Majid Al Futtaim swings to profit in 2021 amid continued economic recovery – The National

Majid Al Futtaim swings to profit in 2021 amid continued economic recovery – The National

Majid Al Futtaim, one of Dubai’s biggest private sector conglomerates and the Middle East's largest malls operator, swung to a profit in 2021 amid continued economic recovery in the region and despite lingering pandemic-related uncertainties.

Group net profit for the 12 months to the end of December surged to Dh2.46 billion ($670 million) from a net loss of Dh2.71bn recorded a year earlier, the privately held company said in a regulatory filing to Nasdaq Dubai, where its debt trades.

Earnings before interest, taxes, depreciation and amortisation rose to Dh3.91bn at the end of last year from Dh3.76bn in the 2020 financial year.

Revenue during the reporting period dropped 1 per cent year-on-year to Dh32.29bn.

“2021 was a year of evolution and renewal for the group,” Majid Al Futtaim said in the bourse filing.

“The business had to address the challenges of new Covid variants and their impact on the regional and global economic environment, which included supply-side shortages, disruptions to labour markets, production and supply chain bottlenecks, fluctuations in global energy markets, as well as shipping and transportation constraints, all adding to existing inflationary pressures.”

The company, which owns and operates 29 shopping malls, 13 hotels and five mixed-use communities, said the comprehensive vaccine programmes