Profits at Dubai real estate developers firms fall

Shares in Dubai real estate developers may be in focus on Wednesday after two firms reported lower third-quarter earnings, reflecting continued pressure on the Dubai property market.

Dubai’s DAMAC Properties posted a 20 percent year-on-year fall in profit to 719.34 million dirhams; revenues jumped almost 31 percent, but cost of sales surged to 1.3 billion dirhams from 788.6 million dirhams.

Deyaar reported a similar poattern, with profit dropping 41 percent but revenue surging 55 percent.

In Saudi Arabia, construction firm Khodari reported a quarterly net loss of 22.9 million riyals ($6.1 million), narrowing from a year-earlier loss of 54.4 million riyals. But the loss was still larger than the 12 million riyal loss forecast by EFG Hermes, and revenue sank 41 percent.

Asian stock markets are barely changed, while Brent crude oil has firmed 43 U.S. cents to $58.30 per barrel. Source: Reuters