Deyaar Development, the region’s fastest growing real estate company, today announced an impressive growth in profits to AED 535 million for the full year 2007. The company registered a 30% per cent rise from a net profit of AED 412 million for full year 2006.
Following the company’s successful IPO in May that was oversubscribed 14 times, Deyaar Development PJSC was incorporated on 10th July, 2007. Post incorporation, the company recorded a net profit of AED 411 million in a little less than six months, indicating a significant acceleration in the revenues for that period.
The remarkable growth in net profit for 2007 was led by the company’s expanding real estate portfolio which witnessed a number of high-value and much sought after project launches in the second half of the year. This was backed by Deyaar’s strong brand equity, proficient sales and project management.
Highlighting the financial performance, Mohammed Khalfan Bin Kharbash, Chairman of Deyaar and UAE Minister of State for Finance and Industry, said, “The extraordinary results mirror the strength of Deyaar’s successful business strategy, driven by its innovative approach to structuring projects and efficient management of resources. The record AED 411 million profits in the second half of 2007, coming close on the heels of our successful IPO, sets the pace for our accelerated growth in the regional real estate landscape. Apart from having an impressive portfolio within the UAE, Deyaar has embarked upon a major international expansion which will substantially augment its existing business in 2008, and beyond”.
Deyaar launched AED 6 billion worth of projects in 2007 within the key master planned communities in Dubai, while the value of projects introduced in 2006 amounted to AED 2 billion.
Zack Shahin, Chief Executive Officer, Deyaar, said, “The year 2007 has offered us unprecedented opportunities that translated into some iconic projects. Higher land acquisitions coupled with a unique mix of landmark projects enabled us to maximize returns to shareholders and investors. The proceeds from our successful IPO provided the perfect launch pad for our accelerated growth in the UAE and 2008 will see us launch mega projects in high potential master developments like Dubai Waterfront, Maritime City, Dubai Marina, Downtown Jebel Ali, the International Media Production Zone, and many others.”
Deyaar has emerged as one of the most preferred developers in the UAE - as evidenced by the quick sell out of its projects, some within hours of launch. The company is one of the largest and most successful developers on Dubai’s prime Business Bay development.
Shahin added, “As part of our diversification strategy, the company is poised to spread its footprint across various strategic markets, which will make Deyaar a force to reckon with in every sphere of real estate.”
In Saudi Arabia, Deyaar announced the formation of Saudi Deyaar through a JV with two of the country’s leading business groups to gain a strong footing in the Kingdom’s high potential real estate market and to launch a number of exciting real estate developments across the country. Deyaar’s expansion strategy is primed to continue in 2008 with plans to evaluate opportunities in numerous emerging markets, including Qatar and India, in addition to its existing portfolio across Lebanon, Turkey and Kazakhstan.
