UAE’s Aldar Properties, Abu Dhabi’s biggest real-estate developer, has recorded a net profit of AED127m ($34.7m) for the second quarter of this year, up from a net loss of AED475m in the second quarter of 2010.
The positive result comes after the sale of the Ferrari Theme Park in Abu Dhabi and higher revenue from the company’s rental properties and hotels, rising 88 per cent year-on-year.
After-tax gains for the first six months of the year reached AED316m, up from a loss of AED475m in the same period in 2010.
Revenue came in at AED1.56bn for the first six months, up from last year’s AED427m.
According to analysts, however, high finance costs continue to eat into Aldar’s bottom line and high leverage, capital expenditure and refinancing needs will put pressure on the company’s balance sheet.