United Projects for Aviation Services Company (UPAC), a leading commercial real estate and facilities management company, today announced earnings of KD 2.18 million (27.72 fils per share) for the first quarter of 2017, recording a 14.5% increase compared to KD 1.9 million over the same period in 2016. UPAC’s revenues grew by 7.4% to KD 3.47 million, compared to KD 3.23 million during Q1 2016.
UPAC continued to optimize and improve all its income-generating managed projects, including 24,000 square meters of commercial space at the Kuwait International Airport, Sheikh Saad Terminal, and Discovery Mall. These resulted in 100% utilization, increased footfall and a rise in demand for spaces, thus positively impacting UPAC’s revenues in the first quarter.
Developments are also underway and according to schedule at Reem Mall in Abu Dhabi, a project being developed in partnership with National Real Estate Company (NREC). At the end of 2015, UPAC had committed to invest up to $224 million to support equity funding into the project. Upon completion, Reem Mall will be a major retail, leisure and entertainment destination covering two million square feet.
Company Update :
Earlier this year, UPAC’s Extraordinary General Assembly approved amendments which entailed a wider scope of real estate activities to support its long-term growth strategy. In line with these amendments, UPAC has taken the necessary steps for the anticipated growth in this area and is currently preparing for future expansion.
Q1 Financial Highlights :
Revenue: KD 3.47 million, up 7.4 % from Q1 2016
Net Profit: KD 2.18 million, up 14.5% from Q1 2016
Earnings Per Share (EPS) of 27.72 fils, up 14% from Q1 2016
Outlook :
Commenting on these results, Nadia Akil, Chief Executive Officer – UPAC said: “I am pleased to report the steady progress UPAC has achieved during the first quarter, which follows the positive trend from last year. Our profits have increased steadily year-over-year, and our focus is to carry forward this momentum setting the stage for future expansion and growth.”
