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Dubai’s Emaar sees promising 2023; approves dividends equal to 25% share of capital

In 2022, Emaar recorded a net profit of Dh6.8 for the fiscal year ending December 31

Published: Tue 18 Apr 2023, 2:20 PM

Updated: Tue 18 Apr 2023, 3:25 PM

By
Issac John

Emaar Properties' annual general meeting in progress. - Supplied photo

The Emaar group said on Tuesday that it sees 2023 as a promising year after a record year of real estate sales in 2022 as shareholders of the master developer approved a proposal to distribute dividends equal to 25 per cent of the share capital.

In 2022, Emaar Properties recorded a net profit of Dh6.8 billion for the fiscal year ending December 31 while the company’s total revenue reached Dh24.9 billion.

The company said the results are indicative of the persevering interest of both domestic and international investors, with domestic and international sales exceeding their pre-pandemic levels.

The decision to distribute dividends was taken at Emaar’s annual general meeting where the board of directors reported the company’s strong performance in 2022 and discussed the rigorous measures taken to ensure continued robust business performance throughout the year.

The dividend distribution “demonstrates Emaar’s commitment to maximising shareholder value. Both the auditor’s report for the year 2022 and the board’s report on the company’s activities and financial position were approved at the meeting,” the developer said in a statement.

Mohamed Alabbar, the founder of Emaar Properties, said the group sees 2023 as a promising year, “and it is dedicated to improving its operations, increasing its return on investment, and satisfying its clientele.”

Alabbar said the company plans to boost its efficiency, productivity, and performance to increase its turnover. “Digital transformation, new product innovation, and market penetration will lay the groundwork for future growth and long-term shareholder value. Simultaneously, Emaar continues to make healthy investments in its workforce, attracting top global talent while enhancing opportunities to nurture UAE national talent and fostering more inclusive growth for our organisation and society.”

Property analysts said Emaar’s remarkable performance in 2022, and its optimistic outlook for 2023 underscores the ongoing boom in real estate transactions being witnessed this year as well as the increasing influx of foreign buyers from Europe and Asia. They observed that Russia’s invasion of Ukraine brought another influx of new residents while high oil prices and visa reforms and other proactive investment initiatives add new dynamism to the property market.

Emaar said by prioritising the satisfaction of its customers and ensuring the continued development of its products and services, the company is able to increase the value it brings to its shareholders. This resulted in Dh35.1 billion in real estate sales for the company in 2022, a record high and a reflection of the confidence customers have in the Emaar name.

“In addition, Emaar reports a sizable sales backlog of over Dh 53.2 billion, which will be recognised as revenue over the next few years. Emaar remains committed to delivering all ongoing projects by their respective deadlines. Investment in the company’s highly qualified workforce, digital systems, and supplementary resources will ensure the continuity of all operational efficiencies and help the business realise its long-term goals,” said the statement.