Emaar posts 18% growth in net profits for 2015
Total sales value of residential units in 2015 was pegged at $4.1bn (AED15.2bn) for Emaar
Global developer Emaar Properties recorded 18% rise in their net profit for 2015, to $1.1bn (AED4.3bn) from $1bn (AED3.7bn) in 2014.
Emaar achieved revenues of $3.7bn (AED13.6bn) for 2015, which is 33% higher than FY2014 revenues of $2.8bn (AED10.3bn).
The shopping malls and retail, and hospitality and leisure businesses recorded recurring revenues of $1.5bn (AED5.7bn), 42% of the total revenue. This is 8% higher than the FY2014 revenue from the two businesses at $1.4bn (AED5.3bn).
Revenue from international operations of Emaar, which has a footprint across the Middle East, North Africa, South Asia and USA increased by 46% to $713m (AED2.6bn) compared to $488m (AED1.7bn) in FY2014, now accounting for 19% of the total revenue.
Emaar’s net operating profit for the fourth quarter (October to December) 2015 was $363m (AED1.3bn), 58% higher than the third-quarter (July to September) 2015 figures of $230m (AED843m) and 28% higher than same period in 2014.
Revenue for Q4 2015 was $1bn (AED3.8bn), 15% more than the Q3 2015 revenue of $906m (AED3.3bn) and 58% higher than same period in 2014.
Mohamed Alabbar, chairman of Emaar Properties, said that the positive growth is underpinned by Emaar’s strategy of creating long-term value for its stakeholders by developing premium real estate assets and strengthening its shopping malls & hospitality businesses which provide a recurring revenue stream that supports the company’s sustainable growth plan.
“Our businesses benefited from the positive performance of Dubai’s economy with the core sectors of retail, hospitality, tourism and aviation setting impressive milestones in 2015. We will continue to support the goals of Dubai Plan 2021 announced by His Highness Sheikh Mohammed bin Rashid Al Maktoum, UAE Vice President & Prime Minister and Ruler of Dubai, to establish Dubai as the preferred place to live, work and visit."
"The expansion of our flagship Downtown Dubai, which will see the opening of Dubai Opera this year, and our joint venture mega-developments such as Dubai Creek Harbour and Dubai Hills Estate, will further contribute to the smart and sustainable urban infrastructure of the city.”
He also added: “Our diversified development approach and the emphasis we place on world-class project management enable us to address market challenges efficiently. Through resource use optimisation and by focusing on maximising efficiency across all our operations, we will continue to build on our growth during 2016.”
To date, Emaar has handed over more than 40,000 residential units in Dubai and other international markets. Of these, to date, over 33,600 units were handed over in Dubai.
Emaar has strong fundamentals with a land bank of approximately 195 million sqm in Dubai and international markets.