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United Development Company Announces Q3 2021 Financial Results
Net profit of QR 207 million on revenues of QR 1.6 billion
Al-Khater: “UDC achieved a sustainable performance by balancing development activities with a continued focus on sales and leasing”
Al-Othman: “Our unique properties continue to draw greater interest from international investors looking to settle in Qatar and benefit from the freehold ownership incentives”
United Development Company (UDC), the master developer of The Pearl-Qatar and Gewan Island, announced its financial results for the third quarter of 2021, reporting net profit of QR 207 million on revenues of QR 1.6 billion. The net profit attributable to the equity shareholders stood at QR 179 million and basic earnings per share was QR 0.051.
H.E. Mr. Turki bin Mohammed Al-Khater, UDC Chairman said: “In the first nine months of 2021, UDC achieved a sustainable performance by balancing development activities across The Pearl-Qatar and Gewan Island with a continued focus on sales and leasing activities. This strategy, coupled with our rich portfolio of projects, has enabled UDC to sustain a diversified revenue stream”.
H.E. Mr. Al-Khater further stated: “Committing to high standards of design, build quality, and innovation, UDC consistently offers premium experiences and lifestyle opportunities across market segments; and its properties continue to be highly sought-after by local and foreign investors which contributes to UDC maintaining a sustainable financial performance”.
“Looking ahead to the remainder of the year, UDC will continue building on its success in real-estate development at The Pearl-Qatar and Gewan Island, which are aligned with established plans and timetables and which reflect our commitment to preserving shareholders’ and investors’ values”, H.E. Mr. Al-Khater concluded.
For his part, Mr. Ibrahim Jassim Al-Othman, UDC President and Chief Executive Officer and Member of The Board said: “The third quarter results are in line with UDC’s strategy to focus on delivering projects that are currently under development and as per the target completion schedules. UDC is also maintaining demand as its unique properties continue to attract local demand and draw greater interest from international investors looking to settle in the Qatar amid the positive economic prospects in the medium and long term, and the incentives provided by the freehold ownership law for residents and foreigners.”
In the third quarter, UDC launched ‘Giardino Gardens’, The Pearl-Qatar’s first villa compound for residential leasing as a unique offering that demonstrates UDC’s commitment to diversifying its property portfolio. In the same neighborhood, UDC continues to develop United School International and Giardino Mall for an enhanced sense of community. UDC is equally developing three villa compounds for residential leasing in Floresta Gardens precinct with Floresta Galleria mall which will cater to residents’ daily needs. In Porto Arabia, Corinthia Yacht Club is under progress offering The Pearl-Qatar residents and visitors the ideal location for casual gatherings and enjoyment as well as a prized addition to the Island’s distinctive facilities and innovative concepts that serve tourism and hospitality.
Commenting on the Company’s expected performance for Q4, Mr. Al-Othman said: “UDC continues to pursue development activities at Gewan Island and various strategic projects at The Pearl-Qatar. We are equally committed to the Company's strategy of creating more investment opportunities, building on our achievements, and reducing risks by taking advantage of the commercial and investment opportunities offered by The Pearl-Qatar and Gewan Island which is our latest and currently biggest development project.”
Mr. Al-Othman concluded his statement saying: “We have recently showcased our high-class developments across The Pearl-Qatar and Gewan Island at Cityscape Qatar 2021, and look forward to a promising future fueled by sustained focus on developing an outstanding community as we continue to deliver properties in a timely manner and provide unparalleled residential developments that improve the lives of our residents and visitors, and reward shareholders over the long term”.
In Gewan Island, UDC achieved major development strides with overall construction works crossing the halfway mark and Crystal Residence’s building works scheduled to be completed in October 2022, including 15 mixed-use buildings, a climate-controlled Crystal Walkway in addition to the Island’s clubhouse, mosque and landscape of public spaces.
UDC and its subsidiaries have also completed a major purchase of the shares allotted to them from the National Central Cooling Company (Emirati Company) shares in Qatar District Cooling Company (Qatar Cool) to enhance UDC’s investment portfolio. This purchase aligns with UDC’s vision and general expansion plans which aim to invest in future promising businesses while sustaining good performing investments in its portfolio as Qatar Cool enjoys a strong financial position and financial performance, which will lead for this investment to bring future benefit to UDC and a positive return for shareholders.
UDC has further obtained ISO 22301:2019 certification for developing and implementing a Business Continuity Management System conforming to internationally recognized standards. This makes UDC the first developer and The Pearl-Qatar the first community in Qatar to be certified for implementing strong business continuity management parameters to deal with disruptive incidents while continuing to operate essential functions, maintaining The Pearl-Qatar’s position as a leading destination for a premium lifestyle and UDC as a reliable developer which will remain functional even in times of crisis.
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 19.7 billion as at 30 September 2021.
UDC activities cover a multitude of vital investment sectors including real estate development, property management, infrastructure and utilities, maritime and hospitality related businesses.