Aldar Reports Loss for H1 but Expects Upturn in H2
(ABU DHABI, UAE) -- Aldar Properties PJSC, Abu Dhabi's leading property development investment and management company, yesterday announced a net loss of $215 million for the first half of this year. This compares to a net profit of $313.3 million for H1 in 2009.
Revenue for H1 was $116.4 million compared to $290 million for H1 in 2009. The decrease was principally due to lower property sales. The second half of this financial year is expected to be different due to revenue from delivery of projects at Al Raha Beach and Al Gurm.
Ahmed Al Sayegh, Chairman of Aldar Properties, said, "With the ongoing impact of the difficult global economic situation, this has been a very challenging first half of the year for the entire sector. However, whilst recovery remains fragile in many parts of the world, Aldar is well positioned to benefit from the improved conditions expected in the second half of the year."
Among good news for the future are the sales of $189.4 million in H1 that will be recognized later. Aldar raised $427.1 million in new financing in H1. During the second half of 2010, Aldar expects to open the Souk at Central Market project in the next few weeks, the complete delivery of the Al Bandar residential development to customers, the arrival of long leasehold tenants into HQ, the international Grade A iconic office building at Al Raha Beach, and the opening of Ferrari World Abu Dhabi, the world's largest indoor theme park
Meanwhile work continues on Al Falah, a government-funded Emirati housing project. This development is part of a growing pipeline of management fee earning government and third party projects, which include the recently announced agreement with Al Ain Municipality to deliver the infrastructure for the Shiebat Al Watah development.