United Development Company (UDC), held its Annual Ordinary General Assembly Meeting on Monday, March 13, 2017 at 04:00 PM at Marsa Malaz Kempinski Hotel at The Pearl-Qatar.
The meeting was chaired by H.E Mr. Turki bin Mohammed Al-Khater, Chairman of the Board of Directors and attended by UDC Board of Directors.
During the Ordinary General Meeting, all agenda items proposed by the Board of Directors were adopted as follows:
Hear the Board of Director’s report on the company’s activities and its financial position for the financial year ending 31st December 2016, and the future plan of the company.
Hear and ratify the Auditor’s report on the fiscal year ending December 31, 2016, the Company's balance sheet, and the loss and profit accounts, for the fiscal year ending December 31, 2016.
Discuss the Board of Director’s recommendation regarding the distribution of QR 442,607,813 as dividends, equivalent to 12.5% of the share par value, equivalent to QR 1.25 per share.
Discharge Members of the Board of Directors from liability for the year ending December 31, 2016, and approve their remuneration.
The Corporate Governance Report for the year 2016.
Appoint the External Auditors for the fiscal year 2017 and determine their fees.
H.E Mr. Turki bin Mohammed Al-Khater, Chairman of the Board of Directors presented the Company’s activities and its financial results for the year 2016.
Al-Khater said: “In 2016, UDC achieved a net profit of QR 681 million and net profit attributable to owners of the company of QR 623 million in addition to earnings per share of QR 1.76. Revenue increased by 66% compared to last year and operating profit increased by 9% from last year.”
Al Khater explained: “By committing to the implementation of our growth strategy and focusing on real estate development as our core business; we have succeeded in 2016 in achieving positive financial results and maximizing value to our shareholders.”
Al-Khater went on saying: “We should particularly remember 2016 as a year that saw our flagship project, The Pearl-Qatar, increasingly become a living, functional and dynamic entity as UDC has pumped investments into accelerating the pace of construction works laying the foundations for rewarding and sustainable returns for coming years. The positive financial results for year 2016 therefore lead the Company to propose dividend distribution of QR 1.25 per share”.
For his part, Mr. Ibrahim Al-Othman, UDC President & Chief Executive Officer stated that the year 2016 witnessed the execution of the first phase of the Company’s five-year business plan. He said: “This was achieved through the conclusion of a series of agreements to develop in The Pearl, attract more residents and retailers and promote investment opportunities. This shows that The Pearl-Qatar constitutes an integrated investment product for investors who are seeking to increase their returns and diversify their portfolios."
Al-Othman added: “In 2016, UDC sold two plots of land for the development of residential towers in Viva Bahriya and completed the sale transaction of The Pearl Tower 2. The residential leasing volume witnessed an increase of 8%, while volume of leased retail properties during the year 2016 increased by 32% compared to 2015. The volume of residential sales in 2016 also increased by 81%, compared to 2015.”
“There is no doubt that the outcome of relentless work done by UDC in 2016, will reflect on the Company's projects and investments during 2017, where we look forward to continuing the development of Al Mutahidah Towers, with construction works already launched in 2016, as well as developing the infrastructure and ten villas in Giardino Village, in addition to a school and hospital projects. Also in 2017, UDC will particularly concentrate on retail operations and vital utilities in Qanat Quartier, which is increasingly being recognized as a distinct destination of The Pearl”, concluded Al-Othman.