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#Aldar General News

February 13, 2019

ALDAR Raises Dividend 17% To 14 Fils On Strong 2018 Performance

Abu Dhabi - UAE, February 13, 2019: Aldar Properties PJSC (“Aldar”) reports robust financial results for the 12 months to 31 December 2018 - a transformational year with strong momentum building in the second half that has continued into 2019. A year of significant strategic corporate actions:   - Strategic partnership with Emaar Properties - AED 3.7 billion asset acquisition takes Aldar onto Saadiyat Island - Created AED 20 billion Aldar Investments, the region’s largest diversified real estate investment company Financial highlights   - Solid core business: - AED 6.3 billion revenue - up 2% and supported by asset acquisitions and development revenue recognition as projects under construction achieve milestones - AED 2.6 billion gross profit - reflecting a steady performance across our businesses - AED 1.6 billion net operating income (NOI) from recurring revenue assets up 3% - 57% contribution of Asset Management business to FY 2018 gross profit - AED 2.6 billion of development sales, driven by strong Q4 - 78% of all projects under development sold at end of 2018 -  AED 1.9 billion net profit including fair value adjustments of 0.7 billion - AED 2.5 billion net profit excluding fair value adjustments of 0.7 billion Dividend The Board recommends 14 fils per share dividend for 2018, representing a 17% increase over 2017 and the sixth consecutive year of growth.


The proposed total dividend payout of AED 1.1 billion reflects the quality of Aldar’s recurring revenue assets that contributed the majority of the dividend, with growth supported by development handovers and collection of final payments. H.E. Mohamed Khalifa Al Mubarak, Chairman of Aldar Properties, said:  “Abu Dhabi’s real estate sector is a key beneficiary of the Government’s growth-focused policies, which are driving positive economic activity and sentiment. Aldar continues to play an integral role in the evolution of the industry and is successfully delivering on its strategy. The strength and consistency across our businesses underpins the Board’s confidence in proposing an increased dividend for 2018.” Talal Al Dhiyebi, Chief Executive Officer of Aldar Properties, said:        “2018 was a transformational year with a series of game changing corporate actions. We completed one of the largest real estate transactions in the UAE’s history and created the region’s largest diversified real estate investment company.Our financial and operational performance was strong and will accelerate further as our mature asset portfolio grows and more of our developments enter the handover phase. We are extremely confident, starting 2019 with powerful momentum from the incredible response to the launch of Alreeman. With a positive shift in sentiment, strong liquidity in Abu Dhabi and the long-term health of our real estate market, we are optimistic about the year ahead. ” FY 2018 Asset Management highlights   - AED 3.7 billion asset acquisition completed in June 2018 contributed AED 0.7 billion and AED 0.2 billion in revenue and gross profit respectively - Launch of Aldar Investments, the region’s largest diversified real estate investment company, following the transfer of Aldar’s high quality residential, commercial, retail and leisure assets - Steady occupancy of approximately 90% across retail, residential and commercial portfolios – ahead of wider Abu Dhabi market occupancy levels - Grew the portfolio by 9% through acquisition of new assets - Hospitality portfolio steady at 74% occupancy over 2018, 84% during Q4 2018 - Over 14,000 students now attending Aldar Academies’ schools in Abu Dhabi and Al Ain with the addition of Al Rayana School in Al Falah during 2018 - Full ownership assumed over property and facilities management business Khidmah following acquisition of the 40% minority stake.


FY 2018 Development Management highlights  - Launched a total of 1,423 residential units for sale during 2018 - Reflection, Alghadeer and Alreeman represent continued focus on meeting untapped demand for affordable developments - 15 projects at various stages of completion within the development pipeline - Saadiyat Island became a new destination for Aldar, as Mamsha and Jawaher entered the portfolio - Total sales for FY 2018 of AED 2.6 billion, including Q4 sales of AED 1.3 billion - 1,237 homes handed over to customers over 2018