(MENAFN- Khaleej Times)
Dubai-listed developer Union Properties jumped back into the black in the first quarter of 2021, posting a Dh5.6 million profit compared to a Dh121.9 million loss for the same period last year due to lower costs.
The master developer credited its profitability to a number of factors including its focus on capturing group synergies through improving key operational activities across the group, a significant reduction in overall group costs including a decrease in direct costs and administrative costs of 6.4 per cent and 14.2 per cent, respectively.
Union Properties, the master developer of Motor City and Uptown Mirdif, reached a deal with its main lender Emirates NBD to restructure its outstanding debt of Dh946 million in August 2020 with an aim to ''improve the group’s cash-flow and restore its standing with the banking sector”.
''Our results represent an encouraging start for this year. While the world is still struggling to recover from the economic and health implications imposed by the spread of the Covid-19 pandemic, we have sought out to optimise our cash flows by adopting a flexible policy to adapt to the economic changes,” said Khalifa Hassan Al Hammadi, chairman of Union Properties.
He praised the UAE’s handling of the Covid-19 pandemic and its economic repercussions with a high level of professionalism and grace.
''This success that was attributed to extraordinary measures that balanced the nation, citizens, and residents’ interests has further propelled the nation to become one of the first countries leading the global economic recovery, God willing,” said Al Hammadi.
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