Dubai, UAE, May 23, 2007: Emaar Properties, the Dubai-based property developer with a significant presence in 16 countries world-wide, highlighted the company’s growth dynamics and investment potential during the Dubai Financial Market (DFM) International Investors Conference held in London.
Emaar representatives underscored the company’s investor relations strategy, which is focused on furthering investor trust through transparency in operations, to international fund managers at the conference organised as part of the DFM roadshow.
The conference has been organised to attract more foreign institutional investment in the DFM, and was attended by representatives of DFM Company and 12 other listed companies including Emaar Properties and Amlak Finance, Emaar’s home finance associate.
“Emaar is the largest property developer in the MENA region measured by a market capitalization of AED 67.9 billion (US$18.5 billion) as of May 10, 2007; revenues of AED 14 billion (US$3.8 billion) in 2006; a land bank of 468 million square meters in pristine locations in the high-growth markets of MENA and Indian Subcontinent; and declared project portfolio, including international developments, for the next four years of value AED 140 billion (US$40 billion),” said Mr Arif Amiri, Director – Investor Relations, Corporate Governance and Business Development, Emaar Properties.
He added: “Continued to be powered by the robust local market, Emaar is now diversifying income sources and expects to generate 60 to 70 per cent of revenues from international operations, and 15 per cent of net profit from recurring streams such as hotels, serviced apartments and retail properties by 2010.”
Emaar has large land parcels in the UAE, India, Saudi Arabia, Morocco, Pakistan, Syria, Turkey, Egypt, and Jordan. The company has made strategic international acquisitions to set up a platform able to support its growth. It acquired John Laing Homes, USA’s second largest privately held homebuilder and Hamptons International, UK’s premier real estate agency. Emaar also joined hands with Turner International to form a joint venture that taps regional growth opportunities.
“These provide synergies in design and project management, and helps deploy our growth strategy of becoming one of the most valuable companies in the world by 2010,” said Mr Amiri. “Complementing these initiatives in our key growth sector – property, Emaar has also diversified into education, healthcare, malls, industry, finance and hospitality & leisure, which enhances the value model of Emaar, making the company one of the most attractive investment options.”
He added: “As we did for Emaar, The Economic City, we plan to list at least two of our subsidiaries to raise additional funds for international expansion and to add value to our shareholders. We are currently examining the timing for the IPO of Emaar-MGF India on the National Stock Exchange and Bombay Stock Exchange before year-end.”
“Emaar is thankful to DFM for facilitating our participation in the roadshow, which helps us position strongly among international investors,” said Mr Amiri. “This is particularly important as it provides us the necessary exposure that further supports out international growth plans.”
Emaar announced record revenue of AED 14.006 billion (US$3.8 billion) and net profits of AED 6.371 billion (US$1.74 billion) for the financial year ended December 31, 2006. This corresponded to an increase in annual revenue by 68 per cent and net profits by 35 per cent.
Emaar also posted a net profit of AED 1.721 billion (US$0.469 billion) for the first quarter of 2007 – an increase of 13 per cent over first quarter 2006 results. The revenue for the first three months of the year was AED 3.904 billion (US$1.063 billion), an increase of 74 per cent over Q1 2006.
The presentation prepared by Emaar for the DFM Conference will be available on the company’s website, from Wednesday, May 23. To view the presentation click here.
