The Chairman of United Development Company, H.E Mr. Turki Mohamed Khalid Al-Khater, today announced UDC’s financial results for the third quarter ended September 30, 2016, noting that the company’s revenues amounted to QR 1.3 billion, with an increase of 7% compared to the same period last year, while the company achieved a net profit of QR 484 million.
The net profit attributable to owners of the company stood at QR 452 million while earnings per share amounted to QR 1.28, and this was achieved despite the overall challenges affecting the real estate market.
Commenting on the Company’s financial results, UDC Chairman H.E Turki Al Khater said: “Sustainable performance was maintained over the past three months, as the company’s net profit increased by 37% from that achieved at the end of the second quarter of 2016. The third quarter results reflect the company’s ambition for growth in different segments, and most notably The Pearl-Qatar, where our continued focus on project delivery of premium residential and outstanding commercial units enables the company to be well positioned as leader in the real estate development sector”.
“Our commitment is to work hard and deploy appropriate strategies to ensure continuity of focus on providing added value to our shareholders, and to achieve satisfactory returns for them, where percentage of return on equity reached to 4% as of September 30, 2016. In doing so, we continue to grow and achieve our strategic objectives set, and focus in improving our activities. We have our eyes equally set on new and innovative business ideas and opportunities in order to enhance the synergies with our operating companies.” added Al-Khater.
For his part, Mr. Ibrahim Jassim Al-Othman, UDC President and Chief Executive Officer said:” The stable financial results exhibited in the third quarter of 2016 is a result of our continuous commitment to provide an added value to our shareholders and customers while concentrating on our core business. Noting that the reported results for the nine months’ period ending 30 September 2016, were more than those budgeted.”
Mr. Ibrahim Jassim Al-Othman went on to say that during Q3, UDC signed a sale and purchase agreement for the sale of a residential tower plot in Viva Bahriya precinct, while the company continued to work on generating continuous revenue from its core operation as this is demonstrated in the company’s recorded remarkable growth in the core sources of income, noting the growth in the volume of residential units leased in the first nine months of 2016, which witnessed increase by 2% compared to the same period last year.
Meanwhile, retail leasing volume has recorded an 11% increase in the nine months period of 2016 compared to 2015 figures. Residential sales volume have also seen a rise of 81% in the period ending 30 September 2016 compared to the same period last year, and all these are reflecting the company’s ability to achieve revenue and good operational performance. UDC President and Chief Executive Officer, affirmed that: “We are in one of the most exciting phases of our growth story as UDC will soon start construction works on the main building of our newest development Al Mutahidah Towers, located in Viva Bahriya. In addition to the construction of villas in Girdano area along with infrastructure works for the same area.”
He went on to say: “While focusing to increase revenue streams in Q4, our primary focus will be to populate Qanat Quartier’s up and coming retail area, with an eclectic yet selective mix of retailers besides other vital facilities.
Throughout its 17 years of activity, United Development Company has played a key role in the development of Qatar through creation of successful partnerships and urban development projects, namely the flagship man-made Island, The Pearl-Qatar. Owned and developed by UDC, The Pearl-Qatar is one of the largest mixed-use urban developments in GCC and State of Qatar.
Other companies under UDC’s umbrella also include Hospitality Development Company, Ronautica Middle East, Madinainova, United Technology Solutions and The Pearl Owners Corporation among many others. UDC’s target areas of interest include: infrastructure, real estate management, urban development, environmental-related businesses, hospitality and leisure, information technology, business and facility management services.