H1 profits surge 68% at Emaar Development
The development arm of Dubai-based Emaar Properties is the latest major name to report its first half financial results for 2018
Revenues more than doubled at Emaar Development in the first half of 2018, helping push net profit up over 60% at Emaar Properties' development arm.
According to its latest financials, the UAE build-to-sell property development business recorded a net profit of $196m (AED1.82bn) in H1 2018 – a solid 68% increase on H1 2017’s $294m (AED1.08bn) figure.
Revenue figures were even more positive, rising 119% to hit $1.90bn (AED6.99bn).
This increase on the $868m (AED3.19bn) of cash brought in during the first half of 2017 was, Emaar said, "underpinned by the progress in construction and timely project delivery".
Now with a development pipeline of over 60 residential projects in the UAE with over 28,000 units, Emaar development launched in the first half of the year 3,600 residential units across its mega developments.
In this same period, according to the results, Emaar Development reported total sales of $1.7bn (AED6.23bn).
It now has a total backlog of over $10.48bn (AED38.50bn) – the majority of which, Emaar said, will be recognised as revenues over the next “three to four years".
Some of Emaar Development’s main launches in the first six months of 2018 included The Grand – a collection of ultra-luxury apartments, penthouses and podium-level townhouses in Dubai Creek Harbour.
Emaar Beachfront, situated on a private gated development in the Arabian Gulf, together accounted for sales of $449bn (AED1.65bn).
Speaking on the figures, HE Mohamed Alabbar, chairman of Emaar Development and Emaar Properties, said: "Developing premium real estate assets is our core strategy for Dubai and the resurging investor enthusiasm to our property launches underlines their trust in our focus on quality and design.
"We will continue to seek opportunities for developing property assets that create long-term value for our stakeholders."