Emaar records Dhs5.704b profit in 2017

15/02/2018 05:32 AST

Emaar Properties recorded a net operating profit of Dhs5.704 billion ($ 1.553 billion) during full-year (January to December) 2017, a growth of 16 per cent over the FY 2016 net operating profit of Dhs4.917 billion ($1.339 billion).

Total revenue for FY 2017 increased by 21 per cent to Dhs18.812 billion, over FY 2016 revenue of Dhs15.540 billion.

In 2017, Emaar successfully listed its UAE build-to-sell property development business, Emaar Development, by selling its 20 per cent stake through IPO and raised Dhs4.824 billion ($1.313 billion) and also announced Dhs4 billion ($1.089 billion) of exceptional dividend from the proceeds of the IPO.

Emaar Development, majority-owned by Emaar Properties, reported total revenue of Dhs8.863 billion ($ 2.413 billion), a growth of 28 per cent compared to Dhs6.899 billion ($1.878 billion) in FY 2016. The Company also achieved record sales of Dhs 18.03 billion ($ 4.91 billion) in FY 2017, an increase of 25 per cent over FY 2016 sales of Dhs14.4 billion (US$ 3.92 billion). Emaar Development now has a sales backlog of around Dhs 41 billion ($ 11 billion) as of December 31, 2017, highlighting the robust fundamentals of the company with more than 24,000 residential units to be delivered over the coming years.

Underpinning the success of Emaar’s business segmentation, its shopping malls, hospitality and leisure and entertainment businesses together accounted for a revenue of Dhs6.351 billion ($ 1.729 billion) representing 34 per cent of the total revenue of FY 2017, 6 per cent higher than FY 2016 revenue of Dhs5.976 billion ($1.627 billion).

Revenue from Emaar’s international development operations was Dhs3.603 billion during FY 2017, a growth of 35 per cent over FY 2016 revenue of Dhs2.665 billion; global operations now account for 19 per cent of Emaar’s total revenue.

During the fourth quarter (October to December) 2017, Emaar Properties recorded a revenue of Dhs5.360 billion, 21 per cent higher than Q4 2016 revenue of Dhs4.437 billion. Emaar recorded a net operating profit of Dhs1.357 billion during the same period, 5 per cent higher than the net operating profit earned during fourth quarter 2016.

The Gulf Today