Emaar, The Economic City (EEC), a unit of UAE-developer Emaar Properties, reported a 3Q 2016 loss of SAR 81 mn, according to a company statement posted to the Tadawul on Wednesday.
The company attributed the losses to lower profit margins, rising expenses and depreciation costs, also noting the impact of a change in an infrastructure cost estimate of residential land as well as the impact of a court ruling relating to the sale of a development property.
On a positive note, the company’s revenues rose 95% year on year to SAR 332.2 mn.
EEC, the developer of the King Abdullah Economic City, agreed last month to a SAR 2.7 bn Islamic loan to finance the second phase of the King Abdullah Port Emaar Economic City.