Aldar Properties Q-3 Revenues Drop 45% Year-over-year

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(ABU DHABI, UAE) -- Aldar Properties, Abu Dhabi's leading property development, investment, and management company, today announced its financial results for the nine month period ending 30 September 2010.

Revenue was AED 932.4 million compared to AED 1,702.6 million in 2009. Aldar recognized AED 348.2 million from the sale of residential units, while AED 584.2 million was earned from investment properties, project management, and asset management services as well as operational businesses.

Aldar incurred a net loss for the period of AED 1,520.7 million compared to a net profit of AED 1,412.6 million a year earlier. This is primarily due to lower gains from fair valuation of investment properties, provisions for bad debts, and lower property sales.

Aldar is in the final stages of discussions with the Abu Dhabi government regarding its cash requirements and anticipates that a framework will be concluded before the end of 2010. Net asset value stood at AED 14,810.2 million compared to AED 16,481.0 million on 31 December 2009.

Ahmed Al Sayegh, Chairman of Aldar Properties, said, "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."

Al Sayegh added, "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."

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

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