Fitch Ratings Agency has affirmed Emaar Properties’ rating at “BBB” with a stable outlook. This positive rating reflects Emaar’s strong financial performance and continued growth across its core business sectors.
The credit rating agency said that the diversification of Emaar Properties’ business provides stability and reduces risks compared to companies that focus only on residential development.
It also added that Emaar Properties’ local sales increased by 21% in 2023, reaching 37.4 billion dirhams. This growth can be attributed to the launch of several projects across various master planned communities in the UAE. In addition, the company has a strong waiting list for property sales exceeding AED 78.3 billion, ensuring revenue visibility for the next several years.
The agency noted that the real estate market in Dubai continues to flourish, driven by the growing economy and simplified visa procedures. This has attracted both local and international buyers, resulting in a significant increase in sales transactions.
Emaar’s rental income rose by 30% in 2023, driven by an increase in the number of visitors and higher tenant sales. Its Dubai Mall remains a major source of revenue, attracting more than 100 million visitors and contributing 85% of rents. The agency said that the company has ample room for financial maneuver, as it maintains a strong financial position. In general, Fitch’s rating confirmed the company’s strong financial position and its solid position to benefit from the continued growth of the real estate market in Dubai.