DUBAI, 14 April 2006 — Emaar Properties yesterday announced record net profit of DH1.517 billion for the first quarter 2006, a 14 percent rise over DH1.325 billion recorded for the equivalent period of 2005. During the first quarter 2006, the company reported a 4 percent rise in gross profit to DH1.487 billion compared to DH1.435 billion despite the decline in revenue of 21 percent to DH2.239 billion compared to DH2.837 billion achieved during the same period last year. Annualized Earnings per Share (EPS) for the period is DH1.04 compared to the actual EPS of DH0.85 for 2005.
Mohamed Ali Alabbar, chairman of Emaar Properties, said “2005 was a milestone for Emaar in terms of the realization of its vision to be a world class company expanding across the globe. Emaar reaffirmed its position as the world’s leading property developer in 2005.”
“We will expand on its number one status with even more developments planned for the next 12 months,” says Alabbar. Giving an update on the mega Saudi project, Emaar said since the launch of the mixed-use King Abdullah Economic City development late last year and construction of the project starting the day after the launch, the project has been proceeding full steam ahead with site works on the main primary access road as well as excavation for the town center marina and canal. Construction on the presentation center is also under way with its opening planned toward the end of the year.
The presentation center will offer investors the opportunity to view all the city master plans, models and various components as well as see the actual site of development.
In January this year, the company announced record annual profits of DH4.731 billion for the year ended Dec. 31, 2005. This corresponded to a net profit increase of 180 percent for 2005.
In March 2006, following the Annual General Meeting (AGM), Emaar also paid out 40 percent cash dividends to shareholders amounting to DH2.4 billion which was distributed in the same month.