Dubai’s Emaar Malls’ net profit for 2020 was less than one third of what it was in 2019, according to preliminary results posted to the Dubai Financial Market on Sunday.
The Dubai Mall owner’s net profit for 2020, a year in which retail was hard-hit by the COVID-19 pandemic, was $191,562 (AED703,609) — down from $622,273 (AED2,285,611) in 2019.
Founder Mohammed Alabbar remains confident despite the battering the company has taken throughout the pandemic.
“Emaar Malls has emerged from 2020 in a much stronger position, having faced some of the most challenging business conditions in a generation,” he said, citing past achievements and “strategic investments in a digital future.”
While profits dropped significantly, revenue for 2020 was down by slightly less. In 2019, the company brought in a total of $1,272,257 (AED4,673,002); in 2020 revenue fell to $954,958 (AED3,507,561).
One indicator of the company’s resilience was its tenant occupancy rate, which remained at 91 percent.
Mohammed Alabbar went on to say: “We continue to see guests returning to our malls in greater numbers, and we expect this positive trend to continue in the year ahead, strengthened by the support we receive from our leaders in Dubai and the UAE, and their world-leading rollout of vaccines in the country.”
Emaar Malls halted several projects this year, including new malls at the Expo 2020 site and Dubai Hills.
A new chief executive, Rajiv Suri, was appointed in September but ended up resigning only four months later.
The UAE’s wider economy has been hard hit by the pandemic, seeing an estimated 7.7 percent contraction in GDP for 2020.
Dubai-based Damac drops after loss, forecast for slow UAE market recoveryDamac Properties PJSC plunged on Sunday after posting a loss and its chairman saying it’ll take at least one to two years for the United Arab ... Economy
Dubai's Emaar Malls chief executive resigns after four monthsThe chief executive of Dubai’s Emaar Malls has resigned only four months after joining the company, according to a statement issued on Tuesday.For the ... Business
UAE real estate market ‘remarkably resilient’ despite pandemic recessionThe United Arab Emirates’ real estate market has proved “remarkably resilient” throughout the pandemic despite an estimated 7.7 percent contraction in ... Financial Markets