Sales double at Dubai's Emaar as Q1 2019 backlog hits $13.6bn
Revenues top $1.6-billion in Q1 as chairman Mohamed Alabbar points to growing interest from international investors
Dubai Financial Market-listed Emaar Properties recorded a 53% surge in its Q1 2019 sales, with the UAE real estate development giant’s revenue topping $1.6bn (AED6bn) during the period.
According to a stock market missive, the chairman Mohamed Alabbar-led developer’s sales to international customers more than doubled in the first quarter of 2019, hitting $720m (AED2.6bn) compared to $323m (AED1.2bn) in Q1 2018.
The spike in sales showcased the increasing interest in Dubai's real estate market, Emaar said.
In Q1 2019, the company’s net profits were recorded at $474m (AED1.7bn), compared to $442m (AED1.6bn) in Q1 2018, marking a 7.2% year-on-year hike.
Revenues stayed largely unchanged at $1.6bn in Q1, during which the developer launched the Elie Saab at Emaar Beachfront and Arabian Ranches III projects.
At the end of Q1 2019, the developer of Burj Khalifa had a sales backlog of $13.6bn (AED50bn), growing from $13.2bn (AED48.4bn) in Q4 2018.
Speaking about the surge in quarterly sales, Alabbar said: “Our focus on timely project execution and cash flow generation underlines our market leadership.
“The surge in sale of Emaar’s real estate developments in Dubai to international investors not only highlights Dubai’s position as the region’s leading business centre and hub city, but as the one of the most dynamic and growing market economies,” added Alabbar, who had referred to Emaar as a "future-ready" and "digital-first" organisation while approving dividend to shareholders last month.
The company's build-to-sell property development arm recorded $910m (AED3.3bn) in Q1 2019 revenues, growing 2.4% from Q1 2018's $889m (AED3.2bn)
Emaar Malls, the group's malls and retail business, posted YoY growth of 4% in Q1 2019 revenues to $293m (AED1.1bn).
Meanwhile, Emaar's hospitality and leisure, entertainment, and commercial leasing businesses jointly recorded revenue of $201m (AED738m) in the first quarter of 2019.