Monday, Aug 13, 2012
(This story was originally published Sunday.)
DUBAI (Zawya Dow Jones)--Eshraq Properties (ESHRAQ.AD), the Abu Dhabi-listed developer, said Sunday delayed approvals on its project developments have put downward pressure on its second quarter earnings which came in at a net loss of 2.9 million U.A.E. dirhams ($778,675) as the company continued to buy income-generating properties.
"It was general administration expenses, as we are a new company there are no transactions. We also are buying income-generating properties in the U.A.E. so that is why we posted a loss," said Abdulfattah Al Barghouthi, investor relations manager at Eshraq Properties.
The developer had posted a first quarter net profit of AED10.8 million, according to Zawya.com data. Revenues for the second quarter came in at AED1.1 million versus the AED36.2 million in the first quarter recorded by Zawya.com. Earnings data for the recently-listed company only goes back to 3Q11.
"In the fourth quarter we are expecting to start the Gateway project in Abu Dhabi after getting final government approvals, which are expected in the third quarter," said Mr. Al Barghouthi.
Established in 2006 by individual U.A.E and Saudi investors, Eshraq launched an initial public offering on the Abu Dhabi bourse in May, selling shares worth AED825 million, equivalent to 55% of the company's total AED1.5 billion capital. The company's shares have slumped since peaking at AED0.51 after first starting to trade in September 2011.
Eshraq shares are trading flat Sunday at AED0.31.
-By Tahani Karrar-Lewsley, Dow Jones Newswires; +971-4-446-1686; tahani.karrar@dowjones.com; Twitter: @ZDJnews
Copyright (c) 2012 Dow Jones & Co.
(END) Dow Jones Newswires
13-08-12 0409GMT
