Net profit in the June-September quarter fell 45 percent from a year earlier to 34.1 million dirhams ($9.3 million), the developer said in a statement.

The results fell short of the average estimates of four analysts polled by Reuters that stood at 41 million dirhams.

Shares in DSI fell 2.7 percent on the Dubai bourse to 0.963 dirhams, while the broader market fell 1.35 percent.

The company reported revenue rose 8.2 percent to 432 million dirhams and said it sees sustainable growth in 2011 and beyond.

Drake, which specializes in mechanical, engineering and plumbing businesses (MEP), has been rapidly expanding its operations outside Dubai, where house prices have plunged some 60 percent since their peaks in 2008 as a result of the financial crisis. The company said that the Q3 results reflect the measure and outcome of their expansion.

“The company’s current backlog stands at 4.7 billion dirhams and we anticipate 1 billion dirhams worth of new projects till the end of the year as a result of our aggressive expansion plans,” Khaldoun Tabari, DSI’s chief executive, said in a statement.

He said Abu Dhabi and Saudi Arabia will generate the majority of the new projects for the company.

Drake also announced that its board has approved the sales and purchase agreement of the acquisition of an MEP company in Saudi Arabia. DSI PJSC acquired 65 percent of ‘Drake & Skull International Saudi WLL’ for 243 million dirhams.

Drake’s projects include luxury hotels such as the Shangri-La Qaryat Al Beri in Abu Dhabi.