- Achieving a net profit attributable to the shareholders of the parent company amounted to QR 177 million.
- Achieving total revenue of QR 489 million including recurring operating income of QR 390 million, equivalent to 80% of revenue.
- Increasing net rental income by 5%.
- The total assets reached the value of QR 31.8 billion.
- The total equity of the parent company shareholders reached the value of QR 20 billion.
- Developing eight schools in cooperation with the Ministry of Education and Higher Education and Ashghal.
- Maintain cash balance of QR 1 billion.
Doha - 30 April 2020: Barwa Real Estate Group, one of the leading real estate and investment companies in Qatar and the region, announced its results for the financial period ending March 31, 2020.
The results showed that the company attained a net profit attributable to the shareholders of the parent company of QR 177 million and earnings per share of QR 0.05, a decrease from the comparative period of last year. The majority of this decrease resulted from a decrease in the profits of some non-recurring items in their nature, such as profits from valuation of real estate investments and other revenues, in addition to a rise in losses of low value. On the other hand, the Group succeeded in increasing the net rental income by 5% and also reducing general and administrative expenses by 5%.
The Group also succeeded in generating total revenue of QR 489 million, including recurring operating income of QR 390 million, equivalent to 80% of revenue.
The total assets of the group reached the value of QR 31.8 billion and the total equity of the shareholders of the parent company reached the value of QR 20 billion, in addition to the group maintaining a cash balance of QR 1 billion.
Despite the challenges currently facing the real estate market, Barwa Real Estate Group is working to enhance its operating revenues by continuing to support its operational real estate portfolio with many new projects as leasing activities have started in many of the newly developed projects such as:
- Mukaynis Compound:
Located on Salwa Road, the project was developed on two plots with a total area of 1,179,114 square meters and a total construction area of 732 thousand square meters. The cost of developing the project is amounted to QR 1.6 billion.
The project includes 3,170 housing units containing 25,360 residential rooms with a bathroom, in addition to commercial stores, hypermarkets, mosques, a security center, and a government service center as well as bus and car parking. Barwa Real Estate has started the activities of leasing the project through its subsidiary Al Waseef Asset Management during the month of July 2019. The first stage of the project has been fully leased, and as a result of the current conditions that the State of Qatar is going through in the light of solidarity and cooperation of all state institutions to combat and curb the outbreak of the Coronavirus epidemic, and based on precautionary measures, the second and third stage housing units in the project have been designated as a quarantine area for workers, and a fence and entrances have been established to isolate the quarantine area from the first stage of the project.
The workers housing project is one of the fruits of cooperation between Barwa Real Estate Company and the government of the State of Qatar to ultimately support the efforts made by the government to improve the conditions of workers housing and meet the needs of the local market of workers housing in line with the goals of Qatar National Vision 2030 and Qatar's preparations to host Qatar 2022 World Cup.
- Al-Baraha Project - Workshops and Stores:
It is the second phase of Barwa Al Baraha project, which includes 561 stores with an area of 300 square meters each, and 118 workshops with an area of 144 square meters each. The current occupancy rate of the project is 98% for workshops and 59% for stores.
- The second phase of Al Khor Workers Sports Complex
This project includes 516 apartments with a total construction area of 53,639 square meters in addition to a hypermarket and a multi-purpose hall. The construction work of the project was completed at the end of the year 2019 and Barwa is currently leasing the project.
- The Dara (A) project, which is the first stage of the Dara project located in Lusail City, where the project covers a land with an area of 16 thousand square meters. The total construction area is 41 thousand square meters. The project includes 271 apartments of various sizes. Options are being studied to achieve the highest possible return on the project, whether by sale or lease.
This is in addition to the continuation of the development and construction of car service centers in the first part of the third stage of the Madinat Mawater project, which began implementation on the first of August 2019, and is being developed on a land area of 418 thousand square meters. This phase will provide 118 showrooms for used cars, a hypermarket, a car services center, a center for selling car parts, and a showroom for a car agency. It is an extension of the first and second stages of the project.
In April 2020, Barwa announced to the Qatar Exchange that its bid submitted to the Public Authority for Works "Ashghal" was chosen as the best bid submitted within the project of "Qatar Schools Development Program under the Public-Private Partnership System - Package 1" launched by Ashghal. Barwa Real Estate will develop eight public schools in Qatar for the Ministry of Education and Higher Education, with maintenance services for 25 years, in return for rental income. This tender is the first partnership of its kind between the public and private sectors in the State of Qatar. This is in addition to being a promising investment opportunity that works to achieve the sustainable growth of the Group's revenues and the returns of its shareholders. The participation of Barwa Real Estate Group in this project remains subject to completion of the project agreements with Ashghal and the implementation of some conditions, including commercial requirements.
Barwa will also continue to study the available land stock space to determine its optimal use in order to support the financial position of the Group and contribute to the development of sustainable returns for the company, Barwa is also keen on promoting the principle of partnership with the government of the State of Qatar to develop real estate development projects that contribute to meeting the needs of citizens and residents and contribute to achieving the Qatar National Vision 2030 and also meets the needs of organizing the 2022 World Cup in fulfillment of the group's role as one of the largest real estate developers in Qatar.