RAK Properties report muted half year growth

RAK Properties report muted half year growthImage Credit: Supplied

RAK Properties, the Abu Dhabi-listed property developer, issued a statement on Sunday reporting a net profit increase of 1.03 per cent year-on-year to Dh51.625 million for the first half of 2014.

The developer said growth was primarily due to ''increasing investor confidence'' in Ras Al Khaimah's business and residential property segment.

Year-on-year revenues were slightly up to Dh149.39 million with total sales values for the first half in excess of Dh234 million, according to the company. Last year, RAK Properties reported Dh110.52 million in sales revenues.

Mohammad Sultan Al Qadi, managing director and chief executive of RAK Properties, said in a statement that he was pleased with the company's performance over the first half of the year.

RAK Properties' current total assets are valued at Dh4.7 billion for the first six months of the year.

During the first half of the year, construction work started on the Flamingo Villas project in the Mina Al Arab area, which features 124 villas. RAK Properties also launched the 157 villas and townhomes Bermuda Villas project. Bullish

The company's current liabilities stand at Dh316.69 million, while its reserves and surplus have reduced by 1.3 per cent to Dh3.5 billion for the six months ending June 30. RAK Properties were not available to comment on Sunday.

Al Qadi, bullish on the remaining half of 2014, stated that he expects the second half to be ''very fruitful'' for RAK Properties.

Shares in RAK Properties closed up 0.99 per cent to Dh1.02 on the ADX on Sunday.

Source: Staff Report, gulfnews.com


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