Dubai’s Damac posts Dhs1bn 2020 loss; head says market recovery may take up to 2 years

Dubai’s Damac Properties has posted a net loss of Dhs1.04bn for 2020, dipping sharply from a loss of Dhs37m in FY 2019.

Total revenue for 2020 stood at Dhs4.7bn versus Dhs4.4bn in 2019. Meanwhile, booked sales for the period stood at Dhs2.3bn, compared to Dhs3.1bn in 2019.

Total assets stood at Dhs21.1bn in 2020 compared to Dhs23.8bn as of December 31, 2019.

As of December 31, 2020, gross debt stood at Dhs3.2bn, while cash and bank balances totaled Dhs4.2bn. Shareholders’ equity, meanwhile, equaled Dhs13bn as of December 31, 2020.

Damac delivered approximately 3,000 units in 2020 in AKOYA and Business Bay developments. The company also reached the milestone of crossing approximately 32,000-unit deliveries since inception during 2020.

Hussain Sajwani, chairman of Damac, said: “2020 was indeed a challenging year for the global economy, with the travel and tourism industries particularly hit due to the Covid-19 pandemic. We are in a far better position for economic recovery, although I still believe it will take 12-24 months for the real estate industry to fully recover.”