Aldar announces net profit of AED 969 million in first half

Aldar Properties recorded a turnover growth of 15% compared to the previous year, reaching AED 3.42 billion, compared to AED 2.98 billion in the first half of 2018. This strong growth is 39, mainly because of the strong growth of its activities. Its major development projects are under construction.
Total profit for the first half of the year increased 2% to 1.39 billion AED, compared with 1.36 billion in the first half of last year. Net income of AED 969 million for the first six months of the year was driven by buoyant core businesses, but was down 13% from the first half of 2018 as a result of revenue from other businesses. items recorded at that time. At the end of June 2019, the balance sheet remained strong and total liquidity, as well as committed and unused credit facilities amounted to AED 7.3 billion.
Aldar's revenue for the second quarter increased by 10% to 1.66 billion AED, compared with AED 1.51 billion in the same period in 2018. The turnover in business was increased by 17% to 692 million AED due to the increased activity of the company. In terms of major development projects under construction, as well as increased revenues from the management of third-party development projects.
Aldar's real estate sales in the second quarter rose 129% to AED 853 million, following the successful launch of Leia at Yas Island and Al Reiman 2 at Al Shamkha. The Asset Management Unit continued to operate flexibly, with net operating income up 5% to AED 396 million in the second quarter, thanks to the solid performance of the wholly-owned subsidiary. Aldar, Aldar Academies for School Management and Operation, Profis Property Management and Khidmah. Facility Management.
Total earnings in the second quarter increased 3% to AED 669 million from AED 649 million in the second quarter of 2018, while net income for the second quarter increased 7% to AED 476 million, against 445 million AED at the same period of the previous year. .
Talal Al Thiyabi, CEO of the company, said: "We are witnessing today a remarkable increase in confidence in the real estate sector in Abu Dhabi, following the launch of a development program for the company. 39, a value of AED 9 billion since early 2019, which adds to the development initiatives launched by the Abu Dhabi government to accelerate the economic development of the capital. market confidence and positive repercussions on the economy of Abu Dhabi in general.Our strong performance over this period is a clear indication of the recovery in the real estate market, total sales of the project reaching 2 billion AED. To improve this performance, ALDAR continues to strive for greater value from our badet portfolio, which is one of the most important pillars of our growth.

Performance of the PMU

Aldar's real estate development division achieved a solid performance during the first half of the year, during which it continued its strategy of using its land portfolio to meet the latest demand trends and deliver and sell outstanding projects on time, of high quality and at competitive prices. The development value of the new projects launched by the company since the beginning of the year amounts to about 9 billion dirhams (4 billion for projects "Al Reiman 1" and "Al Reiman 2" and "Leia", as well as than 5 billion contracts for projects commissioned by the Abu Dhabi government).
During the first half of 2019, Aldar achieved a total business turnover of AED 1.9 billion, an increase of 78% over the first half of 2018. In the second quarter of this year, sales development projects under this program were 129%, an increase of 129% over the period. This is mainly due to the successful launch of Leia and Al Rayman 2 as well as the sale of existing projects under development, including Yas Acres. Unit sales in newly-launched development projects were 80% at the end of June 2019, while future revenues from ongoing development projects amounted to 4, AED 5 billion as of June 30, 2019.
During the first half, the company continued its efforts to expand its international customer base through a strategic partnership with the Indian group Anarok to provide Indian investors with direct access to Aldar's global destination portfolio in Abu Dhabi. Dhabi.
At the end of the second quarter, Aldar announced in July the signing of AED 5 billion of construction projects in several key areas of Abu Dhabi, including landmarks and destinations, including a $ 2 billion AED contract to develop the expansion of Al Falah commissioned by the government of Abu Dhabi. The new headquarters of Twofour54 on the island of Yas, which will host 10,000 professionals and media professionals, as well as the AED 2 billion infrastructure development project on the island of Saadiyat.Construction of roads, services public and outdoor spaces.

Premium value

Aldar Properties, through its strategy to develop a high-quality badet portfolio and increase shareholder value, has made excellent progress in the first half of 2019, with the recent acquisition of Etihad Plaza and Etihad Airways Center, as well as the Al Jimi Mall expansion project. Net operating income from badet management increased 7% over the first half of 2018 to settle at 827 million from AED. In the second quarter of this year, net operating income amounted to 396 million AED, representing a 5% growth over the second quarter of 2018. The rate of increase in net operating income was 396 million. Aldar's portfolio, which includes commercial, residential and commercial properties, remained stable at 90%.
The hotel sector had an excellent year, with occupancy rates reaching 77% in the first six months of the year, compared to 72% in the first half of last year. The secondary business portfolio, including Aldar Academies, Khidmah and Profis, also posted a strong performance that positively impacted the company's overall financial results.