Emaar Properties, Dubai’s largest publicly traded developer, has announced a remarkable 70% year-over-year increase in net profit for the fiscal year 2023, solidifying its position as a key player in the real estate market.

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The real estate giant experienced impressive growth in 2023, with revenues reaching Dh26.7 billion ($7.3 billion) and net profit soaring to Dh11.6 billion ($3.2 billion), marking a 7% and 70% increase respectively from the previous year. Emaar attributed this exceptional performance to the flourishing tourism sector, a consistent uptick in retail sales, and a robust demand for real estate.

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Property sales witnessed a significant uptick, surging by 15% to peak values of Dh40.3 billion ($11 billion). Furthermore, Emaar substantially boosted its EBITDA by 63% from 2022 to 2023, reaching Dh16 billion ($4.4 billion).

Mohamed Alabbar, Founder of Emaar, expressed satisfaction with the company’s accomplishments in 2023, crediting strategic initiatives implemented over the past two years and improvements in consumer confidence for driving business dynamics, particularly in real estate and retail.

Looking ahead, Alabbar expressed optimism for 2024, anticipating a positive performance across shopping centers, hotels, and property sales. Emaar remains committed to unveiling innovative projects and delivering unparalleled offerings across all business divisions.

As of December 31, 2023, the group’s revenue backlog from property sales stood at Dh71.8 billion ($19.5 billion), indicating a substantial increase driven by sales during the fiscal year.

Emaar Development reported Dh11.9 billion ($3.2 billion) in revenue and Dh8 billion ($2.2 billion) in EBITDA in 2023, representing an 89% increase over 2022. The revenue backlog from property sales in the United Arab Emirates reached Dh62.1 billion ($16.9 billion) by the end of 2023, signaling approximately 50% year-over-year growth.

Breakdown of earnings:

• Commercial leasing, retail, and shopping mall businesses contributed Dh5.8 billion ($1.6 billion) in revenue in 2023, with an EBITDA of Dh5 billion ($1.4 billion), excluding gains from the sale of Namshi.
• Emaar’s global real estate division reported Dh2.9 billion ($0.8 billion) in property sales and Dh3.1 billion ($0.9 billion) in revenue in 2023, with Egypt and India driving international operations’ performance.
• The hospitality, leisure, and entertainment sectors witnessed a 20% increase in revenue in 2023 over 2022, reaching Dh3.4 billion ($0.9 billion), fueled by strong domestic spending and a steady tourism sector recovery.