Dubai: The Dubai Holding Commercial Operations Group (DHCOG) reported a total revenue of Dh9.5 billion for the year ended December 31, 2009 compared to Dh13.2 billion in the same period last year.
DHCOG has recorded a net loss of Dh1 billion for the year ended December 31, 2009 excluding impairments.
Dubai Holding annual report 2009 (pdf)
Impairment charges on the Statement of Income for the year ended 2009 stood at Dh22.5 billion against Dh7.6 billion in 2008.
Impairment charges recorded were, in accordance with IFRS accounting standards, reflecting our conservative view of the real estate market.
"The decline in revenues and operating profits is mainly attributed to a decrease in land sales due to the significant reduction in market demand and delays in project handovers; such projects include parts of the Business Bay-Executive Towers project and The Villa Phase I amongst others. Most of these projects will be delivered during 2010 and will reflect positively in the financial statements," said Ahmad Bin Byat, Chief Executive of Dubai Holding in a statement to Nasdaq Dubai.
Text of Dubai Holding CEO's message
DHCOG's total assets were down Dh 124.5 billion compared to Dh 171.4 billion due to the significant decline in the real estate market.
As a result, DHCOG took impairment charges; and shareholders' equity was reduced to Dh14.6 billion last year against Dh37.1 billion , the company statement said.
