* Q2 net profit $253.3 mln vs $214.7 mln
* Q2 revenue rises 37 pct to $556.1 mln
* Says supply constraints to support high-end property
* Proposes interim dividend of $0.25 per share
By Matt Smith
DUBAI, Aug 12 Dubai luxury property developer
DAMAC posted an 18 percent increase in second-quarter
profit and said demand for high-end property would remain
strong, despite signs of a slowdown in the emirate's wider real
DAMAC made a profit of $253 million in the three months to
June 30, while revenue rose 37 percent to $556 million,
according to a regulatory filing on Tuesday. It booked sales of
$1.68 billion in the first half of 2014, up 75 percent from a
Property prices in Dubai fell by more half from a 2008 peak
due to oversupply and Dubai's debt crisis, but uprisings and
unrest in other Arab countries led to an influx of money and
people fleeing the strife, helping the emirate's real estate
sector mount a startling recovery.
Prices are back to around pre-crash levels, but consultant
JLL said in a recent report that there had been a marked
slowdown in the volume of residential sales in Dubai in the
DAMAC's larger rival Emaar Properties reported a
slight drop in property sales in the three months to June 30.
"Customer demand for our luxury product remains high,"
DAMAC's chief executive Hussain Sajwani said. "We strongly
believe that the current real estate market in Dubai remains
sustainable, supported by a structural and ongoing supply-demand
imbalance for high-end property."
DAMAC listed its global depository receipts (GDRs) in London
last December and also plans to offer investors the option of
GDRs into ordinary shares that would be listed on Dubai's main
DAMAC said it planned to pay an interim dividend of $0.25
(Editing by Tom Pfeiffer)