Saudi Arabia’s Dar Al Arkan sees profits drop on sales decline

Dar Al Arkan's Mirabilia in Shams Ar Riyadh project. (Supplied)
Updated 05 November 2018
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Saudi Arabia’s Dar Al Arkan sees profits drop on sales decline

  • Shams Ar Riyadh to feature interiors designed by Roberto Cavalli
  • Financing costs hit bottom line

LONDON: 
Saudi Arabian real estate developer Dar Al Arkan said that a decline in property sales has dragged down its profits for the third quarter this year, according to a filing on the Saudi stock exchange.
Net profit after zakat and tax dropped to SR36.7 million ($9.6 million), a decline of 82 percent compared to profits in the same quarter last year, the company said.
Total sales revenues reached SR987.6 million in the quarter, a 33 percent drop compared to the same three-month period last year.
The decline in profit comes as the developer pushes forward with its Shams Ar Riyadh project masterplan which envisages a development featuring residential, commercial and mixed-use spaces to be built across a site spanning 5 million square meters in the capital city.
The project is to be developed around and incorporate the green landscapes of the valley that cuts through Riyadh known as the Wadi Hanifa.
Dar Al Arkan said it was seeking official accreditation for three new development zones within the broader masterplan as well an off-plan sales licence for those property projects already under construction.

In May the developer launched its SR600 million Mirabilia luxury villa project to be built within the Shams Ar Riyadh complex, with the upscale residential villas to feature interiors designed by Italian designer Roberto Cavalli.
Dar Al Arkan also blamed the drop in third-quarter profits on the increasing cost of finance as well as lower lease revenue. The developer said some of the decline was offset by increases in non-operating income generated by deposits.
The company’s performance over a nine-month period looked more promising than its quarterly results, with net profit for the year-to-date more than doubling compared to the same time period last year to reach SR476.3 million.
Dar Al Arkan recorded net profit of SR232.7 million in the first nine months of 2017.


Disney again makes history with takings above $7bn for 2018

Updated 11 December 2018
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Disney again makes history with takings above $7bn for 2018

  • Box office gross marks second biggest year for Disney
  • Latest offering "Mary Poppins Returns" expected to dominate box office

LOS ANGELES: Walt Disney Studios is again ending the year on a high note, posting more than $7 billion in global box office earnings, thanks to hits such as "Black Panther" and "Avengers: Infinity War."
"This is only the second time in history any studio has surpassed the $7 billion mark, after Disney's own industry-record 2016 global gross of $7.6 billion," the company said in a statement on Monday.
"The Studios' estimated international box office gross through December 9 is an estimated $4.069 billion, marking our second biggest year and the third biggest in industry history," it added.
Disney's success comes as the studio is set to release "Mary Poppins Returns" on December 19, which is expected to top the box office during the holiday season.
"To date, four of the top eight worldwide releases of the year are from The Walt Disney Studios, including the top two global and top three domestic releases," the company said.
"Avengers: Infinity War," made by Disney's Marvel subsidiary, led the way, earning $2 billion alone. It is followed by superhero movie "Black Panther," which earned $1.35 billion worldwide.
"Incredibles 2," made by Pixar, another Disney subsidiary, earned $1.24 billion.
Other top box office earners for 2018 are "Ant-Man and The Wasp," "Solo: A Star Wars Story," and "Ralph Breaks the Internet," which has held the number one spot at the North American box office for the third consecutive week.