Deyaar Development has announced that net profit almost halved during the first half of 2017 compared to the year-earlier period despite revenues more than doubling.
Deyaar reported a 135 percent year-on-year increase in revenues to AED316.4 million for the six months ending June.
The developer said in a statement that the rise was driven by sales of its properties and construction progress The Atria and Mont Rose projects, both of which currently exceed 75 percent completion.
However, Deyaar also recorded a net profit of AED67 million, down from AED111.3 million in the first half of 2016.
Saeed Al Qatami, CEO, Deyaar, said: “We have made a progress in 2017, recording growth in terms of revenues in comparison to the same time last year. This has been due to the popularity of Mont Rose and The Atria properties, both of which are near completion with handover anticipated in 2017.
"In the last six months of 2017, our focus will be on delivering our projects and diversifying our portfolio, which includes our new hospitality projects – a critical component of developing our company to be more aligned with the vision of the UAE’s leadership.”
Deyaar, which is listed on the Dubai Financial Market and majority-owned by Dubai Islamic Bank, recently announced it has appointed Belhasa Engineering and Contracting Company as the main contractor for its Midtown Afnan and Dania districts, in a contract worth $163 million.
The 29-month contract will see Belhasa to build 1,238 apartment units in the Afnan and Dania districts of Deyaar’s Midtown project, located in Dubai Production City, near Sheikh Mohammed Bin Zayed Road.
The superstructure is expected to be completed by December 2018, with a target to reach 15 to 20 percent completion by the end of this year, Deyaar said.
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