Mubadala Development Company yesterday announced its 2009 final financial results, showing revenues of Dh13.1 billion and total assets of Dh88.5bn.
The government-owned company posted Dh4.79bn in profit attributable to equity holders, compared to a loss of Dh11.44bn registered in 2008, according to an audited financial statement posted on the firm's website.
"Despite a challenging global economic environment, Mubadala has performed well both financially and operationally, making significant progress on a number of landmark projects," said Chief Executive Khaldoon Al Mubarak.
The total assets, according to the statement, increased by 75 per cent to Dh88.5bn, and total equity increased by 56 per cent to Dh48.9bn. The liquidity position was strong at Dh11.8bn.
"In 2009, we focused on improving financial and operational discipline, transparency and governance to both support and enable our continued growth.
"We have a robust portfolio of businesses, a solid pipeline of projects, access to diverse sources of funding coupled with strong support from our shareholder. All this puts us in a unique position to realise value and further opportunities in 2010," said Al Mubarak.
"The main contributors to growth in total revenue were SR Technics at Dh4bn; concession revenue from UAE University, Zayed University and Paris-Sorbonne University Abu Dhabi at Dh2.6bn; and the sale of land on Sowwah Island at about Dh800 million," the statement by Mubadala said.
Also contributing to the total performance were the changes in the fair valuation of investments, mainly driven by the company's shareholdings in the US-based Advanced Micro Devices (AMD), Du and Aldar, the statement added.
Abu Dhabi, home to more than seven per cent of the world's proven crude reserves, is trying to diversify from oil by investing in industries such as real estate, aerospace and entertainment. Mubadala's investments include an $8bn joint venture with General Electric in emerging markets, and a stake in AMD, the second largest maker of personal-computer processors.
According to Mubadala, the tremendous financial achievements in 2009 were the results of maintaining strong dialogue and engagement with both banks and fixed income investors, together with the objective of diversifying the firm's funding sources, which have enabled the company to finance itself and its projects in innovative ways.
Mubadala issued its first corporate bonds through a global medium-term note programme and closed a number of corporate facilities in excess of Dh10.7bn in aggregate. Highlights for Mubadala-related projects include the closing of the Dh15.1bn Dolphin Energy refinancing and the Dh3.9bn Zayed University financing.
Total comprehensive income was Dh8.6bn last year and impairments fell to Dh201.5m from Dh 3.3bn in 2008. "The markets have performed better," Chief Financial Officer Carlos Obeid said in a telephone interview with Bloomberg.
Mubadala expects to raise $2.5bn through a syndicated loan in a "few weeks", Obeid said. "It's like an overdraft facility. It's now just a matter of banks renewing their commitments."