Emaar Malls records 37% growth in half-year 2015

RetailME Bureau

Emaar Malls recorded a 37% growth in net profit during the first six months of 2015 (January-to-June) to $230 million, compared to the same period in 2014. Revenue for half-year 2015 was $398 million, 16% higher compared to the same period last year.

Tenant sales across all Emaar Malls assets were $2.6 billion almost similar to last year’s retail sales performance. Notably, The Dubai Mall welcomed over 62 million visitors during the first six months of 2015, 11% higher than during the same period last year.

Net profit of Emaar Malls during the second quarter (April-to-June) of 2015 was $112 million, compared to Q2 (April-to-June) 2014 figures of $78 million, an increase of 43%. Revenue for Q2 2015 was $ 198 million, compared to Q2 2014 revenue of $178 million, an increase of 11%.

“The sustained growth of Emaar Malls is catalysed by the strategic approach of Dubai to position itself as a global hub for business and leisure led by the vision of His Highness Sheikh Mohammed bin Rashid Al Maktoum, UAE vice president and prime minister and ruler of Dubai. The Dubai Plan 2021 to establish the city as the ‘preferred place to work, live and visit’ is energising all economic sectors including retail and tourism. We are committed to creating long-term value to Dubai’s economy through our expansion plans and our emphasis on providing value-added lifestyle experiences to the mall visitors,” says Mohamed Alabbar, chairman of Emaar Malls.

“Across all indicators of growth, Emaar Malls has accomplished impressive results, defining the sustained value that it generates for all stakeholders. A key contributor to the recurring revenues of Emaar Properties, our shopping malls and retail business is also setting international benchmarks in the industry. This is highlighted by the robust footfall and tenant sales at The Dubai Mall, our flagship asset.”

During the first-half of 2015, Emaar Malls also marked the launch of its new community malls brand, ‘The Souk.’ The first under the portfolio is The Ranches Souk in Arabian Ranches II, one of the city’s most sought-after residential destinations. ‘The Souk’ will be rolled out across its existing assets including The Meadows and The Springs and future Community Malls projects, building on the vision of Emaar Malls to deliver memorable retail offerings in a warm and social environment.

With a total GLA of about six million sqft, Emaar Malls has GLA occupancy rate of 96%. Emaar Malls is expanding The Dubai Mall’s Fashion Avenue, which brings the largest number of high-end international fashion brands under one roof, by one million sqft built-up area to welcome a larger assortment of leading fashion brands. The leasable area, through this expansion, is about 15% of the current mall and is expected to be completed in 2016. Other assets under Emaar Malls include Dubai Marina Mall, Souk Al Bahar and Gold & Diamond Park as well as community shopping centres.