Practice carrying out string of luxury projects in region
Profit at Zaha Hadid Architects rose by 38% last year, with the practice more than doubling its income from the Middle East.
The firm posted turnover of 拢77.2m in the year to 30 April 2024, 11% more than the 拢69.4m it reported in the previous year, with its pre-tax profit rising from 拢658,000 to 拢907,000.
Its earnings were significantly bolstered by booming workloads in the Middle East, where its revenues increased from just over 拢12m in 2023 to more than 拢27m in 2024.
The practice鈥檚 major ongoing projects in the region include the USD $1.3bn Al Khuwair masterplan in Muscat, Oman, a 293-home luxury residential scheme in Qatar with a development value of nearly $1bn and a residential scheme called The Alba on Dubai鈥檚 Palm Jumeirah.
The Far East remained its biggest market with revenues of 拢35.6m, although this was down from 拢42.2m it brought in from the region in 2023.
In the UK, where the practice said it was facing 鈥渧ery challenging鈥� competition for architectural contracts, its revenue remained mostly steady with a slight fall from 拢1.8m to 拢1.7m.
Work in Europe, the firm鈥檚 third biggest market, also dipped from 拢11.7m in 2023 to 拢10.3m in 2024, while in North America it rose from 拢1.2m to 拢2.2m.
The practice is still required to pay 6% of its annual net income to a charity set up by its founder Zaha Hadid, who died in 2016, in order to use the late architect鈥檚 name after losing a High Court case seeking to end the licensing agreement.
Since 2018, the agreement has generated 拢21.4m for the foundation, which manages Hadid鈥檚 estate and legacy.
The practice claimed the royalties imposed an unfair financial burden, limiting its ability to operate competitively, although financial records presented to the court showed its revenues nearly doubled from 2013 to 2023.
The firm is led by Patrik Schumacher and four other directors. It paid no dividends to directors during the year, according to the latest accounts.
No comments yet