Emaar Properties 2023 revenue soars to $7.3bn; profit up 70pc
DUBAI, February 8, 2024
Leading Dubai property developer Emaar Properties has recorded solid growth for FY 2023 with revenues soaring to AED26.7 billion ($7.3 billion), up 7% over the previous year, while its net profit hit AED11.6 billion ($3.2 billion) achieving a 70% growth.
Announcing the results for the 12-month period ended December 31, 2023, Emaar said with a 15% year-over-year growth, it had achieved group property sales of AED40.3 billion ($11 billion) for the year.
Enhanced by property sales, the group's revenue backlog from property sales reached AED71.8 billion ($19.5 billion) as of 31 December 2023, indicating positive outlook for revenue recognition in the forthcoming years.
Emaar also achieved 63% growth in ebitda, reaching AED16 billion ($4.4 billion) during 2023 as compared to 2022.
This performance was supported by growth in tourism, a continued upward trend in retail sales and a consistent increase in real estate demand, it stated.
For the year, Emaar Properties had demonstrated sustained profitable growth with ongoing enhancements in property sales, a notable upswing in profitability, and remarkable progress in the performance of its recurring revenue sectors.
Emaar's long-standing reputation for customer focus, exceptional design, construction excellence, and innovation across all market segments continues to attract both domestic and international investors, it added.
On the solid performance, Mohamed Alabbar, the founder of Emaar, said: "Following a prosperous 2023, our achievements are indeed gratifying. The strategic initiatives undertaken in the past two years, coupled with enhancements in consumer confidence and overall business dynamics, especially in the real estate and retail sector, have significantly influenced our company's operations throughout the previous year."
"With these results, we look forward to a positive performance in our shopping centres, hotels, and property sales in 2024. We remain committed to unveiling innovative projects and unparalleled offerings across all our business divisions," stated Alabbar.
Emaar Development's record revenue
On the performance of its key subsidiary, Emaar Development, the Dubai developer said it had recorded a 22% growth in property sales for 2023, thus taking its total revenue to AED37.4 billion ($10.2 billion) from AED30.7 billion ($8.4 billion) the previous year.
A premier UAE developer specialising in the build-to-sell property business, Emaar Development had registered a net profit of AED6.6 billion ($1.8 billion), up 74% over the previous year, buoyed by the 27 successful launches of new projects across various master plans, creating a foundation for future revenue.
In Q4 2023, Emaar Development had unveiled Address Residences Al Marjan Island in Ras Al Khaimah, a luxurious haven blending modern elegance with the tranquillity of island living.
This exclusive development, encircling the Address Al Marjan Island resort, offers a range of elegant living options from apartments to villas, all featuring contemporary design, serene interiors, and captivating sea views.
Earlier in 2023, Emaar revealed its newest lifestyle destination, The Oasis by Emaar, one of Dubai's largest and most prestigious developments, launching the first communities in Palmiera.
Covering a total land area of more than 100 million sq ft and with a total development value of $20 billion, The Oasis by Emaar boasts exceptional architectural designs by the world's most famous architects, with interiors created by prominent international designers.
Adhering to Emaar's commitment to delivering exceptional quality, The Oasis offers over 7,000 residential units focusing on large mansions and villas with spacious plots, providing residents with stunning views of water canals, lakes, and parks, it stated.
Last year, Emaar Development had reported an ebitda of AED8 billion ($2.2 billion) and net profit of AED6.6 billion ($1.8 billion), an increase of 89% and 74% compared to 2022, respectively.
According to the Dubai developer, Emaar Development now has a sales backlog of AED57.1 billion ($15.5 billion), which will be recognised as revenue in the coming years.
"Emaar's consistent performance in enhancing sales and profitability reflects our strategic focus on developing premier residential properties, retail, hospitality, and entertainment environments. Our commitment to excellence resonates with our clientele, reinforcing their confidence in our brand," remarked Alabbar.
"Understanding market trends and delivering high-quality developments are key drivers of this trust. Emaar's robust project pipeline and our keen market insights ensure we remain on a path of sustained growth and success," he added.
During 2023, Emaar Development has delivered over 12,000 residential units across prime locations, including Dubai Hills Estate, Dubai Creek Harbour, Downtown Dubai, Emaar Beachfront, Arabian Ranches, Emaar South, Dubai Marina and The Valley.
As of December 2023, Emaar has delivered more than 70,000 residential units, with over 25,500 residences currently under development in the UAE.-TradeArabia News Service
