UAE retail major Majid Al Futtaim is to push ahead with plans to open new malls across the Middle East, after shoppers contributed to a surge in its revenues.
The holding firm behind Mall of the Emirates, Deira City Centre and a number of other huge retail developments, confirmed it will break ground on its Cairo-based Mall of Egypt in the first quarter of this year, and open the doors of its Beirut City Centre mall before 2013 is out.
The firm can tackle the new projects from a position of strength after it revealed its revenues grew by 10 per cent last year to hit Dhs21.6 billion. It said earnings grew by 7 per cent to Dhs3 billion - and would have grown by 9 per cent but for the impact of depreciation in Iran's currency.
Majid Al Futtaim CEO Iyad Malas said 2012 had been "another strong year for us".
He cited an impressive performance in the company's home market of the UAE, with sales at tenant outlets growing by 9 per cent last year, and sales at its Carrefour supermarket franchise increasing by 6 per cent.
Business came roaring back in Egypt and Bahrain after a troubled 2011 - with sales at tenants in these countries growing by 24 per cent and 15 per cent respectively.
Majid Al Futtaim Properties - the part of the business which develops and operates the retail giant's malls - saw a 15 per cent hike in revenues to Dhs3.2 billion. The firm's malls hosted 147 million visitors last year.
Malas said the franchise part of the business - Majid Al Futtaim Retail - expects to open 11 new Carrefour hypermarkets this year, and its VOX Cinemas brand will add 42 screens.
Meanwhile, the organisers of the Dubai Shopping Festival yesterday released a half-time report on the progress of the 2013 retail extravaganza - which said the emirate's malls have reported "a sharp increase in footfall" on last year and expect to outperform 2012 sales.
Dubai Gold and Jewellery Group - an association of hundreds of retailers - reported an increase 52 per cent surge in their precious wares to Dhs134.5 million at the half way stage, festival organisers said - or more than $2 million a day.
© 7Days 2013
