Majid Al Futtaim reported a net profit of AED 1.6B for H1 2024, despite a challenging macroeconomic environment driven by regional geopolitical tensions and currency devaluations. The group’s assets grew by 2 per cent year-on-year.
Revenue dropped by 6 per cent to AED 16.7B, with EBITDA down 2 per cent to AED 2.1B. However, on a constant currency basis, revenue decreased by only 3 per cent, and both EBITDA and net profit saw a 1 per cent increase.
CEO Ahmed Galal Ismail highlighted the resilience of their diversified portfolio, which helped protect overall profitability despite difficulties in some markets. Majid Al Futtaim Properties delivered record performance, spurred by UAE-based shopping malls and strong sales in the Tilal Al Ghaf and Ghaf Woods developments. The retail digital business also showed solid growth, with revenue up 16 per cent and EBITDA surging by 109 per cent.
Majid Al Futtaim’s property division reported a 9 per cent increase in revenue to AED 3.7B, with EBITDA rising by 11 per cent. Hotels saw an 18 per cent rise in revenue per available room, reflecting Dubai’s growing appeal, though average occupancy fell by 2 per cent. The retail segment experienced an 11 per cent decline in revenue, affected by weaker consumer sentiment and currency devaluation in key markets. However, cinemas saw a 3 per cent rise in admissions, boosting EBITDA by 103 per cent.
The group’s credit profile remained strong, with a BBB rating from Standard & Poor’s and Fitch for the 12th consecutive year. Majid Al Futtaim also maintained its low-risk ESG rating from Sustainalytics, underscoring its commitment to sustainability and responsible business practices.
