One of the principal FEC operators in the Middle East, Majid al Futtaim Group, has reported a small increase in net profits to US$735m for 2023.
The group, a shopping mall developer and significant entertainment provider, said that its retail business had shown a fall because of “geopolitical headwinds.”
The company, which owns and operates Ski Dubai, the VOX cinema chain and the Magic Planet FEC brand, had net profits of $653m in 2022.
Revenue was up one per cent at $66.7bn. EBITDA rose 12 per cent to $1.2bn.
MAF Properties was the key element in the figures, with revenue up 20 per cent through increased footfall. Occupancy rates at its shopping malls stood at 96 per cent, hosting 232 million visitors, up eight per cent.
Entertainment revenue grew by seven per cent to $490.1m. The group said that its VOX cinema chain was recovering from “delays and adjustments” to its content supply.
CEO Ahmed Galal Ismail said: “While we are not immune to the impact of the regional macroeconomic challenges, including currency devaluation in Egypt, Lebanon, Pakistan and Kenya, and the deeply concerning geopolitical events that are shaping market dynamics and consumer behaviours, we are confident in our ability to navigate the path ahead while delivering value to our stakeholders in 2024 and beyond.”
