Dubai mall operator Majid Al Futtaim posts H1 revenue at $4.87bln
During 2019, Majid Al Futtaim further expanded its offering across geographies, while enhancing its digital capabilities
Shopping mall and leisure pioneer Majid Al Futtaim has posted a revenue of $4.87 billion (17.9 billion dirhams) for the first six months (H1) of the year, an increase of one per cent year-on-year, the company said in a statement.
EBITDA increased by 1 per cent at 2.1 billion dirhams, while the group’s increased focus on working capital management and operational excellence resulted in operating cash flow amounting to 115 per cent of EBITDA.
The group’s assets increased 7 per cent to approximately 64 billion dirhams, on account of the introduction of IFRS16. Net borrowings for the first half of the year stood at around 12.8 billion dirhams.
During 2019, Majid Al Futtaim further expanded its offering across geographies, while enhancing its digital capabilities and investing in human capital.
Alain Bejjani, chief executive officer of Majid Al Futtaim - Holding, said: “The strength and durability of our business has been a key factor in our financial performance for the first half of 2019, demonstrating the importance of geographic and business model diversification.”
“While we continue to make essential investments in talent and technology, I am also encouraged by the progress we are making towards our sustainability agenda, which is allowing us to have a positive influence on the economies, communities and societies where we do business.”
During H1 2019, Majid Al Futtaim continued the expansion of its core businesses across the region with the addition of 19 new Carrefour stores, two new shopping malls, and 65 new VOX Cinemas screens.
Majid Al Futtaim Properties
Majid Al Futtaim Properties registered a decline of 3 per cent in revenue and 1 per cent in EBITDA in the first six months of 2019, at 2.1 billion dirhams and 1.5 billion dirhams respectively.
The company’s shopping mall portfolio grew to 25 destinations, with the opening of City Centre Suhar in Oman, and My City Centre Masdar in Abu Dhabi, which is the company’s first shopping mall in Abu Dhabi.
Majid Al Futtaim hotels reported an increase of 2 per cent in their average occupancy rate, growing to 78 per cent, although a decline in revenue per available room (RevPAR) was reported in line with wider market trends.
Majid Al Futtaim Retail
Despite a reduction in discretionary spend and basket size, Majid Al Futtaim Retail recorded flat revenue growth at 14.6 billion dirhams in the first six months of the year. While revenue was driven by new store openings in Egypt, in particular, EBITDA decreased by 1 per cent to 603 million dirhams compared to the same period in 2018.
0 comments