$1.36bn in construction contracts signed in Q1; $420 million net profit up 5% Y-o-Y
Nakheel’s chairman Ali Rashid Lootah has hailed an impressive start to 2018 after the master developer reported that it made a net profit of $420 million in the first quarter of 2018; an increase of 5% on Q1 2017.
During the start of the year, the company also signed construction contracts worth almost $1.36 billion, including the $1.14 billion contract for Deira Mall at Deira Islands, and a $105 million contract for its first joint-venture at Deira Islands – the 800-room beachfront hotel and waterpark from Spain’s RIU Hotels & Resorts. In addition, 200 land and built form units were handed over to customers during the quarter, and it sold the final units at its new Warsan Village community, ensuring that all 934 homes are now purchased. The company also stated that its retail, hospitality and residential leasing businesses all “continued to perform robustly.”
The company added that Q1 2018 also saw significant construction progress at several Nakheel residential, retail and hospitality projects, including The Palm Tower, Nakheel Mall and The Palm Gateway on Palm Jumeirah; Deira Islands Night Souk, Deira Mall and the RIU and Centara resorts at Deira Islands; and Warsan Souk at Warsan Village.
“It has been an impressive start to 2018, with our Q1 results reflecting our ongoing delivery and diversification as per our business plan, and our key role in enhancing Dubai’s real estate sector – through a growing range of residential, retail and hospitality projects – in line with government goals,” said Lootah. “As ever, we thank our leaders for their continued trust, support and belief in our company.”