Dubai’s Damac closes with net profit of Dh1.4b against 2021’s Dh528m loss

Dubai: Boosted by new launches such as the Cavalli tower and the Lagoons, Dubai master-developer Damac recorded a net profit of Dh1.4 billion in 2022 (against a loss of Dh528 million the year before), derived from revenues that hit Dh3 billion (from Dh2.96 billion). Total assets ended last year with Dh21.56 billion.

Damac has been a major beneficiary of the sharp return to form in offplan property buying in Dubai, with the water-themed Damac Lagoons proving an instant hit. The company has also made a transition from being publicly listed to being back to the complete ownership of its founder, Hussain Sajwani.

Through 2022, apart from the Lagoons, Damac went in for the Cavalli project relaunch, and also unveiled multiple high-rise projects in the Safa area through its Swiss ‘jeweller’ connection. Its moves to expand the hotel portfolio also paid off, this time through the Paramount branded properties.

Going forward, Damac has properties for development and sales of Dh7.53 billion, which comprise completed residential and commercial properties (of Dh1.3 billion), land held for mixed-use development and sale (valued at Dh222 million) and properties under construction (of Dh6 billion).

There are also overseas projects within the Damac umbrella, as well as investment vehicles controlled by Sajwani, in London, Miami and Central Europe.

Debt on the Damac books is at Dh1.2 billion, which works out to a gross debt-to-equity ratio of 0.13.