Emaar Development Records 30% Growth in net profit and 25% Growth in Sales to AED 18.03 billion (US$ 4.91 billion) in 2017
Emaar Development PJSC (DFM: EMAARDEV), the UAE build-to-sell property development business majority-owned by Emaar Properties PJSC (DFM: EMAAR) recorded a development in net earnings during full-year (January to December) 2017 by 30 percent to AED 2.74 billion (US$ 747 million), as compared to the web revenue of AED 2.11 billion (US$ 575 million) in year 2016.
Total revenue for FY 2017 was AED 8.86 billion (US$ 2.41 billion), a development of 28 percent, compared to AED 6.89 billion (US$ 1.88 billion) in 2016. The company has a sales backlog of AED 41 billion (US$ 11 billion) as of December 31, 2017, highlighting its robust principles with more than 24,000 residential systems to be delivered over the next 4 years.
Emaar Development reported complete sales of AED 18.03 billion (US$ 4.91 billion) a development of 25 percent as compared to AED 14.41 billion (US$ 3.92 billion) in 2016. This was driven by the launch of 9,531 domestic systems in concerning 21 new property growths in different master-planned developments. As the leader in creating incorporated master-planned areas in the UAE, Emaar Advancement has actually turned over greater than 34,700 domestic devices given that 2002.
The launches in 2017 included: Creek Entrance, Harbour Gate, Creek Rise, Address Harbour Point, 17 Icon Bay, Island Park and Cove in Dubai Creek Harbour; Park Heights I & II, Maple 3, Sidra 3, Park Ridge and Club Villas in Dubai Hills Estate; Golf Views, Urbana II & III and Golf links in Emaar South; Zabeel Square in Zabeel; Downtown Views II and Vida Dubai Mall in Downtown Dubai; and Vida Residence at Dubai Marina. All the new launches, with a total project sales value of AED 20.08 billion (including sold and unsold units), recorded strong investor response.
Emaar Development marked its effective listing on the Dubai Financial Market (DFM) in the fourth quarter of 2017, the biggest listing since 2014, and the third biggest offering on DFM. It now has a substantial landbank of over 167 million square foot of gross floor area (GFA) for build-to-sell (BTS) assets in UAE, placing the company to capitalise on the more development of Dubai's residential property sector.
Mohamed Alabbar, Chairman of Emaar Development and Emaar Properties, said: "The positive performance of Emaar Advancement highlights the potential of the company to shape the cities of the future in the UAE. With the IPO and listing of Emaar Growth, we are creating long-term worth for our shareholders. We will remain to focus on building iconic growths that catalyse the economy and support the vision of His Highness Sheikh Mohammed bin Rashid Al Maktoum, UAE Vice President & Prime Minister and Ruler of Dubai."
Iconic projects for the future
With over 10 mega-developments in its portfolio, Emaar Development has wholly-owned jobs under growth consisting of Midtown Dubai, Arabian Ranches, Dubai Marina and Emirates Living; along with joint endeavor tasks consisting of Dubai Hills Estate, Emaar South and Zabeel Square; and a joint development project-- Dubai Creek Harbour, the 6 square kilometre mega-development by the historical creek, secured by the new global icon, Dubai Creek Tower.
Emaar Development has revealed Emaar Beachfront, a 10 million square feet of Miami design location offering exclusive access to residents to an exclusive coastline and continuous sights of the Arabian Sea, The Palm Jumeirah, Dubai Marina and the Dubai horizon. The project was introduced in January 2018 and taped sell-out reaction at the launch with the complete sales of the project surpassing AED 1 billion.
Emaar Development's strategy for 2018 and beyond is to produce sustained and safe and secure returns from its developments. In addition to maintaining its management duty in prime domestic real estate in Dubai, the company will concentrate on leveraging its considerable land bank and partnership with government-related entities to create sustained value for its shareholders.
