For the third year in a row, Aldar Properties exceeded expectations, with a 40% increase in net profit to Dh4.4 billion in 2023. This was on top of Dh14.2 billion in revenue, which had increased by 26%.
The Abu Dhabi developer, which has recently expanded its projects and investments into Dubai, Ras Al Khaimah, London, and Western Europe, has suggested paying out a dividend of 17 fils per share, or Dh1.3 billion, in 2023.
A compounded annual growth rate (CAGR) of 9% over ten years on dividends “demonstrates Aldar’s solid track record of delivering sustainable shareholder value.”
Aldar announced the opening of its Nikki Beach project in Ras Al Khaimah and launched its first project in Dubai, the Haven, during the last three months of 2023, when its net profit reached Dh1.4 billion.
Recurring income is a focus too
“Aldar accelerated its transformative growth trajectory in 2023 to deliver remarkable earnings growth, with an intensive programme of new development launches and the enhanced performance of its recurring income portfolio,” said Mohammed Khalifa Al Mubarak, Chairman. (Aldar has just announced its intention to spread Dh5 billion on building an additional portfolio of assets that can deliver on recurring income.)
The funds are quite substantial; Dh2.9 billion in free cash and Dh7.5 billion in credit facilities that have not yet been drawn down make up a “strong” liquidity position.