RAK Properties' 2024 Revenue Surges 40% to AED1.4 Billion
During the Annual General Meeting held on Thursday, shareholders approved all agenda items, including the financial statements for the year ending 31st December 2024. The company's profit before tax experienced a significant rise of 52%, amounting to AED308 million, compared to AED202 million in the previous year. Net profit also saw a notable increase of 39%, reaching AED281 million, up from AED202 million in 2023.
The company's balance sheet reflects this upward trajectory, with total assets growing by 24% to AED8.01 billion as of 31st December 2024, compared to AED6.46 billion at the end of 2023. This growth was bolstered by a land contribution from the Government of Ras Al Khaimah, a strategic shareholder. Total equity also rose significantly, reaching AED5.53 billion, up from AED4.30 billion in the previous year.
In a strategic move, shareholders have decided to reinvest profits into accelerating project development, enhancing asset value, and capitalising on Ras Al Khaimah's dynamic real estate landscape, rather than issuing dividends this year. This approach aims to drive sustainable returns and strengthen the company's market position over the coming decade.
Abdulaziz Abdullah Al Zaabi, Chairman of RAK Properties, commented on the company's performance, stating that the exceptional financial growth reflects the strength of their vision and the continued confidence in Ras Al Khaimah as a rising hub for investment, tourism, and sustainable urban development. He emphasised the company's commitment to playing a pivotal role in shaping the future of the emirate.
CEO Sameh Muhtadi highlighted the disciplined approach that has yielded exceptional financial results, reinforcing the strong market demand for their projects. He noted that these record financial results allow RAK Properties to reinvest in growth, accelerate new projects, enhance asset value, and capitalise on opportunities across Ras Al Khaimah.
Looking ahead, RAK Properties is set for significant growth in 2025, with a strategic focus on accelerating its development pipeline to complement the thriving Mina ecosystem. The year began with the successful launch of Mirasol, a resort-style residential development in Mina, that saw its first phase sell out entirely, underscoring strong market demand. The company also introduced SKAI, a dual-tower residential project strategically located in the heart of the Harbour District.
Beyond the flagship Mina masterplan, RAK Properties is prioritising the expansion of its landbank as a critical component of its long-term strategy. The incorporation of prime locations, including the Beach District and other lands being assessed, extends the company's development pipeline to a 10- to 15-year horizon. This strategic expansion ensures sustained growth and diversification across residential, hospitality, and mixed-use developments.
The company's hospitality, retail, and leasing assets contributed AED261 million in recurring revenue, reinforcing financial stability and long-term profitability. This diverse portfolio underscores RAK Properties' resilience and adaptability in a competitive market.
As Ras Al Khaimah continues to experience significant expansion across key sectors, RAK Properties remains committed to attracting international investors, enhancing communities, and delivering exceptional developments. The company's forward-looking approach, reinforced by the strategic support of the Government of Ras Al Khaimah, provides financial stability and the capacity to scale large-scale projects, including the flagship Mina masterplan.
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