Deyaar swings into full year profit

Deyaar Development, Dubai's second largest developer by market value, swung to a small profit in 2011, it said in a statement to the Dubai bourse on Sunday.

Deyaar made a net profit of AED37.7mn ($10.3 million) last year, compared to a net loss of AED2.87bn in 2010.

The company also posted improved fourth-quarter results, according to Reuters calculations, but remained in a loss.

Deyaar made a AED7.3mn net loss in the fourth quarter of 2011, according to Reuters calculations, compared with a net loss of AED1.77bn dirhams during prior-year period.

The developer's results for both periods in 2010 were hit by large writedowns.

Chief Executive Saeed Al Qatami attributed the full-year profit to the company's "strong core operations despite challenging market conditions."

"The company will continue with its focus on completing the projects in the pipeline, growing the existing sources of sustainable income and exploring new business opportunities," Al Qatami said.

Deyaar's shares are 6.1 percent up since the beginning of the year.