Mubadala, the Abu Dhabi government-owned investment firm, said yesterday that its profit for last year rose 12.6 per cent amid higher revenues from activities including oil and gas, semiconductors, and aerospace and engineering services despite challenging global economic conditions.
Net profit attributable to the owner of the group rose to Dh1.16 billion in 2015 compared to Dh1.03bn in 2014, the company said. Revenues increased over 4 per cent to Dh34.05bn from Dh32.6bn a year earlier, while total assets grew to Dh246.3bn versus Dh243.6bn.
The company's total liabilities at the end of 2015 were Dh72.3bn compared to Dh67.9bn at the end of 2014 after it raised its gearing ratio to 14 per cent from 9 per cent in the same period.
"Mubadala managed through significant macroeconomic volatility of 2015 to mark moderate increases in revenue and profit," said Khaldoon Al Mubarak, Mubadala's group chief executive and managing director.
"We remain resolutely focused on prudent cash management and cost control, as well as active oversight of our assets, in order for us to navigate the anticipated challenging market conditions of 2016 and beyond."
The largest contributor to the group's revenue mix at approximately 54 per cent was its semiconductor business. Subsidiary GlobalFoundries completed its acquisition of IBM's microelectronics business during the year for which Mubadala received US$1.5bn in cash.
Aerospace and engineering services, including the Al Ain-based composite aircraft parts manufacturer Strata, contributed 22 per cent of group revenues. Last year, Strata won a contract to manufacture Airbus A350-1000 Flap Support Fairings until 2023. Also during the period, Boeing delivered the first 787 Dreamliner to Etihad Airways with advanced composite parts made by Strata.
Oil and gas provided 13 per cent of revenues last year as Mubadala Petroleum commenced production at Nong Yao, its third oilfield in Thailand.
"Good operational results across all our global business platforms coupled with our stable financial performance in a challenging and volatile market underlines the benefits of Mubadala's diversified portfolio," said Carlos Obeid, the Mubadala group chief financial officer.
"We continue to closely manage our portfolio, pursue monetisation opportunities for our mature assets and make targeted investments that advance our four business platforms."
The company's Cleveland Clinic Abu Dhabi started operations last year and Mubadala also formed a joint venture to invest in the metals and mining sector with the commodities trader Trafigura.
Last month, Mubadala said it had opened an office in Brazil after securing assets from the crumbling empire of the country's former billionaire Eike Batista.
As a result of the three-year restructuring that began in 2013, it retrieved US$300 million in cash as well as a stake in Burger King and Tim Hortons, now worth more than $700m. Other assets retrieved include a stake in a port and a gold mine.
mkassem@thenational.ae
An earlier version of this story had incorrectly stated the yearly profit was up 12.3%.