ALDAR Properties PJSC, Abu Dhabi's largest property developer by market value, has reported a 50-percent increase in third-quarter profit after gains from land and property sales.
Net income advanced to 759.5 million dirhams (US$207 million), or 0.23 dirham a share, from 505.5 million dirhams, or 0.19 dirham, a year earlier, the firm said in a statement to the Abu Dhabi exchange yesterday, Bloomberg News reported.
Analysts at EFG-Hermes Holding SAE estimated earnings of 1.33 billion dirhams, while Al Mal Capital PSC projected 592 million dirhams.
"Aldar's earnings are distorted by revaluation gains of 300 million dirhams booked in the quarter," Robert McKinnon, managing director of Dubai-based investment bank Al Mal Capital PSC, said yesterday. "The outlook for Aldar will probably weaken toward the end of the fourth quarter on declining land sales."
Abu Dhabi's real-estate developers have benefited from rising land values since foreigners were first allowed to buy property in 2005.
The emirate's real-estate prices overtook Dubai's in July this year with residential properties jumping 61 percent at an annual rate, according to an HSBC Holdings report.