Page 34 - UP PR REPORT - February 2025

million ($31 million) in 2023. This big drop in finance costs doesn’t just boost the
company’s profits. It also frees up money for future investments and plans to
grow.

Subsidiary Performance

Union Properties’ 2024 success story went beyond just the parent company. Its
subsidiaries also helped boost overall revenue growth and make operations more
effective. While we don’t have specifics on how each subsidiary did, their
combined input has been noted as key, showing the strength of Union
Properties’ varied business model.

Capital Structure Optimization

Union Properties has unveiled its intention to get the necessary approvals to wipe
out its accumulated losses by reducing capital. This move will end the company’s
recovery stage, leading to a strong and clear capital structure. This decision has
big long-term effects, as it opens the door to possible dividend payouts.

Liquidity Boost and Asset Management
One of the good signs of Union Properties’ recovery is its current asset situation.
For the first time in years, the company’s current assets now surpass its current
liabilities by AED 566 million ($154.1 million). This positive cash flow gives the
company more financial options and allows it to take advantage of new market
opportunities.
The company’s success in selling land played a big part in this improved cash
flow. Union Properties sold AED 1.3 billion ($350 million) worth of land. This step
boosted its cash reserves and allowed it to pay off debt.

Leadership Insights

Amer Khansaheb, CEO and Board Member at Union Properties, shared his
thoughts on the company’s results and what’s next. He said the strong financial
results came from Dubai’s comparative real estate market and ongoing
operational improvements within the company.
Khansaheb highlighted key achievements such as improved liquidity, growth in
operating profit, the success of subsidiaries, and the launch of new projects. All
this shows Union Properties wants to give value to its investors. His words show a
leadership team proud of what they’ve done and wants to keep this good streak
going.

Future Outlook: Big Plans for 2025 and Beyond
Union Properties isn’t sitting back. The company has expressed confidence in its
ability to sustain its commitment to growth and innovation in 2025 and beyond.
As part of a big AED 6 billion ($1.63 billion) plan to develop, Union Properties
aims to start two new projects soon.
These upcoming projects, worth AED 4 billion ($1.1 billion), show the company’s
positive view of Dubai’s property market. Khansaheb stressed that 2025 will be on
community growth and sustainable development. And Union Properties are
going to follow that trend.

https://topluxuryproperty.com/blog/union-properties-continues-its-turnaround-with-a-strong-
fy/