Dubai – Mubasher: Deyaar Development, listed on the Dubai Financial Market (DFM), announced it has suffered accumulated losses of AED 1.540 billion during the third quarter of 2019.
The company attributed incurring accumulated losses during Q3-19 to the provision for Impairment of assets based on Dubai’s real estate market situation recorded in 2019, according to a bourse filing.
Moreover, the International Financial Reporting Standard 9 (IFRS 9) the company applied in 2018 has resulted in provisions for certain assets totalling AED 661 million that were registered in the opening balance of accumulated losses as at 1 January 2018.
Over the past years, Deyaar has taken a number of measures to offset accumulated losses, including working on the completion of all existing projects and launching new projects, as well as boosting the company’s portfolio of assets.
The company now has three projects in the hospitality sector that will help revenue growth in the coming years.
The DFM-listed firm also plans to keep launching quality projects and to diversify its sources of income through property and facilities management services.
It is worth noting that Deyaar previously reported it has logged a net profit of AED 53 million for the nine-month period ended 30 September of 2019.
The company’s revenues increased by 3.6% to AED 483.3 million for the January-September period of 2019, versus AED 466 million in the corresponding period of 2018.