Abu Dhabi's Aldar Q2 profit rises 2%

The state-linked builder of Abu Dhabi's Formula One circuit made $132mln in the three months to June 30

  
Headquarters of Aldar is seen in Abu Dhabi, United Arab Emirates, December 24, 2018. Reuters/Hamad I Mohammed

Headquarters of Aldar is seen in Abu Dhabi, United Arab Emirates, December 24, 2018. Reuters/Hamad I Mohammed

REUTERS

DUBAI  - Abu Dhabi developer Aldar Properties reported a 2% rise in second-quarter profit on Thursday, although the company did not provide outlook for the rest of the year due to the COVID-19 pandemic.

The state-linked builder of Abu Dhabi's Formula One circuit made 484 million dirhams ($132 million) in the three months to June 30, compared with 476 million dirhams a year earlier.

Revenue increased by 21% to 2 billion dirhams, driven by state projects and inventory sales, it said in a statement.

Aldar has not launched any new projects so far this year, and it made just under 1 billion dirhams in sales in the first half.

It had set a target of between 3.5 billion and 4 billion dirhams in sales this year before the pandemic.

Chief Financial Officer Greg Fewer told reporters investor and consumer demand in Abu Dhabi was encouraging, and while the company was "feeling good going into the second half of the year, no one is going to be in a position to guide."

Aldar had to temporarily close or limit retail and hospitality operations in the first half due to government restrictions related to curbing the spread of the virus.

($1 = 3.6728 UAE dirham)

(Reporting by Alexander Cornwell; Editing by Muralikumar Anantharaman, Aditya Soni) ((Alexander.Cornwell@thomsonreuters.com;))

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