Dubai’s business enabler TECOM Group has announced its financial performance for the second quarter (Q2) and first half (H1) of the year ending June 30, 2024. The Group’s impressive results underscore its continued role in propelling Dubai’s knowledge-based economy.
For the H1 2024 period, TECOM Group’s net profit grew by a significant 24 percent, reaching AED603 million ($164.17 million). Revenues also saw a 9 percent year-on-year (YoY) increase, rising to AED1.1 billion ($299.48 million). These robust results build upon the Group’s solid performance in the first quarter of the year.
Attracting global businesses to Dubai
TECOM Group’s success has been driven by its ability to attract global and regional companies to its ten specialized business districts across six vital sectors. The Group’s top-line growth contributed to a 9 percent YoY surge in EBITDA, which reached AED896 million ($243.94 million).
High occupancy levels across assets
Occupancy levels across TECOM Group’s Commercial and Industrial assets further grew to over 92 percent in H1 2024, representing a 5 percent YoY increase. The Group’s Land portfolio also saw an 11 percent YoY growth in occupancy, reaching 96 percent. This healthy occupancy growth was complemented by a robust retention rate of 91 percent.
Read more: Dubai’s booming real estate market drives TECOM’s 13 percent profit increase in H1
Sustained momentum
Additionally, in Q2 2024, TECOM Group’s revenues grew by 9 percent to AED584 million YoY, supported by high occupancy rates. The higher occupancy demand across the Commercial, Industrial, and Land segments, coupled with the growing demand in Dubai’s commercial real estate market, led to a 35 percent YoY rise in net profit, which reached AED311 million.
Driving value for stakeholders
Moreover, the Group’s performance was further bolstered by new customers, improved rental rates, and healthy retention revenues, resulting in a 7 percent YoY increase in EBITDA, which reached AED457 million.
For more news on banking & finance, click here.
