Mubadala reports largest total comprehensive income in its history

Mubadala Investment Company said it achieved a total comprehensive income (TCI) attributable to the owner of AED 72 billion in 2020, compared to AED 53 billion in 2019.

It's the largest TCI in Mubadala’s history, driven by significant growth in the company’s public equities portfolio and funds, and assets across various sectors.

This came as the Abu Dhabi sovereign investor, released its 2020 financial results for the Group on Thursday.

The performance was also attributable to Mubadala’s multi-year strategy to increase investments in sectors with growth ‘tailwinds,’ such as technology, life sciences, and consumer goods, through direct investments and partnerships with leading fund managers.

Major investments in 2020 reinforced that strategy, including long-term agreements with Silver Lake in technology; in life sciences with PCI Pharma in the U.S.; and in consumer goods and telecommunications with the Reliance Group of India; as well as new commitments and deployments with Apax Partners, Citadel, iSquared Capital and CVC.

Khaldoon Al Mubarak, Managing Director and Group CEO of Mubadala, said, "Last year, as the world confronted a tragic pandemic, we worked closely with our partners and portfolio companies to offer support to communities hit hard by COVID-19. Across the group, our employees dedicated themselves to helping these communities during this crisis, and that important work will continue.

Overall, the UAE and the US remain the largest geographic areas for the portfolio. In addition to its new capital deployment in India, Mubadala also invested through its sovereign investment partnerships in France, China and Russia in 2020.

At year-end, assets under management across the Group stood at AED 894 billion, compared to AED 853 billion in 2019.

Group Chief Financial Officer Carlos Obeid, said, "This strong performance was a reflection of our agility as an investor, as well as our globally diversified portfolio of equities, funds, and mature and growing companies. In 2020 we took advantage of the historically low interest rates to lower our cost of borrowing and extend its weighted average life on the back of strong investor demand for our bond issuances. We continue to maintain a prudent gearing ratio standing at 9.1 percent and a strong cash position as we manage through this economic cycle with a long-term view."

Mubadala also announced a five-year portfolio return of 9.8 percent, dating to 2016. The company had previously announced it would no longer release annual data not relevant to a long-term investor, such as annual revenue or net income, and instead use a multi-year metric.