Egypt's FHIC pumped 178,000 T of sugar in October: supply minister    AT&T to buy Time Warner for $85 billion, create telecom-media giant    Burning sulfur near Mosul sends hundreds to hospital, U.S. troops don masks    Egyptian fishermen detained near Tunisian port of Sfax    UK tries to make up for burying explosives in Egypt's western desert    BP signs concession amendments in Egypt    Egypt court rejects final appeal by Morsi in Ittihadiya clashes case    In Gettysburg, Trump opposes AT&T deal, takes hard line on immigration, trade    heavy clashes put end to Aleppo ceasefire    Senior Egyptian general shot dead outside home    Lewaa El-Thawra claims responsibility for assassinating senior Egyptian general    EU, UNDP inaugurate artificial limbs centre in Egypt's north west coast    Support Egypt sweeps parliamentary committees    Sinai: A new focus    The battle for Mosul    Iran's role in Mosul    Desperate times for tourism    Better with age    Early handshake    Silver splash    4G enabled    FDI galore?    Top notch defence for policeman    CINEMA    Religious anonymity    Café de Paris butter stuffed breaded chicken    THEATRE    Cry my beloved language    The fall of ‘Nobel'    Egypt and world oil prices    Egypt, Japan to sign two financing deals in final week of October    Prominent Egyptian poet Farouq Shousha dies at 80    Bob Dylan wins Nobel Literature Prize first time for songwriter    Serena Williams speaks out against police killings: 'I won't be silent'    Supercar maker McLaren says not in talks with Apple    Sherif Osman Secures Egypt's First Gold Medal at Rio Paralympic Games    تغريدة - هكذا كانت تهنئة نجوم وفرق العالم للمسلمين بعيد الأضحى    صورة- ذا روك يعلن عن بطلة فيلمه الجديد Jumanji 2    Court sentences Geneina to 1 year in prison    Egypt will always remain an oasis of security: Sisi    Egyptian Exchange gains EGP 2 billion on Thursday    Obama Passes Torch to Clinton, Slams Trump    Egypt in the international media    Azhar rejects Egypt govt decision to standardise Friday sermons    British delegation agreed MB designation as a terrorist group, MPs    Egypt in the international media    Egyptian Lebanese House to release Shahawy's new book next month    Antiquities Min. to extend Archaeological Transcripts& Books Fair    

Thank you for reporting!
This image will be automatically disabled when it gets reported by several people.

Egyptian property firm Palm Hills hit by Q3 loss
Published in Daily News Egypt on 03 - 11 - 2011

CAIRO: Egyptian real estate group Palm Hills, the country's second-biggest listed developer, reported a third-quarter net loss on Thursday, hit by weaker revenues and what analysts suspect was a high rate of cancellations.
The firm, battered by investigations into previous state land sales and by client cancellations after the uprising that toppled Hosni Mubarak in February, posted a LE 17.7 million ($2.97 million) net loss for the third quarter, which compared with a LE 153.7 million net profit in the same period last year.
Analysts said it was unclear whether the firm would manage to improve its results anytime soon, blaming uncertainty in the economy and the company's legal and political woes.
"We believe this is mainly due to further cancellations. When the company receives cancellations it must back out revenues already recognized," one analyst that did not want to be named said.
"We believe that Palm Hills will continue to have difficulties given its legal and political problems," the analyst said.
Palm Hill's revenue fell to LE 135.4 million, a 64.5 percent drop from LE 381.7 million a year earlier.
The company is just one of several real estate firms in the Arab world's most populous country facing legal challenges relating to their land holdings since a court ruled last year that a sale of state land to Talaat Moustafa Group (TMG) , the country's biggest developer, was illegal because it was not auctioned.
The probes into land deals have sped up since the uprising as attention turned to the regime's former links with businessmen.
Palm Hill's chairman Yasseen Mansour and former housing minister Ahmed El-Maghrabi were cleared of corruption charges in a state land sale in July.
But the company is awaiting a verdict from another court on whether the contract for the sale should be scrapped.
The firm is also facing other court cases contesting the legality of two of its land plots and has said it would return some plots of land to help manage cash flows.
"In the meantime, the environment in Egypt along with consumers' worries about Palm Hill's legal problems has resulted in continued cancellations," an analyst said.
Palm Hills posted a nine-month loss of LE 99.1 million, which compared with a net profit of LE 345.1 million in the same period last year.

Clic here to read the story from its source.