Skip to content Skip to Search
Skip navigation

Tecom to expand logistics facilities as profit rises 34%

WAM
The company will add 200,000 sq ft of total gross leasing area for logistics and storage in Dubai Science Park

Tecom Group plans to develop new Grade A storage and logistics facilities as demand for high-quality commercial space surges across Dubai.

The Dubai-based business park operator will add 200,000 sq ft of total gross leasing area for logistics and storage in Dubai Science Park. 

The expansion comes as the company posted a 34 percent year on year increase in net profit for the third quarter of 2023 as a result of increased revenue from high occupancy levels across its business parks.

Net profit stood at AED283 million ($77.05 million) in the third quarter compared to AED212 million, driven by “favourable” commercial real estate market conditions in the emirate.

Revenue jumped 10 percent year on year to AED541 million, while Ebitda rose by 13 percent year on year to AED410 million. 

The company reported a decline in operational expenses and lower financing costs supported by the recent refinancing of a loan facility at lower margins and favorable terms.

Net profit increased by 20 percent annually to AED768 million due to strong growth across all business segments.

Revenue was up seven percent year on year to AED1.6 billion on continued improvement in occupancy levels and sustained strong customer retention rates.

“Our 10 business districts are almost near full capacity, with our existing customers continuing to renew their leases with us and new customers coming on board,” said Abdulla Belhoul, chief executive officer, Tecom Group.

Latest articles

Shoppers choose vegetables in Istanbul; inflation means people are spending on essentials

Turkish retailers’ confidence wavers as inflation bites

Confidence is falling among Turkish retailers, according to a survey from the country’s statistics agency Turkstat. Shoppers have been scaling back on big-ticket purchases, spending instead on basic consumer goods as inflation piles pressure on household incomes. May’s business confidence report, released by Turkstat on June 24, showed sentiment in the retail sector at its […]

Water is handed out to pilgrims in Mecca. Hundreds of pilgrims without a Hajj permit died during extreme heat last week

Egypt shuts down 16 travel companies after Hajj tragedy

Egypt has withdrawn the operating licences of 16 travel companies for organising unlicensed Hajj trips to Saudi Arabia. A statement from the Egyptian government said the companies would be prosecuted and fined, with the funds used to compensate pilgrims’ families for their loss.  Hundreds of Egyptians were among 1,301 people who died of exposure to […]

A floating production unit in Israel's Karish gas field in the eastern Mediterranean. Carlyle is creating a new oil and gas company to manage the field

New Carlyle entity to manage East Med gas projects

Carlyle, the Nasdaq-listed private equity company, is creating a new oil and gas company to manage recently-acquired assets in the Mediterranean hydrocarbons market. The new as yet un-named entity will be led by former BP CEO Tony Hayward and will manage a portfolio of gas-weighted exploration and production assets in Italy, Egypt and Croatia, according […]

Spinneys plans to open another 12 stores in Saudi Arabia by 2028

Spinneys opens first Saudi supermarket in Riyadh

Spinneys has opened its first supermarket in Saudi Arabia and is planning a further 12 stores in the country by 2028. The UAE supermarket operator listed on the Dubai Financial Market last month and raised AED1.38 billion ($375.7 million) from its initial public offering, which was oversubscribed almost 64 times. The first Spinneys in Saudi […]