LONDON: A splurge on marketing spending failed to deliver a bottom line boost to Damac Properties — the developer behind behind the only Trump-branded golf course in the Middle East.
The Dubai-based developer is well known for its marketing gimmicks such as including speed boats and sports cars with the homes it sells and often has a large presence of salespeople at events like the annual Cityscape shows in Dubai and Abu Dhabi.
But the developer’s latest marketing drive comes amid a subdued property market in the emirate where it faces stiff competition from rivals developing thousands of new units.
On Wednesday Damac reported its third quarterly decline in profits on the trot, reflecting the headwinds facing the wider property market.
Third-quarter profit fell 20 percent to 719.34 million dirhams ($195.86 million) from a year earlier even as the developer ramped up marketing expenses by a third to 96.45 million
dirhams.
Despite the decline, Damac Chairman Hussain Sajwani gave an upbeat assessment of the market.
“Dubai’s property market has been steadily solidifying in 2017, with increasing sales transactions and robust fundamentals, and our medium to long term outlook remains positive,” he said.
“Dubai’s property sector is feeling the positive effects of the emirate’s appeal and growing sophistication on the world stage. This is evident from the growing real estate sales transactions at Dubai Land Department and we are confident of the growth prospects for the sector going forward.”
But that view does not chime with many brokers concerned about the potential over-supply of new homes hitting the
market.
Property broker JLL estimates that as many as 80,0000 units could be delivered by the end of 2019 with developers including Nakheel and Deyaar, which also reported earnings yesterday, announcing new projects worth billions of dollars in recent months.
“This renewed sentiment does however raise the prospect of a potential over supply on the back of sales achieved through more attractive payment terms,” said Craig Plumb, the regional head of research at JLL.
US President Donald Trump’s eldest sons Donald Trump Jr. and Eric Trump visited Dubai in February for the opening of the Trump International Gulf Club.
The developer announced a tie-up with the Roberto Cavalli Group in the third quarter for a villa development called Just Cavalli.
The developer also handed over more than 850 units across its international developments which include its two-tower Esclusiva project in Saudi Arabia and its three-tower development project in Jordan.
Damac advert spend surges but profits fall
Damac advert spend surges but profits fall
Saudi Maaden reports 156% surge in annual net profit to $2bn on strong commodity prices and record production
RIYADH: Saudi mining and metals company Maaden has reported a 156 percent jump in its net profit attributable to shareholders for 2025, driven by higher commodity prices, record production volumes, and a one-off bargain purchase gain.
The state-backed giant posted a net profit of SR7.35 billion ($1.95 billion) for the full year 2025, an increase from SR2.87 billion in the previous year. The firm’s revenue surged by 19 percent to SR38.58 billion, up from SR32.55 billion in 2024.
This comes as Saudi Arabia steps up efforts to expand its mining sector as a pillar of economic diversification, encouraging international participation and private investment to unlock the Kingdom’s estimated $2.5 trillion in untapped mineral resources under Vision 2030.
In a statement on Tadawul, the company said: “Performance was led by record phosphate production, near record aluminum production, an increase in all three of Maaden’s main output commodity prices.”
The performance was also fueled by a 60 percent increase in gross profit, which reached SR14.79 billion. In its annual results announcement, Maaden attributed the top-line growth to “higher commodity market prices for phosphate, aluminum and gold business units,” as well as increased sales volumes in its phosphate and aluminum segments. This was partially offset by slightly lower sales volume in the gold unit.
Maaden’s CEO, Bob Wilt, hailed 2025 as a transformative year for the company, marked by strategic growth and operational excellence. “This was a great year for Maaden’s strategic growth. We delivered strong financial results and sustained operational excellence across the business,” he said in a statement.
“This was driven by growth in production across all businesses, including record-breaking DAP (di-ammonium phosphatevolumes), disciplined cost control across and a clear commitment to our role as a cornerstone of the Saudi economy,” Wilt added.
Profitability was further bolstered by an increased share of net profit from joint ventures and an associate. This included a one-off bargain purchase gain of SR768 million related to Maaden’s investment in Aluminium Bahrain B.S.C. The company also benefited from lower finance costs.
The fourth quarter of 2025 was strong, with Maaden swinging to a net profit of SR1.67 billion, compared to a loss of SR106 million in the same period of the prior year. Quarterly revenue rose 7 percent to SR10.64 billion.
The firm achieved record production of di-ammonium phosphate, reaching 6.72 million tonnes for the year, a 9 percent increase. Aluminum production remained near-record levels, while the company added a net 7.8 million ounces to its reportable gold mineral resources through discovery and resource development.
The phosphate division saw sales jump 17 percent to SR20.77 billion, with the earnings before interest, taxes, depreciation, and amortization margin expanding to 47 percent. The aluminum business reported a 9 percent increase in sales to SR10.99 billion, with EBITDA more than doubling in the fourth quarter.
Looking ahead, Wilt emphasized that the pace of growth will accelerate as the company advances key initiatives, including the Phosphate 3 Phase 1 and Ar Rjum projects, which remain on budget and schedule. Maaden has also secured a gas supply for its future Phosphate 4 project.
“This pace of growth will only accelerate. Not only as we advance projects and increase the scale of our exploration program, but as we continue to grow production and implement technology that will further modernize, streamline and unlock value,” Wilt added.
Earnings per share for the year rose sharply to SR1.91, up from SR0.78 in 2024. Total shareholders’ equity increased by 18.7 percent to SR61.59 billion.
