Dubai developer Deyaar suffers $39.5m Q3 loss

Property developer's total equity stood at $1.69 billion at the end of September
Dubai developer Deyaar suffers $39.5m Q3 loss
GROSS REVENUE: The company, said in a statement that gross revenue for the period came in at $17.2 million(ITP Images)
By Reuters
Fri 05 Nov 2010 01:44 PM

Deyaar, Dubai's second largest property developer by market value, suffered a third quarter net loss of $39.5 million, it said on Thursday, missing an analyst forecast.

The company, a rival of Emaar Properties and Union Properties, also said in a statement that gross revenue for the period came in at $17.2 million.

Deyaar's total equity stood at $1.69 billion at the end of September, it said.

A Nomura International analyst had forecast that Deyaar would post a $14.4 million loss, after the company made a profit of 81.6 million in the third quarter of 2009.

The statement said: "The company remains committed to its consolidation and project completion strategy, including the handover of five Deyaar projects in the Business Bay area (in Dubai) in 2010."

In February, Deyaar's former chief executive told Reuters the company was on track to hand over six projects in 2010 but it postponed a $136.1 million distressed property fund that month due to difficult market conditions.

Dubai's once booming property sector has been hit hard by the global financial crisis as developers slowed or cancelled projects and jobs were slashed.

Deyaar said in June it is returning the management of a residential project to its owner National Bonds, the national savings scheme of the UAE.(Reuters)

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