Damac Properties, a leading luxury property developer, posted a 45 per cent drop in its net profit for the first three months of the year which fell to Dh484 million ($131.7 million) from Dh880.4 million ($240 million) for the same period last yrear.

Announcing the financial results for the first quarter, Damac said its total revenue surged to Dh1.9 billion, with booked sales reported at Dh1.6 billion, largely in line with Dh1.5 billion recorded in Q4 2017.

By the end of the quarter, the Dubai luxury developer had handed over 648 units at its Damac Heights tower, in Dubai Marina, while gross profits stood at Dh761 million reflecting profit margins of 40 per cent.

The group's net profit stood at Dh484 million in the first quarter, marginally higher than Dh459 million reported in the fourth quarter of 2017. Total assets too increased by 4.6 per cent to Dh26.5 billion compared to Dh25.3 billion as at December 2017.

As of March 31, 2018, Damac's cash and bank balances stood at Dh7.7 billion while development properties stood at Dh9.6 billion, largely unchanged versus December 2017.

Total equity stood at Dh14.3 billion which is an increase of 3.5 per cent from year-end 2017, and earnings per share (EPS) for the quarter amounted to Dh0.08 per share.

Chairman Hussain Sajwani commented: "Dubai’s property market continues to attract investors from around the world, thanks to Dubai’s visionary leadership and the emirates’ global appeal as one of the safest, happiest and fastest growing cities in the world while local and international demand for our projects remains strong."

Dubai, he stated, continues to expand on its proposition as a leading destination for tourism, business and investment, with ongoing infrastructure development leading up to Expo 2020.

According to him, Damac has been at the forefront of the Middle East’s luxury real estate market since 2002 – bringing luxury living experiences to residents from all over the world.

Making its mark at the highest end of stylish living, the UAE developer has cemented its place as the leading luxury developer in the region, offering iconic design and the utmost quality.

The company’s footprint now extends across the Middle East with projects in the UAE, Saudi Arabia, Qatar, Jordan, Lebanon, Oman and the United Kingdom, said Sajwani.

"Dubai remains one of the world’s most attractive places to live and work, which ultimately delivers long-term benefit to the real estate sector as a whole,” he stated.

As of December 31, 2017, Damac has delivered over 20,230 homes. The company has a development portfolio of over 44,000 units at various stages of progress and planning, comprising more than 13,000 hotel rooms, serviced apartments and hotel villas, which will be managed by its hospitality arm, Damac Hotels & Resorts.

With vision and momentum, Damac Properties is building the next generation of Middle East luxury living, he added.-TradeArabia News Service