Emaar posts AED802m second quarter profits

Around a quarter of the properties in the Burj Khalifa have been sold.

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Emaar Properties, the Dubai-based developer, posted an AED802 million profit for the second quarter after the handover of a number of properties to investors.

The figure represents a return to profitability for the firm which saw a loss of AED1.28 billion for the same period in 2009. It builds on its first quarter net profits of AED 760 million, a rise of 221% on the 2009 period.

The company today also disclosed net profits for the half-year of AED1.656 billion, a rise of 122% on the first half of the previous year.

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Revenue for the second quarter stood at AED1.94 billion, a rise of 37% on the same period last year. First-half revenues reached AED5.538 billion, a 59% rise on the AED3.481 of the first six months of 2009.

The handovers include sales of around 24% of units in the Burj Khalifa, the world’s tallest tower, a project critical to the company’s fortunes.

Mohammed Alabbar, chairman of Emaar Properties, cited the company’s “series of strategic initiatives to focus on value creation for our shareholders”, with a new focus on “developing premium real estate projects and building on our assets in promising emerging markets”.

Just over a quarter of last year’s revenue derived from leasing operations, according to a company statement.

Emaar has declined 13% in Dubai trading this year, giving the company a market value of AED20.527 billion. Its stock closed at AED3.37 at the end of Thursday.