Emaar Properties records net operating profit of AED 2.343 billion (US$ 638 million) in first nine months of 2010

Emaar Properties records net operating profit of AED 2.343 billion (US$ 638 million) in first nine months of 2010

• Revenue for first nine months of the year was AED 8.320 billion (US$ 2.265 billion)
• Third-quarter 2010 revenue was AED 2.782 billion (US$ 757 million); net operating profit was AED 687 million (US$ 187 million)
• Company strengthens recurring revenue from hospitality and malls businesses

Dubai, UAE; October 27, 2010: Led by strong recurring revenue from its hospitality and malls businesses, Emaar Properties PJSC, the leading global property developer, recorded net operating profits of AED 2.343 billion (US$ 638 million) during the first nine months of 2010. These positive results demonstrate the significant gains that the company has achieved compared to the same period in 2009 – with net operating profits up over 67 per cent.

Revenue for the first nine months of the year reached AED 8.320 billion (US$ 2.265 billion), 53 per cent higher than the revenue of AED 5.429 billion (US$ 1.478 billion) in the first nine months of 2009.

Third quarter (July to September 2010) revenue for 2010 stood at AED 2.782 billion (US$ 757 million), 43 per cent higher than third quarter 2009 revenue of AED 1.948 billion (US$ 530 million).

Net operating profit for the third quarter of 2010 reached AED 687 million (US$ 187 million), which is at similar level as the profit for the third quarter of 2009.

In spite of the summer period, approximately 45% of the total units in Burj Khalifa, the world’s tallest building, have been handed over until the end of the third quarter 2010. The sales collection has been robust during the quarter providing additional liquidity to the company. In addition, with a view to convert short term liabilities into long term debt, Emaar launched a US$ 500 million of Convertible Notes due in 2015. The bond received overwhelming response with a demand in excess of US$ 3 billion. The Notes will be listed on the Luxembourg Euro MTF market subsequent to the approval at the Company’s Extraordinary General Meeting.

Mr Mohamed Alabbar, Chairman, Emaar Properties PJSC, said: “The solid results posted by Emaar during the first nine months of the year, marked by the delivery of our iconic tower Burj Khalifa, are testament to the strength of our diversified growth model. We have successfully focused on our strategy of geographic expansion in promising markets and delivered on our core competency of creating world-class real estate developments.”

He added: “Our strategic developments in shopping malls and hospitality are now yielding strong recurring revenues, which highlights our commitment to investing in the long term by adding value to our stakeholders. The challenges of the global financial slowdown are behind us, and we are entering a new phase of growth, complementing the vision of Dubai outlined by His Highness Sheikh Mohammed Bin Rashid Al Maktoum, UAE Vice President & Prime Minister and Ruler of Dubai.”




In the third quarter, Emaar continued handover of homes in Burj Khalifa, where the world’s first Armani Hotel Dubai also recorded robust occupancy levels. Emaar is currently completing orientation for the commercial suites in the tower, as well as for the residences.

Having successfully negotiated with contractors and consultants on several projects, Emaar is progressing with all its key property developments in Dubai, especially in Downtown Dubai, described as the “new heart of the city.”

Emaar further supported its shopping mall and leisure business segment by opening the region’s first boutique cineplex, the 6-screen Reel Cinemas at Dubai Marina Mall, and contributed to the city’s retail and hospitality sector through an array of promotions during the summer months aimed at driving international visitor flows.

Internationally, the first commercial offices in The Eighth Gate development in Syria were handed over within the Commercial Centre of the project, which is projected to become the leading business hub in the country. Earlier, Emaar handed over homes in Tuscan Valley Homes in Turkey and Canyon Views in Pakistan. Several landmark projects in Saudi Arabia, Jordan, Egypt and India will be completed in the coming months.

Mr Alabbar said: “Emaar has continuously focused on energising the domestic market by creating job opportunities and supporting ancillary industries. Our businesses complement this outlook by driving Dubai’s GDP growth, making Emaar an active partner in the Emirate’s socio-economic development and a driving force in realising the city’s ambitions.”

