Dubai Holding Commercial Operations Group reported a 42% increase in 2014 net profit as property and land sales boosted earnings.

Dubai Holding has announced the financial results for its business group, Dubai Holding Commercial Operations Group (DHCOG), for the year ended 31 December 2014.

DHCOG had another strong year in 2014 and reported total revenue up 14% to AED 13.2 billion (2013: AED 11.6 billion) with recurring revenues up 8% to AED 7.6 billion (2013: AED 6.9 billion). DHCOG saw steady progress with improved revenue, gross profits and gross margins. Normalized EBITDA grew by 25% to AED 6.9 billion (2013: AED 5.5 billion) and net profit rose 42% to AED 4.7 billion (2013: AED 3.3 billion).

Commenting on DHCOG’s results, H.E. Mohammad Abdulla Al Gergawi, Chairman of Dubai Holding, said: “2014 marks 10th year of Dubai Holding’s operation and was another strong financial year. DHCOG is delivering consistently growing recurring revenue streams, which enables us to take advantage of emerging opportunities in further support of Dubai’s diversification strategy.”

Ahmad Bin Byat, Chief Executive Officer of Dubai Holding, said: “DHCOG goes from strength to strength. Our business units continue to outperform our expectations and we have robust growth strategies to keep this momentum going. In addition to our focus on innovation, we continue to drive the development of the Islamic Economy, with a special focus on the development of the Halal Food sector, the growth of the SME sector and the long-term success of the tourism industry. Overall we continue to be well positioned for the year ahead and are pleased to report an encouraging start to the 2015 year.”

DHCOG continues to strengthen its balance sheet along with its liquidity and cash position. At the end of 2014, DHCOG’s debt-to-equity ratio stood at 0.52 (2013: 0.61).

About Dubai Holding Commercial Operations Group

Dubai Holding’s commercial operations arm DHCOG operates in 24 countries through four leading business units. These are: TECOM Investments, which manages business parks in multiple sectors; Jumeirah Group, a global luxury hotel company; Dubai Properties Group, one of the largest fully integrated real estate and community development businesses; and Emirates International Telecommunications, which runs a portfolio of regional and international technology and telecommunications assets.