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DUBAI/WAM
Emaar Properties has released its financial results for the first half of 2024, reporting total revenue of AED14.4 billion ($3.9 billion) and a net profit before tax of AED7.8 billion ($2.1 billion), achieving growth of 17% and 33%, respectively over the same period last year.
In a statement on Thursday, the company said that the improved performance was driven by sustained investors’ confidence and robust demand in Dubai’s real estate market, strong project execution capability, and continued growth in tourism and retail sales.
Emaar’s strategy to improve profit margins and optimise operational efficiencies resulted in Emaar achieving a 24% growth in EBITDA, which rose to AED8 billion ($2.2 billion) in H1 2024.
Emaar outperformed its Q1 2024 group property sales in Q2 2024, resulting in record group property sales in H1 2024 of AED31.5 billion ($8.6 billion), a 56% growth compared to H1 2023.
This robust momentum in property sales further expanded Emaar’s revenue backlog from property sales, which reached AED90.1 billion ($24.5 billion) at the end of June 2024, up 43% from June 2023 and 15% from March 2024.
This backlog represents future revenue from property sales that will be recognised over the next 4-5 years, indicating sustained profitability.
Commenting on the results, Mohamed Alabbar, Founder and Managing Director of Emaar Properties, said, “Our strategic investments in key locations and other major assets have yielded impressive returns. 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.”