Aldar reported 21 percent year-on-year growth in net profit for 2021, reaching AED2.33bn, as the company benefited from the UAE’s response, and recovery, to the Covid-19 real estate slump.
The company’s gross profit also increased 21 percent year-on-year to AED3.6bn, while revenue increased 2 percent year-on-year, reaching AED8.58bn.
“Supported by the government’s proactive economic and social initiatives that have encouraged an even more open, tolerant, and vibrant environment, Abu Dhabi saw cross-sector growth in 2021, demonstrating the resilience and strength of its broader economy,” Mohamed Khalifa Al Mubarak, chairman of Aldar Properties said in a statement.
“The robust fundamentals of Abu Dhabi’s real estate sector were reflected in Aldar’s impressive results, as the company continues to build on its position as a trusted partner for public-private collaboration on strategic real estate and infrastructure projects, adding considerable momentum to our leadership in the sector in the UAE. With an increasingly mature asset mix, Abu Dhabi has clearly bolstered its status as a world-renowned destination to live, work, visit, and invest,” Al Mubarak added.
The company’s development arm, which is responsible for property development, sales, and management, reported sales of AED7.2bn for 2021 last month, and saw its gross profit for the year jump to AED1.82bn, a 30 percent increase. The increase was driven by major project launches, including multiple phases of Noya and Yas Acres, Al Gurm and the third phase of Saadiyat Reserve, according to the company.
“Aldar has yet again delivered an excellent set of financial results, driven by record development sales and steady recurring revenue from our investment business. We have built on our robust 2021 performance with strong momentum at the outset of 2022 through a number of transactions including our entry into the Ras Al Khaimah market and the landmark AED5.1bn strategic investment by Apollo Global Management,” Talal Al Dhiyebi, group CEO of Aldar Properties said.
Aldar Investment, which holds AED21bn in assets in property, education, hospitality, construction, and facilities management, saw full year revenue grow 6 percent year-on-year to AED3.28bn, with net operating income reaching AED1.72bn, an 11 percent increase year-on-year.
Al Dhiyebi commented: “Backed by a solid pipeline of investment opportunities, we are strongly positioned to accelerate our transformational growth agenda, with a mandate to build scale and enhance diversification across our platform. With plans for significant and sustained deployment of capital this year, we are confident and resolute in our ability to deliver superior and substantial value to our shareholders over the medium and long term.”
The company called out its hospitality and leisure business as recovering “substantially” as global travel restrictions aimed at containing the Covid-19 pandemic have eased. The unit reported 126 percent year-on-year growth in earnings before interest, taxes, depreciation and amortisation, reaching AED77mn.