Dubai’s Emaar profits slip 52 per cent

Dubai-based real estate giant Emaar Properties on Tuesday said it posted 422 million dirhams ($A106 million) in net operating profits for the second quarter of 2011, down 52 per cent from the year before.

Net profits for the second quarter of 2010 were 896 million dirhams ($A225 million).

“Second-quarter results were supported by the continued delivery of residential units in Burj Khalifa and in its premium commercial project, Boulevard Plaza, located in downtown Dubai,” Emaar said in a statement on the Dubai stock exchange website.

But it handed over significantly fewer units than it had in the same period last year.

“The company handed over approximately 244 units during the quarter as compared to 270 units and 612 units during the first quarter of 2011 and the second quarter of 2010, respectively,” Emaar said.

It said that retail and hospitality subsidiaries contributed to its revenue stream.

“Emaar’s business subsidiaries contributed significantly to the company’s revenue stream with the shopping malls and retail business continuing with the strong growth trends as seen during the first quarter of the year,” Emaar said.

The glitzy Gulf business and tourism hub of Dubai was hard-hit by the global financial crisis, especially in its once-booming real estate sector.