Financial Services Company was established in 1989 and is primarily engaged in brokerage and investment banking activities. Dhofar International Development & Investment Holding Company owns 64 per cent of the stock.

Other shareholders include Dhofar Cattle Feed Company and Dhofar Beverages Company. Like all brokerage companies in the sultanate, Financial Services Company witnessed rapid growth in 1996 and 1997 as activity on the MSM increased and prices of shares appreciated.

In 1997, net profits shot up seven-fold to just under RO 3 million ($7.8 million). However, earnings plunged into the red by RO 1.7 million ($4.4 million) the following year, reflecting the sharp slump of share prices and activity on the MSM which necessitated provisions of RO 1.

3 million ($3.4 million) for investments and RO 2 million ($5.2 million) for bad debt. The company is now reorganizing its operations and manpower to meet its current and future needs. Ahmed Saleh al-Marhoon was appointed general manager in August 1998 and has introduced a number of new policies which have included the creation of a customer service department.

The company is considering establishing investment funds and may begin to invest abroad to diversify its investment portfolio. The immediate challenge is dealing with the losses on the profit and loss account arising from the slump of the Omani equity market in 1998.

Financial Services Company is well-placed to deal with this issue since it has the support of a major holding company as principal shareholder.

Individuals	N/A
Institutions	60%
Floating	N/A
Government	N/A

	2004	2003	2002
Total Assets	14,210	12,538	10,357
Shareholder's Equity	10,067	9,502	8,663
NIAT	1,961	2,175	1,249
Dividends	1,313	1,250	750

	2004	2003	2002
Assets Growth	13.34%	21.06%	4.68%
Earning Growth	-9.86%	74.20%	56.35%
ROaA	14.66%	19.00%	12.33%
ROaE	20.04%	23.95%	13.78%
No. Of Shares	6,250,000	6,250,000	6,250,000
EPS	0.31	0.35	0.20
EPS Growth	-9.86%	74.20%	56.35%
Payout Ratio	66.935	57.463	60.062

	Trailing
PE
PB
DVPS
Div Yield
EV
EV/Equity

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