Omani Finance Companies Achieve $34.5 Million Net Profit

Omani finance companies listed on the Muscat Stock Exchange affirmed that government initiatives to develop non-oil sectors, boost their contribution to economic diversification, and increase demand for financing products from individuals, SMEs, and private sector companies have strengthened the finance sector's performance, driving revenues and net profits upwards.

Financial results for the first half of the current year show that net profits for listed finance companies on the Muscat Stock Exchange rose to 13.3 million Omani Rials, compared to 13.1 million Omani Rials in the same period last year, marking a growth of 1.6%. Most finance companies demonstrated strong performance, benefiting from Oman's active business environment and increased demand for financing products amid notable growth in several economic sectors. National Finance achieved a 15.2% growth in net profits, which climbed to approximately 8.1 million Omani Rials, up from 7 million Omani Rials in the corresponding period last year. United Finance recorded the highest growth, with net profits increasing from 1.211 million Omani Rials to 1.628 million Omani Rials, achieving a 34.4% growth. Oman United Finance Company saw its net profits rise from 1.689 million Omani Rials to 1.761 million Omani Rials, a 4.2% increase.

However, the sector's performance was impacted by a decline in profits for Taageer Finance and Muscat Finance, as both companies increased provisions to address rising non-performing loans. Taageer Finance's net profits decreased from approximately 2.7 million Omani Rials to 1.4 million Omani Rials, while Muscat Finance's profits dropped from 520,000 Omani Rials to 468,000 Omani Rials.

The financial results reflect the finance companies' continued ability to achieve stable profits and maintain business growth. The sector is expected to benefit in the upcoming period from expanding economic activity, increased demand for financing, and improved credit portfolio quality, all of which will support better growth rates. Finance companies expressed optimism regarding their ability to sustain positive performance this year, noting that expansion in non-oil sectors, continued government spending on infrastructure, and efforts to boost business sector confidence will increase demand for the financing products they offer.

The companies emphasized their commitment to strengthening financial positions, improving asset quality, reducing non-performing loans, and building high-quality financing portfolios with strong liquidity levels, while also expanding their financing base and offering products that meet the aspirations of individual and corporate clients.

The market capitalization of finance companies listed on the Muscat Stock Exchange increased in the first half of the current year to 274.2 million Omani Rials, recording gains of approximately 56.9 million Omani Rials compared to their levels in December 2025. National Finance holds 50.3% of the total market capitalization of listed finance companies, with its market value rising to 137.9 million Omani Rials by the end of last June, from 24.2 million Omani Rials in December 2025. The company's share price also increased to 212 baizas by the end of June, from 68 baizas in December.

Oman ORIX Leasing Company ranked second with a market capitalization of approximately 48.9 million Omani Rials, and its share price increased from 143 baizas to 155 baizas. Taageer Finance came in third with a market capitalization of 34 million Omani Rials. However, its share price declined in the first half of the current year, closing at 120 baizas at the end of June, compared to 130 baizas in December 2025. United Finance was fourth with 33.1 million Omani Rials, with its share price dropping from 157 baizas to 93 baizas. Muscat Finance ranked fifth with a market capitalization of 20.2 million Omani Rials, and its share price rose from 53 baizas to 66 baizas.