AIRLINK 194.83 Decreased By ▼ -3.14 (-1.59%)
BOP 9.81 Decreased By ▼ -0.23 (-2.29%)
CNERGY 7.36 Increased By ▲ 0.07 (0.96%)
FCCL 38.58 Increased By ▲ 2.58 (7.17%)
FFL 16.45 Decreased By ▼ -0.46 (-2.72%)
FLYNG 27.54 Increased By ▲ 2.50 (9.98%)
HUBC 131.75 Decreased By ▼ -2.28 (-1.7%)
HUMNL 13.86 Decreased By ▼ -0.28 (-1.98%)
KEL 4.66 Decreased By ▼ -0.12 (-2.51%)
KOSM 6.66 Decreased By ▼ -0.28 (-4.03%)
MLCF 45.39 Increased By ▲ 0.41 (0.91%)
OGDC 213.99 Decreased By ▼ -4.24 (-1.94%)
PACE 6.86 Decreased By ▼ -0.08 (-1.15%)
PAEL 40.06 Decreased By ▼ -1.36 (-3.28%)
PIAHCLA 16.79 Decreased By ▼ -0.07 (-0.42%)
PIBTL 8.32 Decreased By ▼ -0.14 (-1.65%)
POWER 9.43 Increased By ▲ 0.04 (0.43%)
PPL 182.19 Decreased By ▼ -3.74 (-2.01%)
PRL 41.83 Increased By ▲ 0.56 (1.36%)
PTC 24.56 Decreased By ▼ -0.21 (-0.85%)
SEARL 102.53 Decreased By ▼ -2.12 (-2.03%)
SILK 1.00 Decreased By ▼ -0.01 (-0.99%)
SSGC 39.44 Decreased By ▼ -1.47 (-3.59%)
SYM 17.33 Decreased By ▼ -0.72 (-3.99%)
TELE 8.76 Decreased By ▼ -0.15 (-1.68%)
TPLP 12.75 Decreased By ▼ -0.09 (-0.7%)
TRG 65.40 Decreased By ▼ -1.20 (-1.8%)
WAVESAPP 11.11 Decreased By ▼ -0.19 (-1.68%)
WTL 1.70 Decreased By ▼ -0.08 (-4.49%)
YOUW 3.94 Decreased By ▼ -0.06 (-1.5%)
BR100 11,988 Decreased By -121.3 (-1%)
BR30 36,198 Decreased By -400.2 (-1.09%)
KSE100 113,443 Decreased By -1598.8 (-1.39%)
KSE30 35,635 Decreased By -564.3 (-1.56%)
Business & Finance

Dubai's property giant Emaar reports slight profit increase

The one percent increase, although minimal, comes amid falling prices in Dubai's key real estate market, where comp
Published February 12, 2020
  • The one percent increase, although minimal, comes amid falling prices in Dubai's key real estate market, where companies -- including leading private developer Damac Properties -- have been struggling to make a profit.

DUBAI: Dubai-based construction giant Emaar Properties reported on Wednesday a slight increase in its 2019 net profits, despite falling real estate prices.

The one percent increase, although minimal, comes amid falling prices in Dubai's key real estate market, where companies -- including leading private developer Damac Properties -- have been struggling to make a profit.

Emaar posted a net profit of $1.69 billion for 2019, up one percent on the previous year, it said in a statement.

However, the company recorded a revenue of $6.69 billion last year, about a four percent decrease from 2018.

Emaar, which developed the world's tallest building, Burj Khalifa, and is the largest listed firm on the Dubai Financial Market, is also involved in the entertainment, hotel and mall businesses.

"Emaar's performance in 2019 was resilient, maintaining growth within a challenging market," Emaar chairman Mohamed Alabbar said in the statement.

Dubai is known for its beachfront skyscrapers and man-made islands, but it has been stuck in a five-year property downturn, with analysts saying there will be no relief in the near term.

Damac Properties announced on Tuesday its first annual loss in a decade.

The company reported a loss of $10 million for 2019 compared with a net profit of $313 million in the previous year, as revenues dropped by 28.2 percent to $1.2 billion, a statement said.

The government in 2018 introduced a raft of rescue measures, including easy visa terms for expatriate buyers and permanent residency permits for big investors. In September, a top-level committee was established to rebalance the market.

Real estate prices in Dubai have been on the decline since 2014 due to oversupply by builders, who are anticipating a pick up in sales ahead of the international trade fair Expo 2020.

 

Comments

Comments are closed.