Nakheel Reports H1 2017 Net Profit of AED2.64 Billion

Nakheel today announced a net profit of AED2.64 billion for the first six months of 2017. The profit for the same period in 2016 was AED2.95 billion.

The company is confident of achieving its forecast 2017 result, which will reflect an overall growth in profits for the year.

Nakheel handed over almost 870 land form and built form units to customers between 1 January and 30 June 2017. In line with the company strategy, revenue from non-development businesses – including retail, leasing, hospitality and asset management services – registered a significant increase. Annual revenues from these segments have more than trebled from AED800 million in 2010 to AED2.5 billion in 2017. The surge in non-development revenues has also resulted in a significant increase in the asset values of the company.

Nakheel is continuing its strategy of developing its cash-generating assets, and announced construction contracts worth more than AED11 billion in the first six months of 2017. These include an AED4.2 billion contract for Deira Mall at Deira Islands and a contract for AED1.5 billion for The Palm Gateway at Palm Jumeirah. 

Since April 2017, Nakheel has released a construction tender for its first hospitality joint venture – the AED670 million, 800-room RUI resort at Deira Islands. The company has also broken ground on new hotels at Dragon City and Ibn Battuta Mall which have a combined project value of AED 416 million.