Abu Dhabi's Aldar Properties has registered a 77 per cent jump in its fourth-quarter net profit for 2014 which rose to Dh718 million ($195.4 million) compared to Dh406 million ($110 million) the previous year.

The state-run builder of Abu Dhabi's Formula One circuit said its full-year net profit surged to Dh2.27 billion ($617 million) boosted by growth in profitability of recurring revenue assets and valuation gains on investment properties, which grew two per cent from Dh2.23 billion ($607 million) in 2013.

Aldar said its full-year revenue in 2014 soared 22 per cent to hit Dh6.55 billion ($1.78 billion) from Dh5.38 billion ($1.46 billion) the year before, driven by the handover of units at The Gate Towers and growth in recurring revenues.

Commenting on the results, CEO Mohammed Khalifa Al Mubarak said: “2014 has been an exceptional year for Aldar.

“We have executed successfully against a clear strategy and delivered on our promises of strengthening our balance sheet, monetising our land bank and growing our recurring revenues, thereby improving the quality of our earnings.  Over the year we opened our flagship retail asset, Yas Mall, and delivered over 7,000 residential units to our customers and asset management portfolio.

“We have a development plan with the potential to launch 7,300 units across our existing destinations over the next four to five years. Our focus remains on bringing high quality real estate products to our customers in line with market demand and increasing our shareholder value.

“Given Aldar’s strong performance in 2014, I’m pleased to announce that the board has recommended a 29 per cent increase in the dividend to nine fils per share,” Al Mubarak added.

State-owned fund Mubadala Development Company owns 30 per cent of Aldar, Reuters data shows.

Aldar merged with rival Abu Dhabi developer Sorouh Real Estate in June 2013. – TradeArabia News Service and Reuters