29-04-2025
Abu Dhabi: Aldar reports 33 per cent rise in Q1 2025 net profit before tax to Dh2.2 billion
Aldar, Abu Dhabi's premier developer, on Tuesday reported a 33 per cent rise in first quarter net profit before tax to Dh2.2 billion, driven by strong demand for existing inventory and new launches.
Total UAE sales increased 38 per cent year on year to Dh8.4 billion driven by strong demand for both new launches and existing developments. Aldar launched two new projects in Q1 2025: Manarat Living III on Saadiyat Island; and The Wilds in Dubai, the third development under a joint venture with Dubai Holding.
The developer's projects created a strong appeal among international buyers, with UAE sales to overseas and expat resident customers rising to Dh7.4 billion, representing 87 per cent of total UAE sales.
UAE revenue backlog at the end of March 2025 stood at a record Dh46.7 billion, up from Dh45.9 billion at the end of December 2024. With an average duration of 29 months, it provides significant visibility on revenue over the next 2-3 years.
Cash collections remain strong, totalling Dh3.6 billion as the company pursues accelerated delivery of projects.
Increasingly diversified group development backlog has reached a record Dh55.7 billion, with UAE backlog of Dh46.7 billion, driving revenue recognition over the next 2-3 years.
Aldar Investment's adjusted earnings before interest, taxes, depreciation and amortisation (Ebitda) rose 10 per cent year on year to Dh764 million — up 20 per cent excluding gains from disposals and divestments – and assets under management growing to Dh46 billion.
Aldar strengthened its capital structure and financial resilience, issuing Dh3.7 billion hybrid capital notes and a Dh1.8 billion green sukuk, as well as securing a Dh9 billion syndicated revolving credit facility and a Dh1.8 billion hybrid capital solution from Apollo.
Earnings per share rises 25 per cent year on year to Dh0.20 on the back of cross-platform earnings growth.
Strong liquidity position supports prudent growth agenda with Dh10.2 billion in free and unrestricted cash, and Dh19.3 billion in undrawn committed credit facilities as at end of March.
'Aldar's strong start to the year demonstrates the depth and resilience of our diversified platform, and our ability to execute and grow with discipline against a clear strategy for long-term value creation. Looking forward, the UAE's sustained investment in strategic sectors and its commitment to a business-friendly environment and economic diversification provide a powerful foundation for stability and growth. In this conducive environment and with a development backlog reaching a record Dh55.7 dirhams, Aldar is well-positioned to deliver sustainable performance, deploying capital with care and reinforcing our role as a long-term partner in shaping the UAE's economic development,' said Mohamed Khalifa Al Mubarak, Chairman of Aldar.
'Aldar delivered a robust financial performance in the first quarter, with continued momentum across our core businesses driving a 33 per cent increase in net profit before tax to 2.2 billion dirhams. Our development sales remained extremely strong, rising 42 per cent to Dh8.9 billion, while our pipeline of new launches is on track amid continued demand from both local and international buyers. Meanwhile, our investment portfolio continued to perform positively, with recent acquisitions, increasing rental rates, and near-full occupancy levels driving revenue growth and income stability. In early 2025, we took proactive steps to reinforce Aldar's financial strength and resiliency, increasing liquidity through capital markets issuances and a syndicated loan. We have full confidence that our diversified platform, robust revenue backlog, and prudent capital deployment strategy position the company well to create long-term value for our stakeholders,' said Talal Al Dhiyebi, group chief executive officer of Aldar.
