Nagham Hassan, Market Analyst at etoro
Aldar Properties profit rose 21% year-on-year to AED 2.25 billion after tax in the third quarter of 2026, driven by development revenue and rental gains. Total revenue increased by 16% over the same period, supported by active building projects and commercial leases.
However, new UAE property sales fell 45% compared to the prior year. This drop shifted market attention to fourth-quarter figures as stakeholders track broader business momentum.
Existing Backlog Drives Aldar Properties Profit
Nagham Hassan, Market Analyst at etoro, stated that the firm’s results reflect the underlying strength of its ongoing delivery pipeline. Specifically, construction work on previously sold units accounted for roughly 75% of total quarterly revenue.
“The bar now moves to new sales, because a backlog that stops growing today means slower earnings growth further out, and investors will want to see the third-quarter pickup carry through to year-end.”
Nagham Hassan, Market Analyst at etoro
Because revenue recognition in off-plan development relies on construction milestones rather than immediate sales bookings, ongoing building activity on existing commitments sustained overall financial performance during the period.
Rental Growth and Hospitality Challenges
The group’s leasing operations recorded steady expansion during the quarter. Adjusted EBITDA for the rental division gained 27%, while occupancy levels remained near total operational capacity across key assets.
In contrast, the hospitality unit encountered operational headwinds. Regional travel interruptions caused a decline in occupancy rates across hotel properties, dampening the sector’s net contribution.
Liquidity Position and Land Acquisitions
Despite the slower quarterly sales pace, the developer launched seven new projects during the third quarter. These launches pushed total year-to-date sales above AED 20 billion, maintaining a sales backlog of AED 71.6 billion.
Furthermore, available liquidity stood at AED 38 billion, which includes undrawn debt lines. The company deployed capital into land purchases, acquiring AED 5.3 billion in new plots during the year, including sites in Dubai.
Market Momentum and Strategic Pipeline
The geographic addition of plots in Dubai marks an important part of the group’s broader development footprint outside its core home market. Investing AED 5.3 billion in land replenishment ensures that the developer retains site inventory for upcoming launches.
With AED 38 billion in liquidity, the company preserves financial flexibility to execute on active building commitments while continuing to finance its development timeline across multiple jurisdictions.
Outlook for Future Earnings
While long-term delivery buffers near-term results, analysts note that generating consistent contract volume remains necessary. Maintaining the current Aldar Properties profit trajectory will require steady absorption of new project launches as the market heads into 2027.
