Emaar Development PJSC Reports Robust 56% Increase in Property Sales for H1 2024

Emaar Development PJSC (DFM: EMAARDEV), a prominent player in the UAE's build-to-sell property development sector, has reported an impressive 56% increase in property sales for the first half of 2024. The company achieved sales of AED 29.7 billion (US$ 8.1 billion) from January to June 2024, compared to AED 19 billion (US$ 5.2 billion) during the same period in 2023. This significant growth can be attributed to Emaar Development's successful property launches and strategic initiatives, which have created a robust revenue pipeline for the future.

One of the major highlights of Emaar's recent performance is the increase in its sales backlog to AED 74.2 billion (US$ 20.2 billion), which will be recognized as revenue in the coming years. This backlog reflects the strong demand for Emaar's properties and the trust customers place in the company's offerings.

In addition to the impressive sales figures, Emaar Development announced the launch of two major developments: The Heights Country Club & Wellness and Grand Polo Club & Resort. These projects span a total of 141 million square feet of land and have a combined development value of AED 96 billion (US$ 26 billion). These new developments are expected to further enhance Emaar's portfolio and attract a substantial number of new buyers.

During the second quarter of 2024, Emaar Development also launched the second phase of its masterplan, 'The Valley.' This launch is part of Emaar's vision to create luxurious living experiences and strategically position the company to launch a significant number of villas and townhouses. These new offerings are anticipated to boost sales and profitability, reinforcing Emaar's position as a leading global property developer.

Financially, Emaar Development reported a revenue of AED 7.3 billion (US$ 2 billion) for the first half of 2024, a 65% increase compared to the same period in 2023. The company's EBITDA also saw a substantial rise, reaching AED 3.4 billion (US$ 922 million), which is 47% higher than the first half of 2023. These strong financial results highlight Emaar's strategic acumen and the dedication of its team.

Mohamed Alabbar, the founder of Emaar, expressed his satisfaction with the company's performance, stating, 'In the first half of 2024, Emaar has demonstrated remarkable resilience and outstanding performance. Our financial results highlight our strategic acumen and the dedication of our entire team. The increasing demand reflected in our growing backlog speaks volumes about the trust our customers place in us. By continuing to enhance operational efficiencies and being firm to our strategic vision, we are committed to delivering exceptional value to our shareholders and contributing meaningfully to Dubai's economic growth.'

Given the strong performance and strategic initiatives, investors may consider holding their positions in Emaar Development PJSC. The company's substantial sales backlog, ongoing projects, and robust financial health suggest that it is well-positioned for future growth. However, potential investors should also consider market conditions and other external factors before making any investment decisions.