Group property sales in H1 2024 hit Dh31.5 billion
A view of Downtown Dubai
Emaar Properties announced on Thursday a total first-half revenue of Dh14.4 billion and a net profit before tax of Dh7.8 billion, recording a growth of 17 per cent and 33 per cent respectively over the same period last year.
The improved performance was driven by sustained investors’ confidence and robust demand, showcasing consistent resilient performance and operational efficiency across various businesses, Emaar said in a statement.
The developer outperformed its Q1 2024 group property sales in Q2 2024 resulting in achieving record group property sales in H1 2024 of Dh31.5 billion, a 56 per cent growth compared to H1 2023. “This robust momentum in property sales further expanded Emaar's revenue backlog from property sales, which reached Dh 90.1 billion as at the end of June 2024, up 43 per cent from June 2023 and 15 per cent from March 2024. This backlog represents future revenue from property sales that will be recognised over the next 4-5 years,” the master developer said.
Mohamed Alabbar, founder and managing director of Emaar Properties, said the group delivered remarkable results, reflecting its commitment to long-term success and customer satisfaction. “Our strategic investments in key locations and other major assets have yielded impressive returns. With a clear vision and pragmatic approach, we maximise value for our stakeholders. We are confident in executing our business strategies and proud of our significant contribution to Dubai's economic landscape and reinforcing its global leading position," said Alabbar.
Emaar said its strategy to improve profit margins and optimise operational efficiencies resulted in achieving a 24 per cent growth in EBITDA, which rose to Dh8 billion in H1 2024.
Emaar Development, a majority-owned subsidiary, successfully launched 25 projects across various masterplans and achieved the highest-ever property sales of Dh29.7 billion during the first half of 2024, reflecting a growth of 56 per cent over H1 2023.
Emaar Development continued to demonstrate its strong financial performance in Q2 2024 which resulted in revenues reaching Dh7.3 billion and recorded EBITDA of Dh3.4 billion in H1 2024, showcasing remarkable growth of 65 per cent and 47 per cent respectively over H1 2023. The consolidated revenue of Emaar Properties from its property development business in the UAE during H1 2024 reached Dh9 billion, including Dubai Creek Harbour.
In the first half of 2024, Emaar unveiled two expansive luxury living masterplans: The Heights Country Club & Wellness” and “Grand Polo Club & Resort. Together, these projects span over 140 million square feet and have a combined value of Dh96 billion.
With a continued uptrend in real estate sales, the backlog of Emaar from property sales in the UAE has reached Dh 82.3 billion, 33 per cent higher than December 2023, which will be recognised as revenue in the coming years.
Malls and commercial leasing operations of Emaar reported revenue of Dh2.8 billion and achieved an EBITDA of Dh 2.3 billion in H1 2024. During the first half of 2024, retail sales performance of our tenants has also witnessed growth of over 7.0 per cent compared to the same period last year. Emaar Malls prime assets boast occupancy of nearly 99 per cent as of 30 June 2024.
In June 2024, Emaar Malls announced Dh1.5 billion investment to expand Dubai Mall, which achieved a milestone in 2023, becoming the most visited place on Earth with 105 million visitors. The expansion will add 240 new shops and is expected to attract more visitors and will feature a variety of new international and local luxury retail and F&B options. Additionally, Dubai Mall, in collaboration with Salik, has introduced a paid parking system designed to enhance the guest experience