About Emaar Properties PJSC:
Emaar Properties PJSC, listed on the Dubai Financial Market, is a global property developer with a significant presence in key markets world-wide. Besides building residential and commercial properties, the company also has proven competencies in shopping malls & retail, hospitality & leisure, healthcare and financial services sectors.

Emaar inaugurated Burj Khalifa, the world's tallest building and free-standing structure, and has opened The Dubai Mall, the world’s largest shopping and entertainment destination.

In Saudi Arabia, Emaar is developing King Abdullah Economic City, the region's largest private sector-led project in Saudi Arabia, featuring a Sea Port, Central Business District, Industrial Zone, Educational Zone, Residential Communities and Resort District.

Emaar has joined hands with Giorgio Armani to strengthen its presence in hospitality. For more information, visit www.emaar.com.

Emaar Properties records 122 per cent growth in half-year net operating profits to AED 1,656 million (US$ 451 million)

Emaar Properties records 122 per cent growth in half-year net operating profits to AED 1,656 million (US$ 451 million)

• Half-year 2010 revenue increases 59 per cent to AED 5.538 billion (US$ 1.508 billion)
• Second-quarter net operating profit is AED 896 million (US$ 244 million) and revenue is AED 2,652 million (US$ 722 million)
• Highlight of the quarter is opening of Armani Hotel Dubai, setting new standards in global hospitality


Dubai, UAE; July 22, 2010: Marking significant gains in the company’s comparative financial performance over year 2009, Emaar Properties PJSC recorded half-year 2010 net operating profits of AED 1,656 million (US$ 451 million).

This corresponds to a 122 per cent growth over the half-year 2009 results, underscoring the effectiveness of Emaar’s strategy to focus on its core competency of value creation by building premium real estate master-developments in key geographic markets.

The revenue for the first six months of the year was AED 5.538 billion (US$ 1.508 billion), recording a growth of 59 per cent over half-year 2009 revenue of AED 3.481 billion (US$ 948 million).

Net operating profit for the second quarter ended 30 June, 2010 was AED 896 million (US$ 244 million), 18 per cent higher than the first-quarter 2010 net operating profit of AED 760 million (US$ 207 million). The net profit subsequent to considering the non business charges for the quarter is AED 802 million (US$ 218 million), a 6 per cent increase over the first quarter of the year.

Revenue for the second quarter recorded a growth of 37 per cent over second quarter 2009 revenue of AED 1.940 billion (US$ 528 million).

The highlight of second quarter 2010 was the opening of the world’s first Armani Hotel in Burj Khalifa, the world’s tallest building. In addition, the handover of units in Burj Khalifa started during the quarter with approximately 24 per cent handed over until June end.

In the process of implementing the strategy of concentrating on its core business, Emaar transferred the Hamptons International business in the UK, Europe and Asia to Countrywide at a consideration, which was similar to the purchase value of the business (in Sterling terms) it acquired in 2006. In addition, the Hamptons agency’s business in Middle East and North Africa was retained by Emaar to support its key geographic markets. The company also decided to transfer the management of Emaar Education’s schools in the UAE to Innoventures Educational Investments, a Dubai based premium education provider.

Mr Mohamed Alabbar, Chairman, Emaar Properties, said: “Over the past months, Emaar has undertaken a series of strategic initiatives to focus on value creation for our stakeholders. Our emphasis now is on strengthening our core competency of developing premium real estate projects, and building on our assets in promising emerging markets. This concerted approach has resulted in further strengthening our financial fundamentals, despite the challenges of the global financial climate.”

Mr Alabbar said that Emaar’s revenue model has effectively diversified with an increasing share from the rental & hospitality operations over the past year, a trend reflected in the half-year 2010 results.

“This is in line with our growth strategy, outlined in 2007, to further expand our revenue streams through strategic investments in key international markets as well as new business streams including shopping malls & retail and hospitality,” he explained.

