Aldar Properties Group announced that its net profit rose to AED1.53 billion in the first half of 2022, representing a year over year (y-o-y) increase of 44 percent compared to the same period last year.
The company's results announced today showed that net profits amounted to AED841 million during second quarter of this year, representing a y-o-y increase of 62 percent compared to the same period in 2021.
Group sales rose to a record level of AED5.33 billion for H1 2022, driven by strong domestic and international demand for existing inventory, the launch of new properties in the UAE, in addition to strong sales of SODIC company.
Talal Al Dhiyebi, the Group Chief Executive Officer at Aldar Properties, said, "Aldar continues to execute on its transformational growth agenda as we consolidate our position as the leading real estate developer and manager in the UAE. Over the first half of the year, we deployed and committed over AED 11 billion of capital adding considerable scale and diversification to our portfolio as we expanded into new markets and sectors, and enhanced earnings growth across our platform.
"Our diversified business continues to grow from strength to strength with a buoyant market sentiment in Abu Dhabi, underpinned by strong economic fundamentals. We achieved robust development sales driven by substantial demand from end-users and international investors. Our fee-based business demonstrated strong momentum with a significant ramp-up in government projects and our investment property portfolio showed continued strength in terms of occupancy, income, and value appreciation.
"Looking ahead, we remain focused on delivering new development launches and remaining active on the acquisition front as we continue to deploy capital effectively in value-accretive opportunities. We have already demonstrated this commitment with the recent announcement of our acquisition of prime commercial properties in Abu Dhabi Global Market from Mubadala.
"Backed by a strong liquidity position and the additional firepower from Apollo Global Management’s investment, we are well-positioned to further progress our transformational growth strategy. This enables us to add further scale to our portfolio, specifically in the education and logistics sectors, as well as expand our geographical footprint across UAE, Egypt, and Saudi," Al Dhiyebi stated.
Aldar is delivering on its transformational growth strategy with over AED 11 billion announced transactions in H1 2022 across logistics, commercial, retail, and hospitality sectors, as well as geographic expansion. Furthermore, AED 5 billion of further equity capital to be deployed over the next 12 months.
Landmark US$1.4 billion transaction with Apollo Global Management provides significant firepower to strengthen and accelerate long-term growth. Acquisition of a 6.2 million square metre land plot on Saadiyat Island bolsters Aldar’s land bank for future development. Record half-year Group sales of AED 5.33 billion, driven by strong local and international demand for existing inventory and new property launches in the UAE as well as robust sales from SODIC.
Aldar maintains significant ramp-up of the fee-based business with projects backlog of AED 57.6 billion. Acquisition of Abu Dhabi Global Market (ADGM) office towers for AED 4.3 billion – one of the largest real estate transactions in the UAE, in addition to strong liquidity position with AED 6.0 billion of free cash and AED 4.9 billion of committed undrawn facilities, saw Aldar net profit increase in H1 2022.