Emaar Malls, the shopping malls and retail business majority-owned by Emaar Properties, recorded a 5% increase in revenue to AED 4.673 billion ($1.272 billion), compared to the 2018, AED 4.446 billion (US$1.210 billion). Overall net profit in 2019 amounted to AED 2.286 billion ($622 million), similar to net profit for 2018 of AED 2.230 billion ($607 million).
Revenue grew by 4% to AED 1.261 billion ($343 million) during the last quarter of 2019 (October to December) when compared to same period in 2018.
Namshi, the regional e-commerce fashion and lifestyle platform was fully acquired in 2019 by Emaar Malls. The online retailer reported sales in Q4 2019 of AED 339 million ($92 million), an increase of 40% compared to the last quarter of 2018. During 2019, the wholly owned subsidiary of Emaar Malls recorded sales of AED 1.028 billion ($280 million) increasing 21% compared to the previous year. Namshi’s consistent success is attributed to its popular ‘Black November’ campaign and considerable growth in the Saudi market.
Strong occupancy and footfall
Occupancy levels within Emaar Malls assets – The Dubai Mall, Dubai Marina Mall, Gold & Diamond Park, Souk Al Bahar and the Community Retail Centres – was consistent at 92%. In 2019, there were approximately 136 million visitors collectively with The Dubai Mall maintaining its exceptional performance welcoming 84 million visitors in 2019.
Engaging loyalty programs across Emaar Malls entities are said to have fueled the growth seen in 2019. Strategic partnerships including the Emirates Skywards programs play a vital role in the Emaar Malls customer engagement strategy.
Commenting on the 2019 performance, Mohamed Alabbar, Chairman of Emaar and Board Member of Emaar Malls, said: “2019 was a great year for Emaar Malls with occupancy and visitor levels growing steadily. This uptick is a result of our continuous innovation as we refresh the customer journey, diversify our portfolio and invest in opportunities to bring our destinations to life. Examples of this include the recently opened Zabeel Extension at The Dubai Mall and the complete acquisition of Namshi, both of which contributed to our achievements in 2019. We expect to see this success continue through 2020, as we focus on loyalty programs to drive repeat visits and open new destinations to welcome inbound tourism driven by Expo 2020.”
In line with the Emaar growth strategy, Emaar is set to open Dubai Hills Mall in Dubai Hills Estate in Q4 2020. The 2 million square foot retail establishment will feature nearly 550 retail and entertainment destinations including four major family entertainment and leisure centres along with a cineplex, hypermarket, seven anchor retail experience stores, and over 7,000 parking spaces. Emaar Malls is also redeveloping Meadows Village to increase its GLA by approximately 95,000 sq. ft, and is scheduled for completion in 2020, further enhancing its Community Retail Centres.
Emaar Malls has partnered with Time Out Group PLC and is set to open first Time Out Market in the region at Souk Al Bahar, an Arabic-style retail, entertainment and dining destination right at the heart of Downtown Dubai. The unique waterfront location just by The Dubai Fountain and adjacent to The Dubai Mall and Burj Khalifa is one of the region’s prime destinations, attracting millions of visitors each year.
At Time Out Market Dubai, visitors will get to explore and enjoy food from 16 of Dubai’s top chefs and celebrated restaurateurs with three lounges and cultural experiences. The carefully curated lifestyle experience is set to define a new niche for the city and complements the current culinary offering. Emaar Malls is committed to bringing innovative entertainment attractions by working with global partners such as Time Out. With the opening expected in Q4 2020, Time Out Market will occupy 30,000 sq. ft., accommodating around 670 seats.