Aldar Properties, the Abu Dhabi developer bailed out by the government last year, said on Saturday that first-quarter profit more than doubled to AED478.2m ($130.1m) from AED189.1m.
Revenue for the quarter was AED3.58bn compared to AED784.7m in the same quarter in 2011 from the sale of land plots and completed residential units and development management fees.
Aldar said recurring revenues for the period amounted to AED360.1, up 14.8 percent compared to the first quarter of 2011.
This increase was primarily due to improved performance in Aldar’s operational businesses, which include schools and hotels, which generated revenues of AED148.6m.
Rental income from investment properties, which include Aldar’s commercial office and retail portfolio, increased to AED150.8m, it added in a statement.
Aldar said it ended the period with a total cash and bank balance of AED5.8bn.
From an operational perspective, the period saw Aldar hand over 606 residential units at Al Raha Beach.
The company also handed over plots of land to the Government of Abu Dhabi and related entities at Al Raha Beach as part of the agreement announced in January 2011, with further plots to be transferred as infrastructure is developed and finalised.
Aldar also said its hotel portfolio, which includes seven on Yas Island, showed "robust occupancy levels" in a soft pricing market.
Ali Eid AlMheiri, chairman of Aldar Properties, said: “Aldar’s financial strength is clearly evident in these results for the first quarter of the 2012 financial year.
"Building on the solid financial foundations that were created in 2011, these results reflect the significant deliveries of residential units and land plots at Al Raha Beach that began in the quarter and will continue through the year, supported by strong recurring revenues from our operating businesses.
"Last year we took steps to position Aldar’s operations to deliver its future strategy. The successful completion of this process has ensured the business is now in a position of strength to benefit from developing market opportunities.”
The developer last week secured a $1.09bn credit facility from National Bank of Abu Dhabi, a deal expected to help the struggling developer manage its liquidity needs.
The funds from the deal will allow the company to manage its working capital and liquidity requirements over the next three years, it said.
The builder of the Yas Marina Formula One circuit has been forced to sell key projects to the government including the Ferrari World Theme Park.