RAK Properties reinforces long-term growth strategy at AGM

Zawya

13-03-2025

All items on the agenda were discussed and approved, including RAK Properties' financial statements for the full year ended 31 December 2024
Abdulaziz Abdullah Al Zaabi, Chairman of RAK Properties, 'Our performance is a testament to the Emirate's robust economic fundamentals, forward-thinking leadership, and its increasing appeal as a world-class destination for residents, investors, and visitors alike.
Ras Al Khaimah, UAE: RAK Properties (ADX: RAKPROP), Ras Al Khaimah's leading publicly listed property developer, held its Annual General Meeting (AGM) today, where shareholders approved all agenda items, including the Company's financial statements for the full year ended 31 December 2024.
Strategic reinvestment to drive long-term shareholder value
The AGM reaffirmed RAK Properties' commitment to long-term value creation, with a strategic decision to reinvest profits into accelerating project development, enhancing asset value, and capitalising on Ras Al Khaimah's dynamic real estate landscape. Rather than issuing dividends this year, the Company is prioritising reinvestment into high-growth opportunities that will drive sustainable returns and strengthen its market position over the coming decade.
This forward-looking approach, reinforced by the strategic support of the Government of Ras Al Khaimah, provides financial stability and the capacity to scale large-scale projects, including the flagship Mina masterplan, ensuring RAK Properties continues to deliver exceptional communities and long-term shareholder value.
Abdulaziz Abdullah Al Zaabi, Chairman of RAK Properties, said: "RAK Properties has once again delivered an exceptional year of financial growth, reflecting not only the strength of our vision but also the continued confidence in Ras Al Khaimah as a rising hub for investment, tourism, and sustainable urban development. Our performance is a testament to the Emirate's robust economic fundamentals, forward-thinking leadership, and its increasing appeal as a world-class destination for residents, investors, and visitors alike.
"As Ras Al Khaimah continues to experience significant expansion across key sectors, RAK Properties remains committed to playing a pivotal role in shaping its future. Our long-term approach of investing in transformative, large-scale developments has driven sustained growth, and we are well-positioned to capitalise on the Emirate's evolving landscape. By reinvesting in high-potential projects, we are not only strengthening our portfolio but also contributing to Ras Al Khaimah's emergence as a leading destination for premium waterfront living, tourism, and investment."
Sameh Muhtadi, CEO of RAK Properties, commented: '2024 has been a period of strategic planning and operational implementation across our portfolio, which has established the foundations for transformative growth in 2025 and beyond. Our disciplined approach has yielded exceptional financial results, reinforcing the strong market demand for our projects.
'These record financial results allow us to reinvest in growth, accelerating new projects, enhancing asset value, and capitalising on opportunities across Ras Al Khaimah. We are committed to shaping Ras Al Khaimah's future, attracting international investors, and delivering exceptional communities.'
Key financial highlights
RAK Properties achieved record financial results in 2024. Revenue increased by 40% year-on-year, reaching AED 1.4 billion compared to AED 1 billion in 2023. Profitability also saw substantial growth. Profit before tax increased by 52% to AED 308 million, up from AED 202 million in 2023. Net profit grew by 39% to AED 281 million, compared to AED 202 million the previous year.
The Company's balance sheet remains strong and continues to grow. Total assets increased by 24% to AED 8.01 billion as of 31 December 2024, compared to AED 6.46 billion at the end of 2023, which was supported by a land contribution from our strategic shareholder, the Government of Ras Al Khaimah. Total equity also saw significant growth, reaching AED 5.53 billion, up from AED 4.30 billion at the end of the previous year.
Key AGM resolutions:
During the AGM, shareholders approved the following resolutions:
The Board of Directors' report on the Company's activities and financial position for the year ended December 31, 2024.
The Company's external auditor report and financial statements for the year ended December 31, 2024.
The Company's financial statement and statement of profit and loss for the financial year ended December 31, 2024
The non-distribution of dividends for the financial year ended December 31, 2024, with profits reinvested for future growth.
The remuneration of the Members of the Board of Directors.
The absolution of the Board of Directors and the external auditor from liability for the financial year ended December 31, 2024.
Reappointment of the external auditor for the fiscal year 2025.
A special resolution approving voluntary contributions for community service purposes of AED 1.2 million.
Outlook for 2025
RAK Properties is set for significant growth in 2025, with a strategic focus on accelerating its development pipeline to complement the thriving Mina ecosystem.
The year began with the successful launch of Mirasol, a resort-style residential development in Mina, that saw its first phase sell out entirely, underscoring strong market demand. The Company also introduced SKAI, a dual-tower residential project strategically located in the heart of the Harbour District.
Additionally, the highly anticipated Four Seasons Resort and Residences Ras Al Khaimah at Mina- featuring 150 rooms, suites, and signature villas, along with approximately 130 private residences - marks a defining milestone in the Company's expansion while further elevating Ras Al Khaimah's status as a premier travel destination.
Beyond the flagship Mina masterplan, RAK Properties is prioritising the expansion of its landbank as a critical component of its long-term strategy. The incorporation of prime locations, including the Beach District and other lands being assessed, extends the Company's development pipeline to a 10- to 15-year horizon. This strategic expansion ensures sustained growth and diversification across residential, hospitality and mixed-use developments.
About RAK Properties
Founded in 2005 under the visionary leadership of His Highness Sheikh Saud Bin Saqr Al Qasimi, Ruler of Ras Al Khaimah, RAK Properties is a leading real estate developer committed to producing exceptional and sustainable destinations. Specialising in contemporary and meticulously crafted communities, RAK Properties integrates excellence, innovation, and nature to create enriching lifestyles in alignment with the aspirations of tomorrow's people.
RAK Properties plays a pivotal role in achieving RAK Vision 2030, focusing on delivering economic, social, and environmental value, all aimed at enhancing lives and places, and contributing to the prosperous narrative of Ras Al Khaimah.
Awards and recognitions
Awarded 'Developer of the Year' 2023 by Construction Week Middle East.
Bay Views Residences won the 'Best Residential Project' at the Design Middle East Awards 2023, where the residential development was recognized as the region's best design and architecture.
Quattro Del Mar was awarded the Best Mixed-Used Project at the prestigious Pillars of Real Estate Awards 2024.