TECOM Group announced robust financial results for the nine months ending 30 September 2025
Net profit rises 18% YoY reflecting strong performance across TECOM Group’s business segments
• Nine-month revenue surpasses AED 2.1 billion, driven by increased occupancy, higher rental rates, and portfolio expansion
• EBITDA for the first nine months of the year reaches AED 1.7 billion, marking 20% YoY growth amid continued operational efficiencies across the portfolio
• Funds from operations for the first nine months of 2025 increase by 16% to AED 1.5 billion
• Occupancy across the Commercial and Industrial portfolio grew by 2% YoY to reach 96%, while Land occupancy increased 8% YoY to 98%, reflecting strong demand for the Group’s premium assets
TECOM Group PJSC (DFM: TECOM), (“the Company” or “the Group”), the leading developer and operator of specialised business districts across Dubai, announced its financial results for the nine months and the third quarter (Q3) of the year ending 30 September 2025.
The Group reported nine-month (9M) revenues of more than AED 2.1 billion, representing year-on-year (YoY) growth of 20%, and net profit exceeding AED 1.1 billion, marking an 18% YoY increase, underpinned by increased occupancy, higher rental rates, improved efficiencies and continued portfolio expansion within its premium Commercial and Industrial assets.
Abdulla Belhoul, Chief Executive Officer of TECOM Group, said: “Our robust financial and operational performance for the first nine months of 2025 reflects our agility in navigating market dynamics and a disciplined focus on delivering customer value. Our solid momentum was driven by the Group’s AED 4.3 billion strategic expansion plan since last year and high demand for our premium Commercial and Industrial assets, as Dubai continues to rank No.1 globally for attracting Greenfield FDI projects. Our performance reinforces TECOM Group’s major contribution towards Dubai’s pro-business landscape and attractiveness to global investors as our roadmap for sustainable growth creates long-term shareholder value.”
Financial Highlights
Nine Months 2025:
• Revenue increased by 20% YoY to more than AED 2.1 billion, driven by acquisitions, high occupancy rates across all business segments, and growth in rental rates.
o Occupancy across the Group’s Commercial and Industrial portfolio grew by 2% YoY to 96%, while Land occupancy increased 8% YoY to 98%, reflecting strong demand for the Group’s portfolio, including Grade-A offices, storage and logistics facilities, and land for industrial leasing as Dubai attracts global investor interest.
• EBITDA increased by 20% YoY to AED 1.7 billion, with EBITDA margin at 79%, attributed to improved revenue quality and cost efficiencies and reflective of the Group’s ability to maintain sustainable business growth. Net profit grew by 18% YoY to more than AED 1.1 billion, driven by operational optimisation and efficient capital management across all business segments.
• Funds from operations (FFO) increased to AED 1.5 billion, marking YoY growth of 16%, led by enhanced performance from income-generating assets, continued improvement in revenue quality, and consistent collections.
Q3 2025
• Revenue grew by 19% YoY to AED 724 million in Q3 2025 as the Group continued to capitalise on Dubai’s robust economic fundamentals and strong demand for premium Commercial, Industrial, and Land assets.
• EBITDA noted YoY growth of 13% to AED 563 million, while EBITDA margin stood at 78%, reflecting strong revenue growth.
• Net profit increased by 10% YoY to AED 373 million in Q3 2025, underpinned by healthy revenue growth and continued increases in lease rates, alongside prudent financial management.
Strategic Investment Highlights
In August 2025, TECOM Group completed an AED 1.6 billion investment to acquire 138 land plots spanning 33 million sq.ft. in Dubai Industrial City, supporting robust and growing customer demand in the industrial sector.
The strategic expansion increases TECOM Group’s Land Lease portfolio to over 209 million sq.ft. and reaffirms Dubai Industrial City’s appeal to manufacturing and logistics companies. It also enhances the ability of the region’s leading manufacturing and logistics hub to meet the growing needs of its existing and new customers amid accelerated growth in the UAE’s and Dubai’s manufacturing sector, driven by Operation 300bn, Make it in the Emirates, and Dubai Economic Agenda ‘D33’.
The acquisition at Dubai Industrial City in Q3 2025 raises TECOM Group’s total strategic investments to AED 4.3 billion since last year, reinforcing the success of its roadmap for creating long-term shareholder value by unlocking sustainable business growth.
Underscoring its dedication to shareholder value, TECOM Group successfully concluded its dividend policy with the AED 400 million payment for H1 2025. This final distribution completes the AED 2.4 billion in total dividends over three years, fulfilling the AED 800 million per annum payment announced during the Group’s listing in 2022.
