Majid Al Futtaim's revenues surged by more than nine per cent to Dh27.3 billion in 2015 compared to Dh25 billion on new malls and retail expansion.

The shopping mall operator said its expansion plan is on track and the UAE remains the core focus area for the company. The company will continue to solidify its presence in Egypt Saudi Arabia and Oman and establish a stronger foothold in Africa and Eurasia through its Carrefour business.

The 2015 performance was largely driven by continued investment in core businesses across Dubai and increased development activity in Egypt and Oman the company said. The company continues to maintain a strong balance sheet with total assets valued at more than Dh51 billion and a net debt of around Dh9 billion.

Alain Bejjani chief executive officer of Majid Al Futtaim - Holding said: ".. 2015 financial performance has demonstrated the strength and resilience of our business against a backdrop of a regional economic slowdown.

The company has enhanced its offering in Dubai successfully completing a number of retail and leisure projects including the 36000 m2 expansion at Mall of the Emirates.

"With several large scale developments currently in the pipeline in Saudi Arabia Egypt and Africa we are well positioned to fully leverage the significant growth potential of the Middle East and North/East Africa region" Bejjani added. Last year the company's property unit expanded its portfolio by recording an increase in revenue of seven per cent to Dh4 billion while EBITDA rose by nine per cent to Dh2.6 billion contributing about 65 per cent of the group's EBITDA.

Occupancy across all shopping malls remained strong at 98 per cent. With completed expansions at Mall of the Emirates and City Centre Muscat and the opening of City Centre Me'aisem the company welcomed 171 million customers throughout 2015 a three per cent increase as compared to full year 2014.

Majid Al Futtaim's hotels experienced a decline in revenue per available room (RevPAR) of about seven per cent.

During the year retail business launched nine new Carrefour hypermarkets 11 supermarkets and five convenience stores in 2015 strengthening its presence to more than 150 outlets in 13 countries across the Middle East North Africa and Central Asia.

Its overall revenues increased by seven per cent year-on-year to Dh22 billion. EBITDA rose by two per cent to Dh1.2 billion driven primarily by entry into new markets additional store openings in existing markets and improving competitiveness in the food department. The company's diverse portfolio of cinemas leisure and entertainment fashion healthcare consumer finance food & beverage and facility & energy management reported strong financial performance with overall revenues increasing by 34 per cent to Dh1.4 billion.

With the launch of 58 new screens VOX Cinemas was the fastest growing cinema chain in the region and saw a 40 per cent increase in ticket admissions.

The company introduced six new leading global fashion brands to its portfolio.

Expansion plans

The company's expansion programmes are progressing as planned. The company announced plans to develop a second My City Centre a 5000 m2 mall in Al Barsha that is expected to be completed in the third quarter of 2016.

Last year the company re-affirmed its five-year investment plan in Egypt which is expected to create more than 144000 direct and indirect employment opportunities and reflects the company's commitment to expansion in the country. The plan includes the development of Mall of Egypt which is set to open in Q3 2016 and will feature Ski Egypt and the country's first VOX Cinemas. The investment plan also includes the development of City Centre Almaza the third City Centre in Egypt which is due to open in 2019. Majid Al Futtaim is also expanding its presence with shopping mall concepts in Saudi Arabia.

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