Financial Highlights
Revenue for the period was AED 932.4 million (Q3 2009: AED 1,702.6 million), including recurring revenue of AED 469.1 million (Q3 2009: AED 158.9 million)
Net loss for the period of AED 1,520.7 million (Q3 2009: Net profit of AED 1,412.6 million)
Continued investment in projects under construction - AED 5,895.7 million during the nine month period
Final stages of discussion with Abu Dhabi government regarding cash requirements - anticipated conclusion before the end of Q4
Operational Highlights
- The new Souk at Central Market opened in August
- Handover of Al Bandar residential development at Al Raha Beach commenced
- Delivery of first phase of the Al Gurm luxury development commenced
- Completion of all major infrastructure work at Yas Island including Yas Tunnel
- Completion of HQ and signing of long leasehold tenants including ATIC, Global Foundries and Insurance Authority
- Delivery of Ferrari World Abu Dhabi theme park ahead of opening on November 4
Aldar Properties PJSC ("the Company"), Abu Dhabi's leading property development investment and management company, today announced its financial results for the nine month period ended 30 September 2010.
Revenue was AED 932.4 million compared to AED 1,702.6 million for the comparative period in 2009. The Company recognised AED 348.2 million from the sale of residential units, whilst AED 584.2 million was earned from investment properties, project management and asset management services as well as the Company's developing operational businesses.
The Company incurred a net loss for the period of AED 1,520.7 million compared to a net profit of AED 1,412.6 million for the period ended 30 September 2009. As was highlighted at the end of the first half, this is primarily due to lower gains from fair valuation of investment properties, provisions for bad debts and lower property sales recognised.
Aldar is in the final stages of discussions with the Abu Dhabi government regarding the Company's cash requirements and anticipates that a framework will be concluded before the end of Q4 2010.
Net asset value stood at AED 14,810.2 million at the reporting date compared to AED 16,481.0 million at 31 December 2009. Additional investment in projects under construction (comprising investment properties under development and development work in progress) was AED 5,895.7 million during the nine month period as Aldar continues its focus on completion and delivery of its existing pipeline.
The period has also seen a number of operational milestones.
The new Souk at Central Market opened its doors to customers in August with a steady stream of retailers launching their stores.
The Al Bandar island development at Al Raha Beach has started handing over to owners and tenants, with the first residents moving in on 13th September. The first phase of the Al Gurm luxury villa development, which includes 70 units, has also begun handover during the period.
HQ, the Company's premium office building at Al Raha Beach was completed during the period and a number of long leasehold tenants have been signed including Advanced Technology Investment Company (ATIC), Global Foundries and the Insurance Authority of the UAE.
All major infrastructure work on Yas Island has now been concluded, with all freeway crossings completed by June 2010, and the Yas Southern Tunnel completed as scheduled in August 2010. Handing over of the maintenance to Abu Dhabi Municipality also began in August.
Since the period end, the Company has also delivered Ferrari World Abu Dhabi, the world's largest indoor theme park. The addition of Ferrari World Abu Dhabi to Yas Island represents another key addition to the Yas Island offering ahead of the second Formula 1TM Etihad Airways Abu Dhabi Grand Prix on November 14th.
The Company also recently unveiled a new brand direction that reinforces its evolving consumer focus and embraces its position as a contemporary Arab company and leading contributor to the development of the Emirate under Plan Abu Dhabi 2030.
Ahmed Al Sayegh, Chairman of Aldar Properties, commented:
"These results demonstrate the challenging times faced by Aldar. However, during this period we have not compromised on delivering high quality developments and infrastructure that will have a long term positive impact for Abu Dhabi.
We are committed to increasing recurring revenue through our investment property portfolio, our operational businesses as well as our government and other third party project work. It is therefore encouraging to see this translated into revenue figures for the period."
-Ends-
© Press Release 2010