Out of the 2009 full year’s revenue of AED 8.413 billion (US$2.290 billion), 25.8 per cent were from leasing and hospitality operations, and 8 per cent from international operations, compared to 90 per cent of the revenue coming only from Dubai property development in 2008.

Emaar has handed over homes in its master-planned communities in Turkey and Pakistan, and the company is currently on schedule with the completion and hand-over of landmark projects in India, Saudi Arabia, Jordan, Egypt and Syria over next 12 months. These markets are expected to contribute further to the revenue stream of the company.

Mr Alabbar said: “Our growth outlook is guided by the vision of His Highness Sheikh Mohammed Bin Rashid Al Maktoum, UAE Vice President & Prime Minister and Ruler of Dubai, who underscored the need for companies to evolve strategies that meet the realities of the new world. We will remain committed to building new revenue resources and realizing the full value of our assets by embracing change and tapping growth opportunities.”

About Emaar Properties PJSC:
Emaar Properties PJSC, listed on the Dubai Financial Market, is a global property developer with a significant presence in key markets world-wide. Besides building residential and commercial properties, the company also has proven competencies in shopping malls & retail, hospitality & leisure, healthcare and financial services sectors.

Emaar inaugurated Burj Khalifa, the world's tallest building and free-standing structure, and has opened The Dubai Mall, the world’s largest shopping and entertainment destination.

In Saudi Arabia, Emaar is developing King Abdullah Economic City, the region's largest private sector-led project in Saudi Arabia, featuring a Sea Port, Central Business District, Industrial Zone, Educational Zone, Residential Communities and Resort District.

Emaar has joined hands with Giorgio Armani to strengthen its presence in hospitality. For more information, visit www.emaar.com.

Emaar Properties wins awards for community management expertise

Emaar Properties wins awards for community management expertise

• Emaar wins award for ‘Education & Development Initiative’ and ‘Young Middle East Facilities Manager of the Year’ at Facilities Management ME Awards

Dubai, UAE; June 21, 2010: Emaar Properties PJSC, the global property developer, highlighted its commitment to strengthening community ties by clinching two top laurels at the Facilities Management Middle East Awards 2010 recently.

Emaar Community Management (ECM) the division dedicated to the management of Emaar’s communities, won the award for ‘Best Education & Development Initiative of the Year’ for its Community Cleanup Campaign, and Mr Naganandh Lakshmanan, Assistant Manager – ECM, was chosen as the ‘Young Middle East Facilities Manager of the Year.’

Mr Ahmad Al Matrooshi, Managing Director – UAE, Emaar Properties, said that Awards are a testament to the focus of Emaar in developing and sustaining integrated lifestyle neighbourhoods. “The Facilities Management Middle East Awards are a reiteration of the global best practices our Community Management team follows.”

Mr Matrooshi added: “The Awards highlight the cooperation and active participation of our community residents who made a difference with the Community Cleanup Campaign. Their participation is in line with the recently released guidelines by RERA under the Jointly-Owned Property Law.”

Emaar’s education and development initiative focused on bringing together the communities to highlight health, safety and security awareness through a Community Cleanup Campaign. This was further complemented through Emaar’s community newsletters, regularly sent out to all residents, which urged them to participate in the campaign, ensuring robust turnout.

Mr Lakshmanan was awarded with the Young Facilities Manager Award for his tireless work in the Dubai Marina towers community, where he worked to reduce costs and enhance efficiencies, thus achieving a cost saving of over AED 1.4 million in 2009. This in turn contributed to reducing the service fees for the community.

Emaar Community Management covers all aspects of the neighbourhoods, and work towards establishing vibrant communities by promoting the active participation of residents.

Photo Caption
Mr Jeevan J. D Mello (right), Senior Director, Emaar Community Management, receives Emaar’s Award for ‘Best Educational and Development Initiative’ at the Facilities Management Middle East Awards 2010 from Mr Bill Heath, Managing Director of MACE MACRO International.

