By Arabian Post Staff
Emaar Properties recorded net profit of AED 6.200 billion (US$ 1.688 billion) as compared to AED 6.139 billion (US$ 1.671 billion) in FY 2018. Revenues were worth AED 24.586 billion (US$ 6.694 billion) for 2019.
An Emaar statement said the company maintained its positive performance in 2019 recording property sales in Dubai of AED 14.949 billion (US$ 4.070 billion). It attributed the performance is a result of Emaar’s ongoing investment in customer-centric innovation across its businesses and continued interest from foreign investors in both residential and commercial developments as well as new, first time home buyers entering the UAE property market.
To date, Emaar has handed over more than 63,000 residential units in Dubai and other international markets. More than 30,000 residences are under development in the UAE and over 14,000 units in global markets. Emaar now has a total sales backlog of AED 45.795 billion (US$ 12.468 billion) of which AED 33.736 billion (US$ 9.185 billion) is in UAE, to be recognized as revenue in the coming years.
In 2019, Emaar Development recorded a net profit of AED 2.700 billion (US$ 735 million) and revenue of AED 12.746 billion (US$ 3.470 billion). It launched 22 new projects across various master plans in Dubai and sold 70 per cent of its units launched in 2019, indicating a stronger connection of customers with Emaar’s strong brand value. Emaar Development has also introduced 3 new master-planned communities in 2019, Arabian Ranches III, Mina Rashid and The Valley, with a sell-out response, demonstrating the demand for expansive communities and family homes.
The notable launches of 2019 include: The Palace, Bay Shore and Creek Edge in Dubai Creek Harbour, Sun, Joy and Spring in Arabian Ranches III, Grand Bleu and South Beach Holiday Homes in Emaar Beachfront, Green View and Parkside in Emaar South. Other than this we have also launched couple of projects in Dubai Hills Estate, Mina Rashid and The Valley master-planned developments.
Emaar’s international property development operations recorded 43 per cent increase in revenue to AED 4.399 billion (US$ 1,198 million) in 2019 as compared to AED 3.081 billion (US$ 839 million) in 2018. This was primarily led by Emaar’s operation in Egypt and India. Emaar International represents 18 per cent to the total Group revenue.
In 2019, Emaar’s subsidiary in Egypt has received an allocation of 500 acres of land plot in Sheikh Zayed City for a mixed-use masterplan development, this will increase Emaar’s real estate portfolio and expand in West Cairo.
Emaar Malls and other businesses
Emaar Malls recorded 5 per cent increase in revenue to AED 4.673 billion (US$ 1.272 billion) in 2019, compared to AED 4.446 billion (US$ 1.210 billion) in 2018. Overall net profit in 2019 amounted to AED 2.286 billion (US$ 622 million) as compared to net profit of AED 2.230 billion (US$ 607 million) in 2018.
Occupancy levels within Emaar Malls assets – The Dubai Mall, Dubai Marina Mall, Gold & Diamond Park, Souq Al Bahar and the Community Retail Centres – remained strong at 92 per cent. In 2019, the malls and retail centers of Emaar Mall welcomed approximately 136 million visitors collectively with The Dubai Mall maintaining its exceptional performance welcoming 84 million visitors in 2019.
Namshi, the regional e-commerce fashion and lifestyle platform was fully acquired by Emaar Malls in 2019. The online retailer recorded a revenue of AED 1.028 billion (US$ 280 million), increasing by 21 per cent compared to the previous year. Namshi’s consistent success is attributed to its popular ‘Black November’ campaign and considerable growth in the Saudi market.
Emaar’s recurring revenue generating businesses, hospitality & leisure, entertainment, commercial leasing business along with Emaar Malls, reported a revenue of AED 7.293 billion (US$ 1.986 billion), representing 30 per cent of the total Group revenue. The hotels under Emaar Hospitality Group (including managed hotels) in Dubai reported an average occupancy of 80 per cent, higher than the industry average.
Also published on Medium.