RAK Properties Reports Robust Q1 Performance: A 20-Year Milestone of Growth and Vision
RAK Properties, a leading player in the real estate sector of Ras Al Khaimah, has announced a commendable revenue achievement of AED 370 million (approximately USD 100.7 million) for the first quarter of 2025. This figure marks a notable increase of 28 percent when compared to the same period in the previous year. The surge in revenue is primarily attributed to ongoing developments across various residential projects, coupled with robust demand for newly launched properties. The financial results, released recently, indicate a promising start to what is poised to be a transformative year, as the company celebrates two decades of sustained growth characterized by innovation, commitment to delivery, and a vision for community building.
Financial Highlights
In terms of profitability, RAK Properties witnessed a significant rise in profit before tax, soaring to AED 74 million, a marked increase of 64 percent year-on-year. This robust performance is complemented by an increase in Earnings Before Interest, Taxes, Depreciation, and Amortization (EBITDA), which reached AED 107 million, showcasing not only improved margins but also effective operational leverage. The company’s balance sheet remains strong, with total assets valued at AED 8.15 billion and equity rising to AED 5.59 billion, signaling a solid financial position that will enable continued investment in future projects.
RAK Properties’ development backlog as of March 31, 2025, stood at an impressive AED 2.33 billion, thereby offering significant visibility into its projected future revenues. This backlog provides a clear roadmap for upcoming development initiatives, underscoring the company’s commitment to long-term growth and community enrichment.
Sales performance has also been noteworthy, with the company selling 503 units valued at AED 839 million in Q1 2025 alone. This represents the highest number of units sold in any quarter to date. The sustained demand across both end-user buyers and investors indicates strong market confidence and the effectiveness of RAK Properties’ strategic approach.
Vision for the Future
Abdulazis Abdullah Al Zaabi, the chairman of RAK Properties, articulated the company’s vision, stating that “RAK Properties continues to deliver at a pace that reflects the strength of its vision and the depth of its operational readiness.” Emphasizing a focus on clarity of purpose rather than nostalgia, Al Zaabi noted the company’s commitment to crafting communities that facilitate Ras Al Khaimah’s evolution into a globally competitive destination for investment, tourism, and quality living.
“This quarter reflects our growth maturity,” he remarked, referencing the attraction of global partners and the firm’s alignment with the broader economic ambitions of the Emirate. The commitment to a disciplined strategy prioritizing value creation and delivery excellence positions RAK Properties favorably for future endeavors.
Strategic Operational Developments
Sameh Muhtadi, CEO of RAK Properties, elaborated on the operational objectives for 2025, noting, “With more than 800 handovers planned and over 3,000 units currently under construction, we are delivering across multiple fronts while maintaining strong financial discipline.” This year is poised to be transformational, with key phases of the Mina masterplan activated, and a strengthened pipeline featuring high-performing hospitality and residential launches.
Muhtadi highlighted the importance of adapting the workforce to meet rising operational demands. “We are focused on delivery, differentiation, and unlocking long-term growth. This performance is only the start of what we intend to achieve this year,” he concluded, signaling a proactive approach to growth and development.
As RAK Properties embarks on its third decade of existence, it stands not only as a beacon of progress within Ras Al Khaimah but also as a model of corporate strategy and operational excellence in the broader UAE real estate market. As it continues to execute its plans with precision, the company remains poised to play a vital role in shaping the landscape of investment, tourism, and quality living in the region.
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