Emaar Malls Q1 net profit surges 22%

dubai — Emaar Malls on Tuesday said its first-quarter net profit surged 22 per cent to Dh529 million as its rental income grew.

The Dubai-based Emaar Properties unit said quarterly rental income rose 14 per cent to Dh833 million in January-March 2016 quarter compared to same period last year. Its malls achieved 96 per cent occupancy and attracted about 31 million visitors in the first three months of 2016, which were both similar levels to a year earlier, the company said in a statement.EFG Hermes forecast Emaar Malls would make a quarterly net profit of Dh451.9 million. It earned Dh433 million in same quarter of 2015.

“The vision of Emaar Malls is to create world-class malls that deliver memorable experiences for visitors, and we will achieve this through our three-pronged strategy of growing our portfolio in the local market, expanding internationally, and innovating and leading the transition to the next generation malls,” Mohamed Alabbar, Chairman of Emaar Malls and Emaar Properties, said.

He said that the robust performance of the shopping malls and retail business is driven by the positive growth of the city, led by the vision of His Highness Shaikh Mohammed bin Rashid Al Maktoum, Vice-President and Prime Minister of the UAE and Ruler of Dubai. Emaar Properties owns about 85 per cent of Emaar Malls, having floated the remainder in 2014. At the time, the Dh5.8 billion share sale was the Gulf ’s largest since 2008.

At its first Annual General Meeting held earlier this month, Emaar Malls approved a cash dividend of 10 per cent of the share capital, equivalent to Dh1.3 billion ($ 354 million), setting a benchmark in value creation for the company’s shareholders.