RAK Properties Reports 48.6% Drop in Nine-Month Profit as Revenue Falls to AED 809.72 Million
The Ras Al Khaimah developer's sales backlog increased by 10.4% year-on-year to AED 3.18 billion, providing visibility into its future revenue pipeline.
RAK Properties recorded a significant decline in its financial performance during the first nine months of 2026, with both revenue and net profit falling compared with the same period last year.
The developer reported a net profit after tax of AED 111.37 million for the nine months ended September 30, 2026. This represents a decrease of approximately 48.6% from the AED 216.82 million recorded during the corresponding period in 2025.
Revenue also came under pressure, reaching AED 809.72 million, down 30.5% from AED 1.1655 billion a year earlier. The reduction represents a difference of approximately AED 355.78 million in reported revenue.
Sales backlog increases despite weaker earnings
Despite the decline in revenue and profitability, the company recorded growth in its accumulated sales backlog.
RAK Properties' sales backlog reached AED 3.18 billion, compared with AED 2.88 billion during the same period last year, representing an increase of around 10.4%.
The backlog reflects the value of property sales expected to contribute to revenue recognition in future periods. Its growth provides the developer with a larger pipeline of contracted sales, although the timing of revenue recognition will depend on project progress and contractual requirements.
Financial performance reflects a challenging period
The company's results highlight a contrast between its current earnings and its future sales commitments. While the reduction in revenue affected profitability during the reporting period, the higher backlog indicates that the developer continues to hold a substantial volume of future business.
For Ras Al Khaimah's property sector, RAK Properties' results provide an important financial update on one of the emirate's established developers.
The company's performance in the remaining months of 2026, including its ability to convert existing sales commitments into recognised revenue, will be important to monitor as it moves into the next financial year.
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