UDC Net Profit for 2018 at QAR544 Million, Revenues at QAR 1.6 Billion
United Development Company (UDC), master developer of The Pearl-Qatar and Gewan Islands, announced its financial results for 2018, achieving a net profit of QAR 544 million and revenues of QAR 1.6 billion. The net profit attributable to equity shareholders stood at QAR 501 million and basic earnings per share was at QAR 1.41.
UDC Chairman Turki bin Mohammed Al Khater said that given the challenging conditions under which the financial results of 2018 were achieved only demonstrate the company’s flexibility to secure diversified revenue streams to sustain good financial results in challenging economical situations.
In 2018, UDC pursued the continuation of development at The Pearl-Qatar, completing many milestones following the masterplan.
Key ongoing developments on the island include the development of Giardino Village, Floresta Gardens and the Al Mutahidah Towers project. The construction of the Towers’ connecting bridge is the most complicated element of the project and considered a unique feature among the towers on the island. Each of these developments are designed to enhance the ambiance, attract more investors, residents, retailers and visitors, generally establishing the economic viability of The Pearl-Qatar for years to come.
UDC has also revealed the construction of the ‘United School International’, an international school which will be developed in Giardino Village precinct to meet the needs of the community at The Pearl-Qatar Island and neighboring communities. This is in addition to the commencement of construction works for two commercial showrooms in Abraj Quartier.
UDC recently launched its latest real estate development project – the Gewan Island project – an integrated venture adjacent to The Pearl-Qatar.
Al Khater said the development of Gewan Island is part of UDC’s upcoming five-year business plan, of which QAR 5.5 billion worth of investments will be injected, proof of its strong commitment to the development of sustainable projects across Qatar.
UDC’s business strategy remains focused on creating opportunities and partnerships, achieving growth, minimising risks and sustaining progress, which further contributes to Qatar’s economic diversification and benefits our investors, developers, owners, residents and tenants alike.’
UDC President and CEO Ibrahim Jassim Al Othman affirmed UDC’s dedication in advancing and executing its distinctive development projects, while pursuing financial returns that meet the expectations of shareholders, in light of the good financial results achieved in 2018.
The sound financial results for 2018 were driven primarily by a combination of sale and lease of real estate properties, as well as cost efficiencies. Several cost optimisation initiatives were implemented this year that resulted in UDC attaining more favourable terms for its supplies, and realising other cost proficiencies.’
Al Othman said that the increase in occupancy rates enhanced recurring revenue generated from the leasing of office, residential and retail units in 2018. The volume of office space under lease at UDC Tower reached to 21%, while the number of residential properties under lease increased by 31% year-on-year. The volume of retail areas under lease is steadily maintained at 58%.
UDC’s commitment to improve customer experience has cemented The Pearl-Qatar’s position as an increasingly popular destination for office, residential and retail tenants. This was evident in the number of vehicles entering The Pearl-Qatar, which rose from 11 million in 2017 to 13 million in 2018.
For updates and more information about UDC Qatar, visit their website through this link.