Bahrain-based alternative investment manager Investcorp has reported a 16% increase in its net income for the last six months of 2018, also the first six months of financial year for 2018.
According to Investcorp, it was able to mitigate the effects of unusually higher geopolitical and economic uncertainty through greater diversification and a more international investment focus.
Fee income increased by 7% to $137.5 million. This was largely due to a 45% increase in assets under management fees which helped to offset lower placement fee contributions resulting from an uncertain market outlook in the region. However, should this short-term uncertainty clear and investment activity return to normal levels, Investcorp expects a healthy pick-up in fee income.
Asset-based income increased to $71 million to $40.3 million from the same period a year earlier while gross operating income rose from $168.3 million to $208.5 million.
The results also referenced the recently established Real Estate Team in Europe as well as its global distribution capability as causes for optimism in 2018.
“Whilst potential pockets of risk remain, mainly stemming from geopolitical factors, our robust balance sheet, experience and expertise enables us to take advantage of interesting investment opportunities globally,” said executive chairman Mohammed Alardhi.
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