Emaar Properties PJSC Reports Record-Breaking Growth in H1 2024
Emaar Properties PJSC has announced its financial results for the first half of 2024, showcasing an impressive growth trajectory and operational efficiency. With a significant increase in property sales and a robust profit margin, the company continues to strengthen its market position.
Summary
Emaar Properties PJSC recorded a 56% growth in group property sales, reaching AED 31.5 billion in H1 2024. The company's net profit before tax grew by 33% to AED 7.8 billion. Emaar also announced a AED 1.5 billion investment to expand Dubai Mall, introducing 240 new luxury retail options.
Emaar Properties PJSC (DFM: EMAAR), a leading real estate development company based in the United Arab Emirates, has reported outstanding financial results for the first half of 2024. The company recorded a 56% increase in group property sales, reaching an impressive AED 31.5 billion (US$ 8.6 billion), compared to the same period last year.
Emaar's property sales backlog has also seen substantial growth, reaching AED 90.1 billion (US$ 24.5 billion) by the end of June 2024. This backlog, which represents future revenue from property sales, is up 43% from June 2023 and 15% from March 2024. This indicates a strong pipeline of future revenue, ensuring sustained profitability for the company over the next 4-5 years.
The company reported a net profit before tax of AED 7.8 billion (US$ 2.1 billion) in H1 2024, marking a 33% increase from H1 2023. This growth was driven by sustained investor confidence, robust demand in Dubai's real estate market, and strong project execution capabilities. Additionally, Emaar's strategy to improve profit margins and optimize operational efficiencies resulted in a 24% growth in EBITDA, which rose to AED 8 billion (US$ 2.2 billion) in H1 2024.
In a significant development, Emaar announced a AED 1.5 billion (US$ 408 million) investment to expand Dubai Mall, introducing 240 new luxury retail options. This strategic investment is expected to further enhance Dubai's status as a global retail destination and boost Emaar's revenue from its retail segment.
Mohamed Alabbar, a key figure at Emaar, commented on the company's strong performance: 'Emaar delivered remarkable results in the first half of the year, reflecting our commitment to long-term success and customer satisfaction. Our strategic investments in key locations and other major assets have yielded impressive returns. With a clear vision and pragmatic approach, we maximize value for our stakeholders. 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.'
Given the company's robust financial performance, strong future revenue pipeline, and strategic investments, Emaar Properties PJSC appears well-positioned for continued growth. Investors looking for a solid and promising investment in the real estate sector should consider Emaar as a strong candidate.
Based on the company's impressive financial results and growth prospects, the recommendation is to buy Emaar Properties PJSC shares.
Source
Summary
Emaar Properties PJSC reported significant financial growth for the first half of 2024. Group property sales increased by 56% to AED 31.5 billion (US$ 8.6 billion), and the property sales backlog reached AED 90.1 billion (US$ 24.5 billion). Net profit before tax rose by 33% to AED 7.8 billion (US$ 2.1 billion) compared to the same period in 2023. Additionally, Emaar announced a AED 1.5 billion (US$ 408 million) investment to expand Dubai Mall with 240 new luxury retail options. Total revenue grew by 17% to AED 14.4 billion (US$ 3.9 billion), driven by robust demand in Dubai's real estate market, strong project execution, and growth in tourism and retail sales. EBITDA increased by 24% to AED 8 billion (US$ 2.2 billion). Mohamed Alabbar highlighted the company's strategic investments and commitment to long-term success and customer satisfaction.
