Dubai – Mubasher: Emirates REIT has registered net profits of $35.8 million (AED 131.5 million) during the first quarter (Q1) of 2021, against net losses of $46.3 million (AED 170.1 million) in the year-ago period.
The company has turned to profitability due to a positive revaluation of investment properties and lower operating expenses, according to a press release on Monday.
The company's net property income declined by 11.9% year-on-year (YoY) to $11.7 million (AED 43.0 million) in Q1-21, but it rose by 2.6% compared to the fourth quarter (Q4) of 2020.
The earnings before interest, tax, depreciation, and amortisation (EBITDA) dropped by 9.1% YoY in the first three months of 2021, but were 6.4% higher compared to Q4-20.
The Executive Deputy Chairman of Equitativa, Sylvain Vieujot, said: "From the end of 2020 we have seen renewed growth in net property income and EBITDA whilst also maintaining a 69% occupancy rate across the REIT’s portfolio."
Vieujot remarked: "The fair value of our investment properties also increased 5.5% from December 2020 levels, reflecting the improving commercial real estate market in the UAE."
