Dar Al-Arkan Real Estate Development Co, Saudi Arabia's largest developer by market value, posted a 29-percent fall in fourth-quarter net profit. 

The residential developer, which has to pay back a $1 billion sukuk next year, made a net profit of 330.4 million riyals ($88.10 million) after 464 million riyals a year earlier, it said in a statement on the bourse website.

Analysts surveyed by Reuters had expected net profit of 291.6 million riyals. Operating profit fell by 32 percent to 350.1 million riyals in the quarter.   

The firm blamed a lower sales volume for the profit fall in 2010 but gave no details.

Dar Al-Arkan said in November it did not rule out having to sell some assets to help repay an $1 billion Islamic bond, or sukuk, maturing in 2012.

In February Dar Al-Arkan raised $450 million riyals from a sukuk issue that had a five-year maturity and was priced at 10.75 percent just in time to refinance a $600 million sukuk maturing in March.

Bankers said Dar Al-Arkan raised less than it had targeted after a lengthy road-show. - Reuters