Dubai’s Emaar Properties reports 7.2% rise in Q1 profit as sales soar

Dubai’s largest listed developer Emaar Properties on Sunday reported a 7.2 per cent rise in first-quarter profit helped by a significant jump in sales.

The developer of Dubai’s Burj Khalifa, the world’s tallest tower, said it made Dhs1.74bn ($474m) in the three months to March 31 compared with Dhs1.63bn a year earlier.

Revenue rose to Dhs5.89bn, according to a bourse statement. It reported revenue of Dhs5.59bn for the first quarter of 2018.

Property sales jumped 53 per cent to Dhs5.98bn, Emaar said, increasing its sales backlog to Dhs50bn.

Residential prices in Dubai have been declining since hitting a peak in 2014 due to excess supply and muted appetite.

Emaar said its sales to international investors more than doubled in the first quarter.

Savills has said Dubai’s residential real estate prices could fall by 5 to 10 per cent this year due to new supply, a strong dollar and lower oil prices.