Amlak Reports $14.16 Million Profit After Tax for 2024

Prudently managing its debt operations and balance sheet, Dubai-based Amlak Finance on Tuesday reported a net profit of $14.16 million for the year ended 31 December 2024 as compared to a net profit of $70.51 million for the corresponding period in 2023.

Amlak’s revenues from financing and investing business activities for the year 2024 increased by 10% to $36.75 million compared with $33.22 million in 2023. Amlak’s total revenue decreased by 23% to $94.47 million compared with $123.06 million during the previous year. The company’s operating costs for the year decreased by 20% to $32.4 million, compared with $40.57 million last year.

The company’s debt settlement arrangements, through cash remained successful during the year, enabling two financiers to fully settle their exposure during the year ended 31 December 2024. The company recorded a net gain of $12.25 million as against $47.37 million in 2023 on debt settlement arrangements and was able to reduce its debt burden by $64.8 million.

The company continued to efficiently manage its obligations, with repayment of $141.3 million to financiers. An agreement has been reached with the six remaining financiers on the repayment plan for the outstanding balance of $264.36 million. To date, Amlak has settled 91% of its Islamic deposit liabilities including Mudaraba Instrument relating to financiers.

In the region, Amlak’s investment in Egypt witnessed the devaluation of the Egyptian Pound against AED which impacted the group’s financial position. In KSA, the investment yielded an income of $2.45 million.

Prudent Debt Management

Amlak Finance Chairman Jamal Hamed Almarri said that 2024 was a year of measured, strategic management for the company and amidst challenges, they have reinforced the foundation with a focus on operational efficiency and prudent debt management.

These efforts have strengthened Amlak and positioned them to navigate an evolving market with confidence. Looking ahead, the company is committed to capitalising on opportunities within the UAE’s dynamic real estate sector, coupled with a focus on long-term value creation, that will drive Amlak’s future growth, he said.

Amlak Finance CEO Arif Albastaki said that they have demonstrated resilience and unity which will serve as the foundation for a brighter year ahead. They overcame key financial headwinds and making steady progress in debt management, which will be Amlak’s primary focus for 2025 facilitating its transition.

The company will remain focused on seizing all opportunities and continue to progress towards achieving our long-term objectives. This relentless pursuit of growth and excellence is grounded in our belief in the power of innovation to create sustainable value for our stakeholders.

Amlak achieved key milestones in December 2024 including the successful exit of two out of eight financiers at 70% settlement and this has strengthened our financial position and enabled us to direct our focus towards future opportunities, Albastaki added.