Union Properties Reports Stellar 2024 Financial Results, achieving a comprehensive income of AED 395 million.
Union Properties Achieves 59% Growth in Operating Profits, Strengthening Its Market Position
Union Properties PJSC (DFM symbol: UPP) has released its impressive audited financial results for the fiscal year 2024, reporting an operating profit of AED 161.8 million, marking a 59% annual growth. The company’s total comprehensive income reached AED 395 million, reflecting the strong performance of its subsidiaries, successful debt restructuring, and rising demand for its real estate projects. Additionally, revenue generated from customer contracts increased to AED 528.7 million, up from AED 508 million in 2023, reinforcing the company’s solid operational efficiency and expansion strategy.
Significant Debt Reduction & Enhanced Financial Stability
Union Properties has made remarkable strides in restructuring its financial framework, completing AED 723 million in total debt repayments in 2024. This move significantly lowered finance costs to AED 31.7 million in 2024, down from AED 114 million in 2023, further strengthening its financial position. The company’s subsidiaries have also showcased exceptional growth, contributing to higher revenue generation and improved operational efficiency.
Additionally, Union Properties has secured approvals to extinguish accumulated losses through capital reduction, marking the conclusion of its recovery phase. This strategic move ensures a robust capital structure, allowing for future dividend distribution and enhanced investor confidence.
Strong Asset Performance & Expansion Plans
The company’s land sales exceeded AED 1.3 billion, significantly reducing leverage and reinforcing its liquidity. For the first time in years, current assets now exceed current liabilities by AED 566 million, providing a solid foundation for upcoming projects and long-term investment returns.
Looking ahead to 2025, Union Properties remains dedicated to expansion and innovation. As part of its AED 6 billion development strategy, the company plans to launch two new projects, integrating sustainable design and advanced technology to meet the growing demand for premium residential, commercial, and mixed-use spaces. The UAE’s real estate market is expected to grow at an annual rate of 2.25% from 2024 to 2029, reaching a valuation of USD 759 billion, further reinforcing the sector’s lucrative potential.
CEO’s Vision for the Future
Eng. Amer Khansaheb, CEO and Board Member of Union Properties PJSC, commented:
“Our exceptional financial performance in 2024 is a testament to the resilience of Dubai’s real estate market and our strategic operational advancements. With increased liquidity, growing operating profits, and strong subsidiary performance, we remain focused on delivering value to stakeholders. In 2025, we are set to launch two new projects worth AED 4 billion, further accelerating our expansion in Dubai’s dynamic real estate landscape.”
He further added:
“At Union Properties, we align with the ‘Dubai Real Estate Sector Strategy 2033’ to enhance the sector’s economic contribution and solidify Dubai’s position as a global investment hub. As industry leaders, we are committed to meeting the evolving demands of investors, residents, and the international market.”
Innovation & Market Leadership
Union Properties leverages cutting-edge technology to deliver top-tier real estate solutions tailored to investors and end-users. By capitalizing on Dubai’s world-class infrastructure, favorable investment climate, and forward-thinking policies, the company continues to diversify its portfolio and navigate market shifts seamlessly.
With a strategic focus on sustainable development, financial stability, and innovative real estate solutions, Union Properties is poised for continued success and long-term growth in Dubai’s thriving property sector.
