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Wed 17 Jan 2018 02:59 PM

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Dubai's Deyaar posts lower 2017 profits despite revenue jump

Developer says increase in revenues driven by steady progress on key Dubai projects

Dubai's Deyaar posts lower 2017 profits despite revenue jump

Dubai-based developer Deyaar on Wednesday reported lower net profit in 2017 despite a 75 percent jump in revenues to AED751.6 million ($204 million).

The company said the increase in revenues was driven by steady progress on Midtown construction, which is on track with its Afnan and Dania districts to be completed by Q3 2019 with the next phase to be announced later this year.

2018 will also see Deyaar’s foray into the hospitality sector, and the handover of two of the company’s flagship developments, The Mont Rose and The Atria.

Net profit for 2017 was AED130.4 million, down from AED216.1 million in 2016 which included a write-back of provision for impairment of investment in an associate and fair valuation gain on investment properties, the company said.

Saeed Al Qatami, CEO of Deyaar said: “2017 witnessed significant progress in our projects and our hospitality division, as part of our commitment to diversifying our offering in line with the requirements of the UAE market.

"In addition to continued work on our portfolio of properties. Looking forward to the year to come, we will hand over two of our flagship properties, The Mont Rose and The Atria, and we are optimistic that 2018 will be a year of positive growth for our company.”

Deyaar, listed on the Dubai Financial Market, is majority-owned by Dubai Islamic Bank.

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