Emaar Properties, Dubai's largest listed developer by market capitalisation, reported a 1 per cent increase in its full-year 2019 profit as income rose and expenses dropped.
Net profit for the period ending December 31 climbed to Dh6.2 billion, the company said in a statement to Dubai Financial Market, where its shares trade. Other income rose 3 per cent to Dh919 million and selling and marketing, general and administration expenses fell by 7 per cent to Dh4.4bn. Revenue, however, slid 4 per cent to Dh24.59bn.
Last year, the company reported property sales of Dh15bn in Dubai on the back of continued interest from foreign investors in both residential and commercial developments as well as new, first time home buyers entering the UAE property market.
"Emaar's performance in 2019 was resilient, maintaining growth within a challenging market. Emaar's sales achievements in 2019 are a testament to the products and people behind these innovations,” said Mohamed Alabbar, chairman of Emaar Properties and Emaar Development.
“Optimising resources, improving efficiency and maximising our productivity has directly contributed to enhancing our performance and positively impacted our results,” Mr Alabbar added.
To date, Emaar has delivered more than 63,000 residential units in Dubai and other international markets. It is currently developing more than 30,000 residences in the UAE and over 14,000 units in global markets.
Emaar now has a total sales backlog of Dh45.79bn, of which Dh33.73bn is in the UAE, to be recognised as revenue in the coming years, it said.
In 2019, Emaar Development recorded a net profit of Dh2.7bn and revenue of Dh12.75bn. Emaar Development, last year also launched 22 new projects across various master-planned communities in Dubai and has sold 70 per cent of the units it launched. The company also introduced 3 new master-planned communities in 2019.
Emaar's international property development operations, on the other hand, recorded 43 per cent increase in revenue to Dh4.39bn in 2019, driven by its operations in Egypt and India. Emaar International represents 18 per cent to the total group revenue.
In 2019, Emaar’s subsidiary in Egypt received an allocation of 500 acres of land plot in Sheikh Zayed City for a mixed-use masterplan development, which will increase Emaar's real estate portfolio in West Cairo, the company said.