UAE’s National Corporation for Tourism and Hotels Performs Well in Changing Economic Environment

 


Despite facing global headwinds, the UAE’s National Corporation for Tourism and Hotels (NCTH) has managed to increase its revenue and maintain steady profits through the first three quarters of 2024. The company reported revenues of AED 495 million for the nine month period, up from AED 485 million the previous year. Net profits remained stable at around AED 41 million. 


In the third quarter alone, revenues grew further to AED 160 million compared to AED 152 million in Q3 2023. While profits dipped slightly from the same period last year, remaining above AED 10 million. This shows NCTH’s resilience amid rising costs and weakness in certain markets. The hospitality sector has recovered strongly since the depths of the pandemic.


NCTH has a diverse portfolio of hotel assets spread across various emirates and segments. This diversification mitigates risks from any single market slowing down. Reforms to visas and residency rules also boost visitor numbers. Major events such as Expo 2040 on the horizon bode well for future growth.


The UAE leadership prioritizes tourism as a strategic industry. Ongoing investments are developing world-leading infrastructure and attractions. From luxury resorts to budget accommodations, the country caters to all travelers. Subsidiaries offer a range of services including facilities management. 


If effectively leveraging new opportunities while streamlining operations, NCTH seems well-placed to achieve further growth over the coming years. Economic diversification reduces dependence on traditional source markets. The corporation plays an important nation-building role through job creation and promoting hospitality talent.

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