Investments in Fetchr and Retail Arabia see the company pursue an aggressive strategy
Dubai: Majid Al Futtaim, a Dubai-based developer operating in the retail and leisure sectors, saw its overall group revenue expand by 4 per cent to Dh15.7 billion, whilst its profits increased by 4 per cent to Dh2 billion, the company said in a statement on Monday.
The company continues to maintain a balance sheet with total assets valued at around Dh56.1 billion and a net debt of around Dh9.6 billion.
Alain Bejjani, Chief Executive Officer of Majid Al Futtaim Holding, said in a statement: “Majid Al Futtaim continued demonstrating strength and resilience against a backdrop of regional economic challenges.”
In the first six months of this year, Majid Al Futtaim has acquired Retail Arabia to expand its Carrefour brand, whilst it also invested in Fetchr, a Dubai-founded tech start-up working in the retail, eCommerce, and logistics sectors.
“We remain focused on our strategic direction, while anticipating market changes, working smarter, competing effectively and celebrating milestones. Our aim is to build on our rich heritage, customer centricity and market knowledge by creating and developing a technology-driven business that will future-proof our organisation, delivering greater value for our customers and stakeholders,” Bejjani added.
According to the statement, Majid Al Futtaim is “actively assessing potential investment opportunities with a focus on digital capabilities, technology and e-commerce. The company will also increase its focus on enabling seamless and effortless integration of its online and offline presence.”
In the first quarter of 2017, the company issued a Dh1.8 billion corporate hybrid to fund its inorganic expansion plan. “In line with our proactive and prudent financial approach, we opted to bolster our balance sheet and preserve debt capacity for future organic growth and issued a new subordinated perpetual bond to pre-fund the Retail Arabia acquisition,” Shrimati Damal, Chief Financial Officer at Majid Al Futtaim — Holding explained.