launched the first test of Auve Tech’s autonomous vehicles in the Middle East, which will significantly strengthen and improve Abu Dhabi’s mobility sector. The new partnership symbolises EDC’s growing focus on smart mobility systems and its contribution to making Abu Dhabi a smarter, safer and more sustainable city. EDC also held its second engaging edition of the ‘EDC - Innovation Lab' with a selected group of external experts, partners and the company’s professionals to discuss various topics about the future of mobility under the theme of ‘Future Mobility: Where To’.Omorfia Group, which comprises personal care and beauty companies, expanded its Bedashing Beauty Lounge brand reaching 23 locations with the opening of two new branches, one in Al Taif entering Fujairah market and another one in Al Jada, its second branch in Sharjah. More recently, Omorfia Group opened the 9th branch of Jazz Lounge Spa in Port de la Mer, Dubai.International Energy Holding’s Kalyon Enerji commenced operations of the Kalyon Karap?nar Solar Plant after receiving the certificate of acceptance of the final section of the power plant, issued by the Ministry of Energy and Natural Resources (MENR) in Turkey. Kalyon Enerji also received a development impact assessment from J.P. Morgan’s Development Finance Institution for the Kalyon Karap?nar Solar Power Plant and has set a series of development objectives that are expected to advance four of the United Nations Sustainable Development Goals (SDGs): SDG #7: Affordable and Clean Energy, SDG #8: Decent Work and Economic Growth, SDG #13: Climate Action and SDG #15: Life on Land. The company also started development of 390 MW Solar - ANKA Project, 200 MW Wind - STORM Project, and 1 GW YEKA Wind Project (Kalyon shareholding 40%).Meanwhile, Viola Communications, a fully-integrated marketing and communications solutions provider successfully arranged and managed multiple big scale events, such as ADAA’s International Ethical Standards Board for Accountants (IESBA) under the theme "Building the Ethical Foundations for Sustainability”, the launch of Sea La Vie - a luxurious residential project at Yas Bay that will be developed by Nine Yards, and the open-air art gallery, DIFC Sculpture Park, featuring immersive experiences and artworks from over 70 local and international artists at DIFC.Inclusion In IndicesThe quarter saw the Group being upgraded from Mid Cap Index to Large Cap Index in FTSE Global Equity Index Series (FTSE GEIS) in its March 2023 semi-annual review.
https://adgully.me/post/1893/multiply-group-to-acquire-media-247

Multiply Group to acquire Media 247

Dubai: Multiply Group (ADX: MULTIPLY), an Abu Dhabi-based investment holding company, has signed a binding commitment to acquire a 55 per cent majority stake in Media 247, one of the leading UAE outdoor advertising companies, for approximately AED 184 million.Media 247 assets include over 45 exclusive outdoor premium hoardings, unipoles and 3D structures spread across Dubai’s most strategic locations. The company offers media management, printing and special projects services and has sustained long-standing relationships with the most reputable advertisers and agencies both locally and internationally. Media 247 also provides transit media solutions such as vehicle wraps across Dubai’s largest taxi fleet, RTA’s red top taxis, and Dubai’s RTA airport taxis.The investment in Media 247 falls under the buy and build vertical strategy of acquiring profitable companies, creating portfolio-wide synergies, investing in bolt-on acquisitions, augmenting scalability and enhancing their margins.Jawad Hassan, Head of Media and Communications vertical at Multiply Group, commented:“Our commitment to invest in Media 247 reflects our focus on the growth of Multiply Group’s Media and Communications vertical and the consolidation of assets in the out-of-home media space. Media 247 is a well-established out-of-home media company that shares our philosophy of growth. Together, we will be focusing on growing the company both organically and inorganically. With its excellent inventory across Dubai, we are confident that we can leverage our combined expertise and resources to identify acquisitions, creating a stronger and more competitive business.”Media 247 has a solid track record with an excellent historical performance in both top-line and profitability and has proven to be resilient in difficult times like the pandemic.“As we have reached the final stages of the agreement and the few points to be finalised, we are confident in the discipline of the management team to get this deal over the finish line” Hassan added. Rafiq Abu Hijleh, Founder and President at Media 247, commented:“We are delighted to join hands with one of the UAE’s largest and fastest growing holding companies. This marks a significant milestone in Media 247’s journey since 2005 to provide only the best exclusive outdoor media solutions. Our company was already on a fast track to achieve our objectives with rapid growth, and this partnership will enable us to further widen our offerings to meet and exceed our clients’ reach expectations and broaden our network in the UAE and beyond.”Multiply Group has been deploying capital across its two distinct arms: Multiply and Multiply+. Multiply operates and invests in four current verticals (Mobility, Energy and Utilities, Media and Communications, and Beauty and Wellness), while Multiply+, its sector-agnostic and opportunistic investment arm, looks to target double-digit returns across several asset classes. Deal completion is subject to regulatory conditions and approvals.