Marina Rise project on schedule for completion
ABU DHABI/March 29-2021: Eshraq Investments, the Abu Dhabi Securities Exchange-listed investment company, has reported a loss of AED80.3 million loss for the year closing December 31, 2020 (FY20) compared with a loss of AED10.65 million in the last year.
The AED62.41 million net loss on fair value of investment properties has pushed the company into a fairly large loss this time. The company has thus accumulated loss to the tune of AED1.07 billion so far against a share capital of AED2.325 billion and a net worth of AED1.31 billion.
The company reported a net operating income of AED14.31 million for the said period.
The operations of the company generated AED23.5 million in cash income for the full year period ended December 31, 2020, and the company’s equity portfolio recovered AED25 million of the non-cash losses incurred on account of the COVID-19 related market downturn in the first quarter of 2020.
Leasing and hospitality
Eshraq’s leasing and hospitality businesses maintained its outperformance, achieving occupancy rates of 97 per cent and 79 per cent respectively due to the company’s proactive and agile leasing strategy.
On the development front, the company said its mixed-use project Marina Rise at Reem Island is on schedule for completion in the second quarter of 2021 and the company is coordinating with various authorities for completion related formalities.
Upon completion, Marina Rise will be the first development to contribute to Eshraq’s future bottom line. The addition of Eshraq to the list of shariah approved tradable shares on the ADX demonstrates the board’s efforts to ensure Eshraq’s Shariah compliant status.
Jassim Alseddiqi (seen in the picture), Eshraq’s Chairman, said that the year 2020 was a year full of challenges, but Eshraq was able to overcome them as its board remains committed to diversifying Eshraq’s income generating asset base.
“The focus continues to be on profitability and cash generation potential. Signs of recovery were evident in the last quarter of the year as the UAE continues its remarkable efforts against the pandemic,” Alseddiqi added.