Emaar recorded revenues of Dh26.7 billion ($7.3 billion) in 2023, up 7% compared to the previous year. The net profit surged significantly by 70%, reaching Dh11.6 billion ($3.2 billion). This growth was attributed to a surge in tourism, a steady rise in retail sales, and an increase in real estate demand.
Emaar’s EBITDA surged 63% to Dh16 billion ($4.4 billion) during the same period.
The company’s property sales also experienced substantial growth, with a 15% year-over-year increase, reaching Dh40.3 billion ($11 billion) in 2023. The revenue backlog from property sales stood at Dh71.8 billion ($19.5 billion) as of December 31, 2023.
“The strategic initiatives undertaken in the past two years, coupled with enhancements in consumer confidence and overall business dynamics, especially in the real estate and retail sector, have significantly influenced our company’s operations throughout the previous year,” said Mohamed Alabbar, founder of Emaar. “With these results, we look forward to a positive performance in our shopping centres, hotels, and property sales in 2024.”
Emaar Development, a subsidiary of Emaar, sustained its property sales momentum in 2023, achieving sales of Dh37.4 billion ($ 10.2 billion), reflecting a growth of over 21% compared to 2022.
In 2023, Emaar Development reported revenue of Dh11.9 billion ($3.2 billion) and achieved an EBITDA of Dh8 billion ($2.2 billion), representing an 89% growth compared to 2022. Emaar Properties recorded a total revenue of Dh14.4 billion ($3.9 billion) from its property development business in UAE (including Dubai Creek Harbour, owned by Emaar Properties).
The revenue backlog from property sales in the UAE increased to Dh62.1 billion ($16.9 billion) by the end of 2023.
Retail
Emaar’s shopping malls and retail and commercial leasing operations also reported significant revenue growth, reaching Dh5.8 billion ($1.6 billion) in 2023. The portfolio achieved an EBITDA of Dh5 billion ($1.4 billion), marking a 54% increase over the previous year, excluding gains from the sale of Namshi.
Emaar’s international real estate operations recorded property sales of Dh2.9 billion ($0.8 billion) in 2023, with revenues totalling Dh3.1 billion ($0.9 billion). The hospitality, leisure, and entertainment divisions also saw a revenue growth of around 20% compared to 2022, driven by a recovery in the tourism industry.
Hospitality, leisure, and entertainment
In 2023, Emaar’s hospitality, leisure, and entertainment divisions recorded revenue growth of around 20% compared to 2022, reaching Dh3.4 billion ($0.9 billion). This growth was driven by a consistent recovery in the tourism industry, coupled with strong domestic spending.
Emaar’s UAE hotels increased their average occupancy to 72% and sustained their ADR level. Emaar expanded its collection of hotels, both domestically and internationally, and added around 1,600 new hotel keys with the opening of Vida Creek Beach in Dubai and Address Jabal Al Omar Makkah.
Emaar’s diverse and sustainable revenue-generating portfolio, encompassing malls, hospitality, leisure, entertainment, and commercial leasing, achieved positive results in 2023, contributing over 34% of the company’s total revenue.
The portfolio recorded revenues totalling Dh9.2 billion ($2.5 billion), showcasing a more than 26% growth compared to the previous year’s corresponding period (excluding Namshi, sold in February 2023).
