Emaar Malls, the shopping malls and retail business majority-owned by Emaar Properties, recorded a net profit of AED1.021 billion ($278 million) in the first-half (January-to-June) of 2017, which is 3% higher than the H1 2016 net profit of AED987 million ($269 million).
Revenue for half-year 2017 is AED1.624 billion ($442 million) similar to the H1 2016 revenue of AED1.618 billion ($441 million).
Emaar Malls net profit during the second quarter (April-to-June) of 2017 is AED482 million ($131 million), 5% higher than the Q2 2016 net profit of AED458 million ($125 million).
The Emaar Malls assets – The Dubai Mall, Dubai Marina Mall, Souk Al Bahar, Gold & Diamond Park and community shopping centres – welcomed over 65 million visitors during the first six months of the year, an increase of 7% over the same period last year at 61 million.
The Dubai Mall, the flagship asset of Emaar Malls, recorded a visitor footfall of 39 million in H1 2017, continuing to build on its reputation as the world’s most visited retail and entertainment destination. With a gross leasable area (GLA) of 6 million sqft in Dubai, GLA occupancy levels across Emaar Malls’ assets averaged 95% during H1 2017.
Marking a milestone in its digital-oriented growth, Emaar Malls entered an agreement to acquire 51% stake in online fashion retailer Namshi and formed a partnership with fashion e-commerce platform Global Fashion Group to accelerate Namshi’s development in the region. Emaar Malls will support the company to access additional fashion brands, develop its logistics infrastructure and expand its geographical footprint.
“Retail is a key contributor to the national economy, and with the fast-evolving changes in the sector, we are marking strategic expansions and investments to create sustained value for our stakeholders. The strong performance of Emaar Malls is highlighted by the diversity of retail choices and leisure attractions at our malls that welcome visitors from around the world. In addition to new retail districts that we are developing in Dubai, we will continue to invest in next-generation technology to transform the retail and shopping mall experience for our visitors including families and tech-savvy youth,” says Mohamed Alabbar, chairman of Emaar Malls and Emaar Properties.
In key growth initiatives, the expansion of Fashion Avenue at The Dubai Mall, which will have another 1 million sqft of built-up area delivering over 600,000 sqft GLA, is in the final stages. This will add over 150 international brands and F&B and leisure outlets to The Dubai Mall. Emaar Malls is also developing a new retail addition under its ‘The Souk’ concept in the Springs Village with over 245,000 sqft GLA and also building the Boulevard expansion.
Emaar is developing a new Retail District in Dubai Creek Harbour, the 6 sq km mega-development anchored by an iconic tower, and is also planning The Dubai Mall’s Fountain Views and Zabeel expansions in addition to building a centrally located mall, community retail areas and a boutique mall for high-end brands in Dubai Hills Estate, the 118 million sqft master-planned community.