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United Development Company announces financial results for the first half of 2021
Net profit of QR 157 million & revenues of QR 1.2 billion
Al-Khater: “UDC achieved sustainable performance by balancing development activities across The Pearl-Qatar and Gewan Island with a continued focus on commercial activities”
Al-Othman: “Working on executing UDC’s strategy to deliver projects, that are currently under development, as planned”
United Development Company (UDC), a leading Qatari public shareholding company and the master developer of The Pearl-Qatar and Gewan Island announced its financial results for the first half of 2021, reporting net profit of QR 157 million & revenues of QR 1.2 billion. The net profit attributable to the equity shareholders was QR 136 million and basic earnings per share was QR 0.038.
H.E. Mr. Turki bin Mohammed Al-Khater, UDC Chairman said: “In the first half of 2021, UDC achieved a sustainable performance by balancing development activities across The Pearl-Qatar and Gewan Island with a continued focus on commercial 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: “The financial results show positive improvement resulted from sales and leasing revenues, especially with the handover of the majority of UDC’s latest residential units at Al Mutahidah Towers at The Pearl-Qatar. 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”.
“Looking ahead to the remainder of the year, UDC will continue working on the completion of the development plan for the projects under implementation, including United School International as well as Floresta Gardens and Giardino Village gated residential compounds at The Pearl-Qatar and Crystal Residence apartments in 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 first half 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. We are equally fully committed to sales and leasing activities which serve to enhance our recurring revenues”.
Mr. Al-Othman stated: “The Pearl-Qatar maintains its position as a leading retail destination, as evidenced by the signing of 38 new retail leases in the past six months, covering an area of 18,000 sqm including The Pearl-Qatar Commercial Showrooms. The Pearl-Qatar has also welcomed 20 new stores since beginning of 2021, with 50 more brands expected to open by end of the year”.
Mr. Al-Othman further pointed that residential occupancy also thrived with 103 new rental contracts signed for UDC properties, while UDC sold 89 completed residential units across The Pearl-Qatar, 3 plots in Giardino Village and 13 plots in Gewan Island.
Mr. Al-Othman indicated that Gewan Island development works are progressing steadily as planned, with marine works for beach villas and island mansions completed, infrastructure works still ongoing and building works at Crystal Residence continuing after podium slab construction has been finalized, while development of Gewan Bridge continues with the bridge deck scheduled to be completed by end of 2021.
Commenting on the Company’s expected performance for the second half of the year, Mr. Al-Othman said: “We will continue to exploit The Pearl-Qatar's position as Qatar’s real-estate development of choice and use our resources and experience to create a sustainable commercial and social environment that contributes positively to the project’s investment returns. In line with that strategy, we have launched leasing in Al Mutahidah Towers last June and will be offering 80 compound villas in Giardino Village, for leasing later this year”.
UDC is also set to start construction works on the new Corinthia Yacht Club in Porto Arabia, which will span a built-up area of 2,232 sqm and will feature many facilities including fine dining restaurants, climatized outdoor seating, as well as a cigar lounge, several meeting rooms, and many more services that help create a leisurely feel.
Also in Porto Arabia, UDC is preparing to inaugurate a fine dining restaurant, “Shirvan Métisse Doha” in partnership with world-acclaimed Michelin star Chef Akrame Benallal, which will introduce an entirely new fusion concept inspired by Old Silk Road food cultures and will equally enrich The Pearl-Qatar’s gastronomy offerings.
Mr. Al-Othman concluded his statement saying: “We look forward to a promising future, as we continue to invest in the development of sustainable projects. We are also dedicated to delivering properties in a timely manner and providing unparalleled residential developments that improve the lives of our residents, and reward shareholders and investors over the long term”.
UDC is a leading Qatari public shareholding company with a mission to identify and invest in long-term projects contributing to Qatar’s growth and providing good 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 billion as at 30 June 2021.
UDC activities cover a multitude of vital investment sectors including real-estate development, property management, infrastructure and utilities, maritime and hospitality related businesses.