Abu Dhabi-based developer registers net profit of $540m, driven by growth across both development and asset management business
Aldar Properties, the Abu Dhabi-based developer, has reported a 7% year-on-year increase in its net profit for the full year 2019 of $540 million, driven by growth across both its development and asset management businesses.
In an announcement about the results, chairman Mohamed Khalifa Al Mubarak said: “Abu Dhabi’s real estate market is benefiting from an economy that is transitioning to a global cultural, business and trade hub, thanks to government investments and newly introduced pro-business policies.”
“As a leader in the real estate market, Aldar has been able to swiftly convert those emerging opportunities to generate additional value for our shareholders. Looking ahead, our unique portfolio of investment properties and valuable land bank will enable us to continue to deliver attractive returns to our shareholders,” he noted.
Aldar’s board of directors has recommended a cash dividend of Dh0.145 per share, representing a 4 per cent growth on 2018’s dividend of Dh0.14 per share, the statement added.
CEO Talal Al Dhiyebi said: “As the Abu Dhabi government’s fiscal growth programmes take effect, we are seeing clear signs of growth in key segments of the real estate market.”
“The improving operating environment is feeding into Aldar’s performance, through a 53% increase in development sales, a 30% increase in hospitality profit, and an 80% rise in profit from Aldar Education. We remain confident in our platform’s ability to grow and deliver sustainable returns to our shareholders,” he noted.
The focus of Aldar’s development strategy will centre around its key locations such as Yas Island and Saadiyat Island, which benefit from well-developed infrastructure already in place, Al Dhiyebi added.