25th Sep 2025 10:31
(Alliance News) - Real estate developer Dar Global PLC on Thursday reported a swing to half-year profit and a rise in its portfolio value thanks to new projects in Saudi Arabia.
The firm, which also has luxury projects in the UK, Spain, UAE, Qatar and Oman, hailed "strong growth" and affirmed its financial guidance.
Pretax profit in the first half of 2025 amounted to USD17.4 million, swinging from a loss of USD16.0 million a year prior. Revenue jumped to USD155.4 million from USD44.5 million.
"We are proud to report that Dar Global continues to deliver strong growth and expand its global footprint, with contracted sales now nearing USD2.9 billion," Chief Executive Ziad El Chaar said.
Dar Global's top line was boosted by the Neptune, Interiors by Mouawad asset in Saudi Arabia. Neptune achieved "key sales and construction milestones", so it was able to recognise revenue from it.
Dar Global added: "In line with our stated accounting policy, revenue recognition for sold units is contingent upon achieving specific sales and construction milestones. During the first half of 2025, revenue was recognised from projects that had achieved recognition milestones in previous years along with Project Neptune in Saudi Arabia.
"Although sales activity remained strong across several projects - including JGE, Trump Tower Dubai, Astera, Trump Tower Jeddah and several developments under AIDA projects - these projects have yet to reach the construction thresholds necessary for revenue recognition during H1 2025. However, we anticipate that a number of these projects will achieve the required milestones in the second half of the year and contribute positively to our financial performance."
Dar's gross development value stood at USD7.7 billion at the end of June, up from USD6.8 billion a year prior, before rising to USD12.5 billion currently. This rise is "driven by the addition of two large-scale development projects in Saudi Arabia".
Looking ahead, it still expects total revenue of USD700 million in 2024 and 2025 combined. In 2024, it had achieved revenue of USD240.3 million, down by a third from 2023.
"We anticipate H2 2025 to be positively impacted by a higher weighting of our target revenue, with new projects expected to achieve key construction milestones," it added.
In August, it announced a foray into financial services through the acquisition of a licensed platform in the Dubai International Finance Centre. This would enable Dar to "offer asset management, investment banking, and advisory services through an independently governed subsidiary".
"This strategic move will open new revenue streams and attract capital from the [Gulf Cooperation Council] and beyond. It will also support larger-scale, capital-efficient projects, and enable entry into new geographies," it added.
The GCC comprises Saudi Arabia, Kuwait, UAE, Qatar, Bahrain and Oman.
Earlier in September, Dar received UK Financial Conduct Authority approval to transfer the listing of its shares to the equity shares (commercial companies) category of the Main Market.
Dar in August said the transfer moves it closer to FTSE index inclusion, though at the time it noted "certain other conditions would need to be met" before it is eligible.
"The board sees inclusion in the FTSE UK index series as an objective for the company and will consider steps to achieve eligibility in the medium term," it explained in August.
Dar Global shares rose 3.8% to USD8.15 each in London on Thursday morning. It has a market capitalisation of USD1.41 billion, around GBP1.05 billion, which currently would slot it into the FTSE 250.
By Eric Cunha, Alliance News news editor
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