Dubai’s biggest commercial real estate landlord reports ‘sharp rise’ in demand
Dubai: The Tecom Group will shell out Dh200 million as interim payout (or 4 fils a share) to shareholders after getting the necessary approval at its first general assembly since the listing on DFM. This is in line with the stated aim to distribute Dh800 million annually.
The Group had earlier reported a 51 per cent net profit increase year-on-year to Dh639 million for the first nine months. These were brought on by a double-digit growth in revenue through ‘high occupancy levels, lower operational expenses due to operational efficiency measures, and lower financial costs thanks to prudent financial management’.
“Tecom Group has sustained its strong performance since the start of the year in line with the sharp rise in demand in the commercial and industrial real estate market in Dubai,” said Malek Al Malek, Chairman of an entity that has multiple free zones in its portfolio and is one of Dubai’s biggest commercial real estate developer-operators.
“This buoyancy is underpinned by the economic expansion and the government’s initiatives to promote further growth and excellence, enhance the ease of doing business and attract top global talent and foreign direct investment.”
The Dh800 million will be distributed via semi-annual payments through to October 2025. This is how the payments will be staggered:
• October 2022 – Dh200 million
• April 2023 – Dh200 million
• October 2023 – Dh400 million
• April 2024 – Dh400 million
• October 2024 – Dh400 million
• April 2025 – AED 400 million
The ‘Funds from Operations’ – a measure of cashflow generation – totalled Dh864 million for the first nine months, up 34 per cent year-on-year, ‘demonstrating the company’s successful continued focus on driving quality revenues amid an improving economic backdrop’.
Source: gulfnews
