RAK Properties Achieves AED 160.6 Million Net Profit For First Half Of 2025 Driven By Strong Sales Growth

RAK Properties reported a significant financial performance for the first half of 2025, showcasing strong growth and sales in its Mina flagship destination. The company achieved AED774.79 million in revenue during this period, with net profit increasing by 80% to AED160.6 million compared to AED89.06 million in the same period last year.

The company's development backlog, a key indicator of future revenue and cash flow stability, rose by 42% year-on-year to AED2,624 million. This was driven by a 59% increase in units sold, reaching 788, highlighting robust demand and positive momentum across RAK Properties' projects.

Operating profit for the first half of the year increased by 47% to AED204.15 million from AED138.51 million last year. Additionally, Earnings Before Interest, Taxes, Depreciation, and Amortization (EBITDA) grew by 42%, reaching AED239.25 million, reflecting the developer's operational strength.

RAK Properties' total assets increased by 3.5%, reaching AED8,290.00 million, while capital and reserves grew by 3% to AED5,701 million. This stable financial position provides clear visibility into future expansion plans and sustained investment opportunities.

The company's share price rose by 26.3% year-to-date to AED1.44, with market capitalisation reaching AED4,320 million by the end of H1/2025. Abdulaziz Abdullah Al Zaabi, Chairman of RAK Properties, stated: "RAK Properties’ robust H1 results are a testament to the remarkable growth and strategic vision that is driving both the company, and Ras Al Khaimah as a whole."

Al Zaabi highlighted Ras Al Khaimah's appeal as a real estate destination and investment hub due to its diversified economy and investor-friendly regulations. He noted that Mina's success reflects the emirate's broader vision to attract top-tier hospitality and investment globally.

CEO Insights on Growth

Sameh Muhtadi, CEO of RAK Properties, commented: "Our H1 results show a successful six months for RAK Properties." He emphasised that rising sales figures and international interest have solidified RAK Properties' role as a driver of economic growth in the emirate.

Muhtadi also mentioned that disciplined operations across diverse projects have supported strong financial results. The timely growth of Mina signals RAK Properties' status as a trusted developer with the expertise to achieve more in the future.

The company's consistent progress across residential and hospitality projects demonstrates its operational efficiency and expanding market appeal. These factors continue to attract buyers and investors to one of the UAE’s fastest-growing real estate sectors.

With inputs from WAM