Dubai: Emaar Properties’ 2016 net profit breached the Dh5 billion mark, growing 28 per cent year-on-year to Dh5.23 billion while revenues grew 14 per cent to Dh15.54 billion.
Quite tellingly, the developer’s property sales in Dubai were up 41 per cent to Dh14.4 billion. The numbers were achieved despite a tough environment the local real estate sector endured during the period.
Emaar handed over 41,500 homes during the year, of which 33,947 were in Dubai. The developer’s land bank across the UAE now stands at 25 million square metres.
Recurring revenue from its malls, hotel interests and entertainment attractions was up 38 per cent to Dh5.9 billion, making up 38 per cent of the overall revenue pie.
“As the nation sets new milestones in futuristic developments, Emaar will continue to invest in next-generation technology to deliver modern lifestyles that meet the lifestyle aspirations of our youth and future generations,” said Mohammad Alabbar, Emaar chairman, in a statement.
Currently, Emaar’s master-developments include Dubai Hills Estate (spanning 11 million square metres), which will feature a retail hub and is set around an 18-hole championship golf course. There is also the Dubai Creek Harbour (stretching across 6 square kilometres), helmed by The Tower, the world’s next tallest skyscraper. Emaar recently launched Emaar South in the Dubai South area.
Emaar Malls recorded a net profit of Dh1.87 billion during 2016, an increase of 13 per cent over the previous year. Revenues weighed in with a growth of 8 per cent to Dh3.23 billion.
Overseas operations also lent a hand — adding Dh2.66 billion and contributing 17 per cent to the overall.
“Sales across various international markets in 2016 were valued at Dh3.9 billion,” said a statement. “The group now has a backlog of Dh42.97 billion to be recognised in the next few years, underlining its strong financial fundamentals.”
Strong fourth-quarter provides ballast
* The fourth-quarter net profit was up a sizeable 56 per cent to Dh1.613 billion, compared to the 2015 fourth-quarter net of Dh1.034 billion and 41 per cent higher than 2016 third-quarter figure of Dh1.14 billion.
* Revenue for the fourth quarter of 2016 was Dh4.43 billion, 16 per cent higher than the Dh3.81 billion posted in the fourth quarter of 2015.