Emaar’s commercial leasing offers customers choice of prime city locations

Emaar’s commercial leasing offers customers choice of prime city locations

• Customers can opt from offices in Emaar Square in Downtown Dubai and Emaar Business Park near The Greens
• Flexible office layouts, state-of-the-art amenities, ease of access and various leasing opportunities

Dubai, UAE; May 27, 2010: Emaar Properties PJSC, the global property developer, is offering commercial customers the opportunity to choose from two prestigious locations in Dubai for setting up business easily.

Emaar is leasing commercial space in Emaar Square, the dedicated business cluster in Downtown Dubai, and Emaar Business Park, Emaar’s first business community development near The Greens. Potential tenants will become part of established communities that are currently home to the headquarters of several leading multinational companies.

At Emaar Square and Emaar Business Park, the choice of top business locations in Dubai, customers can choose from fully-fitted or shell and core offices and flexible leasing opportunities. In addition to the location advantage of being part of vibrant business environments, the commercial offices at both fully-established projects feature modern business amenities, ease of access through the Dubai Metro and parking for staff and visitors.

Mr Ahmad Al Matrooshi, Managing Director – UAE, Emaar Properties, said the commercial developments by Emaar, offered for lease, will be advantageous to businesses given their proximity to Dubai’s business nerve centres. “The key preferences for commercial tenants are ease of access, location in a prestigious neigbourhoood and the amenities provided. In all these three criteria, Emaar Square and Emaar Business Park rank exceptionally high.”

He added: “In addition to establishing full-fledged residential communities, Emaar has also successfully developed dynamic business clusters over the years, which have gained strong response from the business community. With the leasing of Emaar Square and Emaar Business Park, businesses can leverage the growth environment offered by Dubai for businesses to grow and expand.”

At Emaar Square, the offices range in size from 3,500 to 28,000 sq ft while they are 4,000 to 25,000 sq ft in Emaar Business Park. The range of amenities include advanced telecom connectivity, a modern business centre, 24x7 security, maintenance and support teams, and parking facilities for staff members and visitors.

The offices are designed to the highest build quality, and are spacious, with liberal sunlight and airflow. The centrally air-conditioned offices have large windows overlooking views of the city. Both Emaar Square and Emaar Business Park offices can also be accessed by Dubai Metro, adding to the convenience of tenants.

Emaar Square is centrally located in Downtown Dubai, the 500-acre development by Emaar Properties. The most vibrant lifestyle destination in the city, Downtown Dubai hosts thousands of visitors and residents offering them a choice of leisure, entertainment, hospitality and retail offerings.

With over 1 million sq ft of prime office space, Emaar Square also has an additional 62,000 sq ft of retail options and business services in addition to boutique-style cafes and delis. The complex also has a VIP drop off area, express elevators and lawns that are ideal for corporate events.

Emaar Business Park is a four-building cluster situated directly opposite Dubai Marina and Emirates Living, and in easy access to Dubai Media City, Knowledge Village and Jebel Ali.

Tenants benefit from fully fitted offices with a range of amenities including advanced telecom systems, hi-speed Internet connectivity, video conferencing facilities and a central satellite television. All buildings are equipped with fiber optic risers and up-to-date technology for data transfer. Parking for over 2,000 cars and neighbouring retail facilities complement the business lifestyle.

For more details on commercial leasing, potential customers can contact Emaar at 800-EMAAR (36227).

Emaar has also launched an Agents’ Programme specifically for commercial leasing. This builds on the Agents’ Programme for residential property and highlights the growing interest in commercial property. Interested agents can contact Emaar at 800-EMAAR (36227).

About Emaar Properties PJSC:
Emaar Properties PJSC, listed on the Dubai Financial Market, is a global property developer with a significant presence in key markets world-wide. Besides building residential and commercial properties, the company also has proven competencies in shopping malls & retail, hospitality & leisure, healthcare and financial services sectors.
Emaar inaugurated Burj Khalifa, the world's tallest building and free-standing structure, and has opened The Dubai Mall, the world’s largest shopping centre.
In Saudi Arabia, Emaar is developing King Abdullah Economic City, the region's largest private sector-led project in Saudi Arabia, featuring a Sea Port, Central Business District, Industrial Zone, Educational Zone, Residential Communities and Resort District.
Emaar has joined hands with Giorgio Armani to strengthen its presence in hospitality. For more information, visit www.emaar.com.

