DUBAI, 13 October 2006 — Global real estate major Emaar Properties yesterday announced a record revenue and net profit of AED3.379 billion and AED1.605 billion respectively for the third quarter ended Sept. 30, 2006. In annualized terms, this equates to an earnings per share (EPS) of AED1.04, which is more than the 2005 EPS of AED 0.85.
The Q3 2006 figures represent a growth of 66 percent in revenue and 39 percent in profit respectively over the Q3 2005 revenue and profit of AED2.040 billion and AED1.157 billion respectively.
Revenue and net profit also grew 19 percent and 4 percent respectively over the second quarter 2006 revenue of AED2.840 billion and profit of AED1.536 billion.
Revenue and net profits for the first three quarters ended Sept. 30 are AED8.458 billion ($2.303 billion) and AED4.658 billion ($1.268 billion) respectively. This represents an increase of 25 percent in revenue and 26 percent in profit for the same period in 2005. The revenue and net profit for the three quarters ended Sept. 30, 2005 were AED6.757 billion ($1.840 billion) and AED 3.690 billion ($1.005 billion) respectively.
The robust performance of Emaar was underscored by strategic local and regional expansion and international diversification initiatives. Apart from unveiling a number of new residential towers in its Dubai projects, Emaar reached out internationally with the acquisition of UK-based premier realtor Hamptons International and the Singapore-based educational provider Raffles Campus. Emaar also continued its regional expansion program with the hosting of its first international sales in September for Emaar Pakistan’s first master-planned community, Canyon Views.
“Emaar’s growth plans in the third-quarter of 2006 have been in line with the company’s strategic Vision 2010 of becoming one of the world’s most valuable companies,” said Emaar Properties Chairman Mohamed Ali Alabbar. “While the acquisition of Hamptons International from Wheelock Properties (Singapore) Ltd. in an all-cash deal worth AED562.45 million ($153.05 million) scaled up the company’s core competency of product sales, Emaar also underpinned its commitment to diversified business plans by acquiring Singapore-based Raffles Campus to build its education subsidiary.”
Emaar moved in tandem with the vibrant economic growth of Dubai by aligning its mission and vision to develop the city as the hub of the region’s Knowledge Economy. “The direction of growth streamlined by UAE Vice President and Prime Minister and Ruler of Dubai Mohammed ibn Rashid Al-Maktoum for Dubai has also served as our model of growth. Emaar has been energized by his vision for the property market including the promulgation of the Dubai Property Law and confirmation of freehold areas in the emirate,” Alabbar said.
The strong fundamentals of Emaar Properties were underpinned with Shuaa Capital in its equity research update revising its definition of Emaar and reintroducing it as “a diversified, regional, large-scale real estate developer with growth targets of becoming a fully integrated property developer as well as provider of associated social and financial services on a commercial basis.”
“For a public joint stock company (PJSC) like Emaar, such research reports highlight the effectiveness of the company’s forward-looking growth strategy and demonstrate its commitment to shareholders by enhancing investor confidence through value-added projects,” Alabbar added. One of the high-points in Emaar’s Q3 results was the success of its special sale of premium villas, which was an affirmation of local investor interest in Emaar’s prestigious communities.