Sales lift Damac’s revenue to Dh7.5B
dubai — Damac Properties reported a 4 per cent increase in revenue to Dh7.5 billion in 2017. However, net profit was Dh2.8 billion for 2017 (against Dh3.69 billion in 2016). The luxury developer also announced it has delivered 20,236 units as of December 31, 2017.
The board has proposed a dividend of Dh1.5 billion (Dh0.25/ share) for 2017.
There was a drop in margins, but that was “mainly due to international project deliveries during the year,” the company said. But its projects in the UAE still command “healthy” margins of 52.1 per cent.
Damac’s booked sales stood at Dh7.5 billion versus Dh7 billion in 2016. The company completed 2,304 units during the year. Total cash and bank balances stood at Dh7.5 billion. Gross debt stood at Dh4.8 billion. Earnings per share stood at Dh0.46 for 2017.
“Dubai’s property market continues to show growth as increasing demand returns to the market, and this is reflected in our booked sales. Our medium to long-term outlook remains positive, with continued local demand as well and stronger interest by international investors. Our major projects in Dubai including Damac Hills, Akoya Oxygen and Aykon City continue to appeal to expats and international investors alike, while our diverse product portfolio continues to attract a wide variety of buyers for our offplan and ready properties,” said Hussain Sajwani, chairman of Damac Properties. During 2017, Damac delivered 2,304 units comprising 1,452 units in Damac Hills and 852 units at its international developments, including its twotower project in Saudi Arabia (Damac Esclusiva — 454 units) as well as its first project in Jordan (The Heights — 398 units) comprising three towers. Damac’s residential leasing at Damac Hills comprised 328 units and is 97 per cent leased out. Damac also commenced operations of its 305-key Damac Maison Royale The Distinction in Downtown Dubai, bringing the number of hotels in operation to six.
Construction continues on over 6,500 villas, apartments at Akoya Oxygen, while its golf course and community infrastructure is shaping up.
“As Dubai continues to attract tourists from all over the world,
Our medium to longterm outlook remains positive, with continued local demand as well and stronger interest by international investors Hussain Sajwani, Chairman, Damac Properties
visitors are coming and seeing business potential that Dubai offers, and are choosing to stay.” said Sajwani. “Dubai’s property sector is feeling the positive effects of the emirate’s appeal and growing sophistication on the world stage. This is evident from the growing real estate sales transactions at the Dubai Land Department and we are confident of the growth prospects for the sector going forward,” added Sajwani.