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Tag: property developer

  • Binghatti H1 Profit Jumps 64% to Dh3 Billion on Dubai Demand

    Binghatti H1 Profit Jumps 64% to Dh3 Billion on Dubai Demand

    Binghatti Holding posted robust financial results for the first half of 2026, with revenue climbing 50 percent year-on-year to Dh9.5 billion during the six months ended June 30, the Dubai-based developer announced on July 27, 2026.

    Gross profit rose 66 percent to Dh4.3 billion, while earnings before interest, taxes, depreciation and amortisation (EBITDA) increased 75 percent to Dh3.8 billion, reflecting continued growth across the business.

    The developer launched eight projects during the first half, including Mercedes-Benz Places | Binghatti City, the company’s first master-planned community, and Tilal Binghatti, its first villa development. The company delivered around 1,700 residential units during the period.

    “The first half of 2026 combined strong financial performance with important strategic progress across our platform. We expanded into new development segments while maintaining delivery discipline across our portfolio,” said Muhammad Binghatti, Chairman of Binghatti Holding.

    Binghatti’s development backlog reached Dh44.2 billion, while revenue backlog stood at Dh17.3 billion at the end of June, providing strong visibility for future earnings. The company also maintained liquidity of around Dh10 billion.

    During the period, Binghatti completed a $500 million sukuk maturing in 2031, which was 4.3 times oversubscribed, reflecting strong demand from regional and international investors. Moody’s reaffirmed the company’s Ba3 corporate credit rating.

    Chief Financial Officer Shehzad Janab said the results highlighted the resilience of Binghatti’s business model despite heightened regional volatility, with improving profit margins and the sizeable revenue backlog providing strong visibility over future earnings.

    The performance comes as Dubai’s off-plan property market continues to attract strong investor interest, with the emirate recording 87,800 real estate transactions worth Dh291.7 billion in the first half of 2026.

    Looking ahead, Binghatti said Dubai’s residential market continues to benefit from population growth, long-term residency initiatives and economic diversification, with demand increasingly driven by end-users and long-term residents rather than speculative investors.

    The developer’s results align with broader market trends showing strength across all price segments in Dubai’s residential sector as the market transitions toward more sustainable, end-user-focused growth in 2026.

  • Union Properties Plans Dh2 Billion Dubai Residential Community After 68% Revenue Jump

    Union Properties Plans Dh2 Billion Dubai Residential Community After 68% Revenue Jump

    The planned master development is currently navigating the approval and permitting process and forms part of Union Properties’ broader Dh4 billion project pipeline, which includes ongoing construction at its Takaya and Mirdaf developments.

    Revenue for the first six months of 2026 reached Dh529.3 million, compared with Dh316 million during the same period in 2025. Gross profit rose 41% to Dh107 million from Dh75.6 million, supported by higher revenue, operating efficiencies and continued project execution.

    Second-quarter revenue increased 69% year-on-year to Dh257.8 million, compared with Dh152.4 million in the corresponding period of 2025. Gross profit reached Dh48.6 million during the quarter.

    Through disciplined execution, we have strengthened our balance sheet, enhanced operational efficiency and built a high-quality development pipeline that is now translating into tangible financial results.

    Eng. Amer Khansaheb, Chief Executive Officer and Board Member of Union Properties, said the company now has clear visibility over future earnings and significant capacity to pursue further growth.

    The developer recognised Dh101.6 million in development revenue during the first half, leaving the bulk of its current project pipeline to flow through financial results over the next two and a half years as construction continues and unit handovers accelerate.

    Union Properties expects development revenue to account for a greater share of its financial performance as work progresses across its portfolio. Its in-house contracting business, Tetra Edge, is being used to manage execution and project margins.

    Union Properties maintained average cash balances exceeding Dh400 million during the first half, providing funds for construction, project launches and further expansion while retaining a prudent capital structure.

    The results mark the developer’s transition from financial restructuring towards a growth phase supported by its development pipeline, improved liquidity and higher project activity. Management confirmed it will continue to focus on accelerating project delivery, expanding the company’s portfolio and increasing revenue and profitability over the coming years.

    Union Properties’ expansion comes as Dubai’s property market shows strength across multiple price segments, with developers recording robust sales volumes through diverse project portfolios in 2026.