Barwa net profits up by almost 25% in nine months of 2010
The Barwa Group, one of Qatar's global leading investment and real estate companies, has recorded net profits of QR775 million (some US$213 million) in the last nine months of 2010, a 24.6 per cent increase over the profits of QR622 million for the same period last year. Given the increase in the company shareholding capital, through acquiring Qatar Real Estate Investment Company (Al-Aqaria), earnings per share (EPS) over the nine months reached QR2.32, which equals earnings per share for the same period last year. The company's total assets reached QR65 billion, an 86 per cent increase over QR35 billion as in 31 December 2009. Further, total revenues increased to QR2.5, a 31% increase over QR 1.9 for the same period last year.
Increased revenues from rents and services and profit on sale of properties and projects and sale of BARWA stake in a subsidiary, alongwith other unconditioned returns, resulting from BARWA being exempted from some commitments, and profits from re-appraising BARWA real estate investments, led to this increase in net profits during the first nine months of 2010.
BARWA village project and Masaken Al-Sailiyah were handed over to tenants during 2010. In addition, acquiring Al-aqaria positively contributed to revenues from rent which amounted to QR289 millions, a 139 per cent increase over the same period last year.
Other Barwa developments are on track. Around 60% of the construction works of BARWA City were completed, while 76% of BARWA Alsadd works were completed. The project is expected to be completed and operated during the 2nd quarter of 2011. Barwa Commercial Avenue witnessed completion of 50% of all project works.
Barwa has finalized the initial engineering studies to one of the mega tourism resorts on Qatar. The project, named Salwa Bay Resort, will be located on the western south cost of Qatar. Two options of project site are being closely studied. The estimated area of the project amounts to around 2.5 square metres, expected to be developed over 6 years.