RAK Properties, the developer that built Ras Al Khaimah’s
first manmade islands, said Sunday that third quarter profit had declined 55
percent as expenses rose.
Net income dropped to AED30.3m ($8.2m) from AED67.5m a year
earlier, the firm said in a statement to the Abu Dhabi Securities Exchange.
Impairment on available-for-sale investments climbed to AED15m
from AED3.2m, while expenses increased to AED14.4m from AED6.5m.
Profit
during the first three quarters of the year declined 40 percent to AED60m.
The
state-backed developer has handed over three projects to date this year – Julphar
Towers, RAK Tower and the villas and town houses in Precinct 5.
“Revenue
recognition for these projects will continue until we complete the key handling
over to the very last customer,” the statement said.
RAK Properties said in January it expected to collect at least
AED1.74bn ($474m) this year as buyers of completed properties made final
payments. The developer said it planned to handover 3,073 apartments, villas
and offices by the year-end.
*With agencies
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