Property News · May 10, 2016

Abu Dhabi's Aldar Properties Q1 net profit gains 15 per cent


Aldar Properties reported a 15 per cent year-on-year increase in net profit for the first quarter of 2016 to Dh654 million.The Abu Dhabi-based developer attributed the increase to a growth in its recurring revenue, which increased by 10 per cent to Dh403m, which was largely due to the fact that Yas Mall is now fully trading. Recurring revenue now makes up 61 per cent of Aldar’s turnover, which climbed by 4 per cent during the quarter to Dh1.23 billion. Hotel occupancy within its portfolio dropped by 5 per cent year-on-year to 81 per cent, but the company said that it remains ahead of the wider Abu Dhabi market.On the development side, the company sold 320 units during the first three months, raking in Dh940m in off-plan sales. Of these, 132 were sold at its West Yas project for Dh616m and 188 were sold between the Mayan, Meera and Al Nareel projects for a combined Dh324m.Mohamed Al Mubarak, the chief executive of Aldar Properties, said: “We continue to see high levels of interest in quality real estate product among buyers, driving demand for our developments, which offer lifestyle amenities in desired locations such as Yas Island, Shams Abu Dhabi and Al Raha Beach.”Aldar’s net debt at the end of the first quarter was Dh6bn — a reduction from Dh8.2bn a year earlier. Greg Fewer, the chief financial officer, said that Aldar’s debt was now in line with its target of 35 per cent of its recurring revenue asset base. Talal Al Dhiyebi, the chief development officer of Aldar, said that the company expects to continue to deliver 1,500 units per year. “However, like all prudent developers, we will continue to monitor market conditions.”mfahy@thenational.aeFollow The National’s Business section on Twitter

Source : thenational.ae
Read more…Abu Dhabi’s Aldar Properties Q1 net profit gains 15 per cent

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