Net profit of QR 229.9 million on revenues of QR 1.212 billion

Doha-Qatar, 26 October 2023: United Development Company (UDC), the master developer of The Pearl and Gewan Islands, announced its financial results for the third quarter of 2023, reporting net profit of QR 229.9 million on revenues of QR 1.212 billion. The net profit attributable to the equity shareholders stood at QR 230.1 million and basic earnings per share was QR 0.065.

Over the first nine months of 2023, UDC's unwavering commitment has been directed toward enhancing its revenues whereby UDC accomplished satisfactory sales achievements. Notably, The Pearl Island has continued to flourish as a premier residential destination, signing a total of 272 rental contracts for residential units.

UDC further recorded remarkable achievements in retail leasing during Q3 2023 with the successful leasing of 5,175 square meters of prime retail and commercial space across The Pearl Island, encompassing Porto Arabia, Medina Centrale, Qanat Quartier, and UDC Tower. Simultaneously, Gewan Island witnessed significant demand, with UDC leasing 7,694 square meters, representing a substantial 70% of available retail space at Crystal Walkway, Gewan Island’s promising retail neighborhood. This surge in demand for retail space is attributed to the confirmation of major retailers as well as the signing of leading international and regional brands.

On the developmental front, UDC achieved progress at The Pearl Island, particularly in the completion of infrastructure works outlined in The Pearl infrastructure masterplan upgrade. Additionally, UDC achieved the successful handover of Floresta Galleria to its tenant.

At Gewan Island, work is underway to complete the building of the residential units at Crystal Residence, where structural works have been completed while the works of fittings and external facades are ongoing.

The overall infrastructure package is projected for completion in Q1 2024, and the installation of Crystal Walkway shades has commenced, concurrently with the initiation of landscape works on Gewan Island. 

To further enhance its commercial revenues and stimulate foreign investments in the real estate sector particularly in light of Gewan Island's progress, UDC has proactively pursued an international outreach strategy. This strategy was prominently showcased through its participation in several international roadshows, including a remarkable presence at MIPIM, recognized as the world's leading real estate market event, as part of the Invest Qatar pavilion. 

Additionally, UDC made its inaugural entry into the Indian market, participating in the prestigious event, Hurun Stars of Mumbai, in collaboration with Commercial Bank. This collaboration enabled the showcase of attractive investment opportunities and residency benefits in addition to appealing mortgage loan packages tailored for foreign investors, offering extended loan tenures of up to 20 years.

Furthermore, in its most recent engagement, UDC actively participated in Cityscape Global in Riyadh, Saudi Arabia, where its exhibition pavilion attracted a global audience of visitors, investors, developers, and industry experts. UDC also participated in Cityscape Qatar 2023, which serves as another influential platform for promoting its properties. Looking forward, UDC has outlined plans for additional outreach events scheduled for the fourth quarter of 2023 and throughout 2024.

In Q3, with a growing emphasis on sustainability and its significance in attracting environmentally conscious investors, UDC celebrated several environmental and sustainability milestones. These achievements underscore the rising demand for eco-friendly and sustainable real estate developments. 

Notable recognitions include UDC Tower's prestigious win of the Green Apple Environment Award for Beautiful Buildings in 2023. Furthermore, UDC received the Communitas Award, the SEAL Business Sustainability Award, and achieved the highest CSR accreditation, further highlighting its commitment to sustainability and corporate social responsibility.

Building upon the achievements realized in 2023 and looking ahead to the remainder of the year, UDC remains committed to harnessing the potential of The Pearl Island by diligently pursuing developmental milestones, which include the completion of United International Hospital in Medina Centrale. UDC further anticipates continued success in sales and leasing, in addition to finalizing infrastructural upgrade works on the island.

On the other hand, Gewan Island holds promising prospects for enhancing real estate products in the country. This is due to its strategic location and the high-quality properties that will be introduced to the real estate market, ensuring sustainable returns for UDC investors and shareholders over the long term. The project represents UDC's commitment to creating a strategic integration between environmental sustainability, luxury, and contemporary design, setting a new standard for modern and conscious living. 

UDC is a leading Qatari public shareholding company with a strategy designed around identifying and investing in long-term projects contributing to Qatar’s growth and providing shareholder value. Established in 1999, the Company was first listed on the Qatar Exchange in June 2003. It has an authorized share capital of QR 3.5 billion and total assets of QR 20.4 billion as of 30 September 2023. 

UDC activities cover a multitude of vital investment sectors including real estate development, property management, infrastructure and utilities, district cooling, maritime and hospitality related businesses.