Aldar Properties Q1 net profit surges 80%, partly helped by one-off gain

Even without the one-off gain, Aldar's quarterly net profit rose 47%

  
Aldar Properties launches new waterfront development in Abu Dhabi. Featuring 238 residential plots in a prime location adjacent to Aldar’s flagship Yas Acres project, Aldar's LEA boasts parks, promenades, and waterside walkways.

Aldar Properties launches new waterfront development in Abu Dhabi. Featuring 238 residential plots in a prime location adjacent to Aldar’s flagship Yas Acres project, Aldar's LEA boasts parks, promenades, and waterside walkways.

Aldar / Handout via Zawya

DUBAI- Abu Dhabi's Aldar Properties posted an 80% rise in first-quarter net profit, partly helped by a one-off gain from completion of a property transaction with state-backed ADQ.

Net profit jumped to 544 million dirhams ($148.12 million) in the quarter that ended March 31, from 302 million dirhams in the same period a year earlier.

Aldar late last year agreed to take over the management and development of government capital projects worth 30 billion dirhams under a memorandum of understanding with state-backed ADQ.

Even without the one-off gain, Aldar's quarterly net profit rose 47%.

EFG Hermes had projected a net profit of 370 million dirhams for the property firm.

Aldar Development achieved property sales of above 1 billion dirhams for the third consecutive quarter, unlocking demand for prime real estate in Abu Dhabi, it said.

"Thanks to the UAE's world-leading vaccination programme, we can now begin to look beyond COVID-19 and to a return of the UAE economy to its long-term growth trajectory, with improving real estate supply-demand dynamics," CEO Talal al-Dhiyebi said in a statement.

Aldar has been looking to expand outside its core UAE market. It is leading a consortium that has submitted a non-binding offer to acquire a majority stake in one of Egypt’s listed leading real estate development companies, Sixth of October Development and Investment Co. ($1 = 3.6728 UAE dirham)

(Reporting by Saeed Azhar Editing by Bernadette Baum) ((Saeed.Azhar@thomsonreuters.com; +971 44536787; Reuters Messaging: saeed.azhar.reuters.com@reuters.net))


More From Equities