Developer reports 2.2% fall in first three months as revenue from home sales plunges
Dubai developer Union Properties reported a 2.2 percent drop in first-quarter net profit on Wednesday due to a slump in housing sales.
The Dubai-listed firm made a first quarter net profit of AED21.9m ($5.96m), it said in a bourse statement, slightly lower than AED22.4m it posted in the corresponding period last year.
Revenue from sales of homes and property management plunged to AED25.8m from AED159.8m in the prior-year period.
However expenses reduced to AED24.6m from AED35.1m in the year ago period.
The company was one of many property firms in Dubai that were hit by a property market collapse in 2009-10, which saw home prices plunging by more than half and a large number of projects being put on hold.