Overview of Emaar operating, financial performance in Q2 2026

Emaar Properties towers

Emaar Properties reported AED 11.51 billion in revenue in Q2 2026, an 18% rise year-on-year (YoY), but down 7% from the previous quarter.

The uptick in revenue in the current quarter was driven by a 29% increase in revenue from the core real estate segment—which includes the development and sale of residential units in communities, villas, commercial units, and land plots—reaching AED 9.32 billion in Q2 2026, up from AED 7.22 billion in the same period last year, though down 5% from the previous quarter.

The segment’s gross margin also increased by 2 percentage points year-on-year to 50% in Q2 2026 from 48% in Q2 2025, as revenue growth outpaced the increase in cost of revenue, as shown in the following table:

On the other hand, revenue from the leasing segment and related activities—which includes developing, leasing, and managing shopping malls, retail, and commercial and residential spaces—declined 6% to AED 1.87 billion in Q2 2026, compared to AED 1.99 billion in the comparative quarter, and decreased 9% from the previous quarter.

Despite the decline in revenue, the segment’s gross margin increased to 87% in Q2 2026 from 86% a year earlier, supported by a decline in cost of revenue that exceeded the drop in revenue, as shown in the following table:

Hospitality segment revenue decreased 39% to AED 320.3 million in Q2 2026, compared to AED 525 million in the same period of 2025, and declined 41% from the previous quarter.

The segment’s gross margin fell by 7 percentage points year-on-year to 42% at the end of Q2 2026, as the decline in revenue exceeded the decrease in direct costs, as shown in the following table:

Geographically, local revenue rose about 18% to AED 10.88 billion in Q2 2026, from AED 9.22 billion in the same period of 2025, but fell about 6% quarter-on-quarter.

International revenue in Q2 2025 also rose more than 22% to AED 632.7 million from AED 516.9 million in the same period last year, but fell about 24% from the previous quarter.

On the side of aggregate results, the income margin edged up 0.3% to 55.8% by end-Q2 2026, supported by revenue growing faster than direct costs.

At the consolidated level, gross margin edged up by 0.3 percentage points to 55.8% at the end of Q2 2026, as revenue growth outpaced the increase in direct costs.

Income from associates increased to AED 288.8 million from AED 82.1 million in Q2 2025, while investment, finance and other income rose 2% to AED 1.02 billion in Q2 2026 from AED 1 billion in the same quarter a year earlier.

In contrast, administrative and marketing expenses increased 23% to AED 1.48 billion in Q2 2026, while impairment provisions rose to AED 158.4 million from AED 11.9 million in the same period a year earlier.

The company’s foreign currency translation losses also increased to AED 302.6 million at the end of Q2 2026 from AED 59.4 million in Q2 2025.

Tax expenses rose to AED 815.2 million from AED 745.9 million in the same quarter a year earlier, reflecting an additional top-up tax expense of AED 427.1 million to ensure compliance with the 15% Domestic Minimum Top-up Tax effective Jan. 1, 2025. This limited the increase in profit during Q2 2026, as shown in the following table:

The company said in its press release that property sales reached AED 26.6 billion. It maintained pricing discipline and customer confidence across its integrated communities, supported by strategically timed project launches. The group’s cumulative property sales backlog from projects under development exceeded AED 164.9 billion at the end of H1 2026, up 13% from H1 2025, supporting future revenue and profitability to be recognised over the coming years.