Emaar’s cautious approach to managing costs and commitment to delivery drives 2010 growth strategy

Emaar’s cautious approach to managing costs and commitment to delivery drives 2010 growth strategy

• Focus on ‘affordable luxury’ segment to meet needs of youthful population in Emaar’s key growth markets
• 12th AGM reiterates commitment to project delivery and business segmentation
• Emaar currently operates in 16 countries and has over 94 million sq ft of completed real estate development


Dubai, UAE; April 29, 2010: Emaar Properties PJSC, the global property developer, announced today at its 12th Annual General Meeting that its growth strategy for 2010 derives strength and momentum from the cautious approach followed by the company in managing costs and reducing reliance on debt capital markets during 2009, one of the challenging years for businesses globally.

At the 12th AGM of Emaar, the assembly approved the non-distribution of dividends for 2009 and to reinvest the profits for the sustained, long-term growth of the company. The assembly also approved the Directors’ Report, Auditor’s Report and financial statements, and appointed Ernst & Young as the Auditors for the year 2010. The assembly also approved the report of the Board of Directors on the activities and financial position of the company for the fiscal year 2009, the balance sheet and profit & loss account.

Addressing shareholders, Mr Mohamed Alabbar, Chairman, Emaar Properties, explained that Emaar’s achievements in 2009 are a mark of the company’s inherent strength and robust fundamentals. “At Emaar, we have always adopted a cautious approach to managing costs at the early stage. We have made concerted efforts to reduce our reliance on debt capital markets and have depended mostly on internal resources.”

He said: “During the most challenging year for businesses globally, we focused on the timely completion of existing projects in Dubai and other global markets through efficient resource optimization.”

Among the key growth strategies for Emaar is its focus on developing real estate projects in the mid-market, affordable housing segment across all the countries in which it operates. Mr Alabbar said this focus on the “affordable luxury” segment will be complemented by the company’s continued commitment to project delivery and business segmentation. “We understand the need to develop real estate targeting the needs of youth in our markets. Emaar will meet their lifestyle aspirations.”

The crowning accomplishment of Emaar was the opening of Burj Khalifa, the world’s tallest building. “This singular feat of architecture and engineering reminds us that dreams, when grounded on firm foundations, will result in world-class achievements,” said Mr Alabbar. “All our business segments recorded tangible growth in 2009, with malls and hospitality making strong contributions to our revenue stream. Continuing this growth momentum, we recently opened the world’s first Armani Hotel in Burj Khalifa.”

Emaar today operates in 16 countries and has over 94 million sq ft of completed real estate development. The company delivered approximately 3,100 units during 2009, and revenues from malls and hospitality businesses increased significantly.

In 2009, Emaar Properties recorded annual net profits from continued operations of AED 2.051 billion (US$ 558.5 million) and annual revenue of AED 8.413 billion (US$ 2.290 billion).

About Emaar Properties PJSC:
Emaar Properties PJSC, listed on the Dubai Financial Market, is a global property developer with a significant presence in key markets world-wide. Besides building residential and commercial properties, the company also has proven competencies in shopping malls & retail, hospitality & leisure, healthcare and financial services sectors.

Emaar inaugurated Burj Khalifa, the world's tallest building and free-standing structure, and has opened The Dubai Mall, the world’s largest shopping centre.

In Saudi Arabia, Emaar is developing King Abdullah Economic City, the region's largest private sector-led project in Saudi Arabia, featuring a Sea Port, Central Business District, Industrial Zone, Educational Zone, Residential Communities and Resort District.

Emaar has joined hands with Giorgio Armani to strengthen its presence in hospitality. For more information, visit www.emaar.com.