RAK Properties gets the lift on net profits

Dubai: RAK Properties on Tuesday announced one of the more generous dividends in recent times, of five per cent, buoyed by net profits of Dh151 million for 2013. In 2012, the tally was Dh147.1 million on revenues of Dh596.4 million.

The dividend proposal is to be ratified at the company’s annual general meeting on March 6.

The developer’s upbeat numbers reflect the fact that the current upturn in the country’s property market is not just driven by Dubai. RAK Properties has had a busy year with launches of new units and handovers of completed ones, all of which sit nicely on the financials.

The scrip remained unchanged at Dh1.20 though the counter notched up volumes to 45.5 million shares during the day.

“We anticipate stronger performance in 2014,” Mohammad Sultan Al Qadi, managing director and CEO of RAK Properties, said. “In 2013, we handed over 192 residential units and offices in Mina Al Arab and Julphar Tower in Ras Al Khaimah and RAK Tower in Reem Island in Abu Dhabi. The leasing of residential, offices and retail space has seen a noticeable increase and this improvement is expected to continue during 2014.”

New projects

While handovers have picked up pace, new projects were also announced last year. The Flamingo Villas project features 104 sea-view villas located on the Mina Al Arab coast line.

“Real estate prices in the UAE are set to continue to rise in the coming period after the announcement of the Expo 2020 bid win, and we expect that the property sector in Ras Al Khaimah will see a stable and sustainable growth in the long and short run,” Al Qadi said.



Source: Manoj Nair, Associate Editor, gulfnews.comGN


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