Damac Properties reported a third consecutive profit decline on Wednesday, as cost of sales increased.
According to figures released by the company on Wednesday, profits in the July-September time period fell 20 percent to AED719.34 million ($1.95.86 million) compared to the same period a year ago, when profits were reported as AED902 million ($245.58 million).
Revenue in Q3 rose 31 percent to AED2.29 billion ($623.4 million) and the cost of sales increased from to AED1.3 billion ($353.9) million, up from 788.6 million ($214.5 million) a year prior.
In the first nine months of the year, the company booked AED6 billion in sales – a 13 percent increase from the same period in 2016.
A total of 1,923 units were completed in the first nine months of the year, including 1,071 in Dubai’s Damac Hills. The company also delivered its first project in Riyadh, the 454-unit Esclusiva project, as well as its first in Amman, the 398-unit The Heights.
Damac has a number of projects currently under construction, including the 2.1 million square-foot Damac Towers by Paramount and the 889,000 square-foot Damac Heights, which is scheduled for completion by the end of 2017.
Additionally, Damac’s Trump World Golf Club Dubai is scheduled to open by the end of 2018. Damac currently owns and operates the only Trump-branded golf club in the Middle East, which opened in February.For all the latest business news from the UAE and Gulf countries, follow us on Twitter and Linkedin, like us on Facebook and subscribe to our YouTube page, which is updated daily.
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