Emaar Malls third-quarter profit gets boost from Namshi acquisition

09/11/2017 05:08 AST

The acquisition Dubai-based online fashion retailer Namshi underpinned Emaar Malls' financial performance in the third quarter, the shopping mall operator and retailer said on Wednesday. Net profit for the three months to September was 11 percent higher to Dh485 million from Dh435 million a year earlier, Emaar Malls said in a statement to the Dubai stock exchange. Revenue meanwhile rose 13 percent to Dh876 million from Dh774 million previously.

Emaar Malls completed the acquisition of Namshi on August 16, fortifying its bid for a digital-oriented growth aside from strengthening its main assets The Dubai Mall, Dubai Marina Mall, Souk Al-Bahar and Gold and Diamond Park where average occupancy rates were at 95 percent.

"Emaar Malls achieved its growth through innovative initiatives that are aimed at enhancing the visitor and customer experience," Mohamed Alabbar, the Chairman of Emaar Malls and Emaar Properties, said in the statement.

"In addition to introducing advanced technologies that add value to customers and retailers, Emaar Malls in investing in digital platforms to offer more and varied choices for people across multiple channels."

Following its acquisition, Namshi's third-quarter sales rose 39 percent to Dh196 million compared with the similar period last year.

For the nine-month period, Emaar Malls said that total revenue was up 5 percent to Dh2.5 billion from Dh2.3 billion previously while profit was 6 percent higher to Dh1.506 billion from Dh1.422 billion during the same period a year ago.

Emaar Malls welcomed more than 95 million visitors in its malls during the nine-month stretch, 5 percent higher than last year, with Dubai Mall having the highest footfall of 58 million during the said period.

Arab News