Obama, the Sower of Discord between Egypt and Saudi Arabia    Zamalek claim narrow win over Geish following McLeish departure    Canada government has trouble detecting citizenship fraud: Watchdog    Norway suspects technical fault in fatal helicopter crash    Armed forces thwart terrorist attack on security checkpoint in Arish    CBE governor meets his Kuwaiti counterpart to discuss cooperation    Egypt's largest gold producer reports 27% rise in profit during first quarter    Egypt aims to attract more foreign investments: Minister    Rio's slum hostels offer alternative Olympic housing    Young Afghan Messi fan flees over kidnap fears    Sisi meets UAE ambassador to Egypt    Islamic State kills U.S. serviceman in Iraq    Chairman of Press Syndicate files report against minister of interior    Another batch of artefacts transferred to the GEM    The raid on press syndicate will not be tolerated: legal experts    Leicester cannot repeat their title glory: Coach Ranieri    Egyptian pound stable at Tuesday auction, weaker on black market    ECB's deposit rate won't hit 'absurdly low' levels    Leicester wins English title for 1st time in 132-year history    Europe's banks are staying out of Iran    Australia cuts interest rates to turn back global deflation tide    Saudi Arabia to ease requirements for foreigners buying stocks    Mohamed Mounir holds concert to welcome refugees in Frankfurt    Dozens of casualties in rebel rocket attack on Aleppo hospital – state media    Ministerial committee inspects Rashid's archaeological sites on Tuesday    Palestinians blast Eurovision Song Contest's flag policy in Sweden    CBE to pump $120 mln to banks in periodic dollar bid    Egyptian Actor Wael Nour dies at 55    MP Abdel Rehim Ali urges parliament to investigate assault on Press Syndicate    Art Alert: Organ concert in Cairo church    Court starts retrying 150 MBs in Kerdasa Massacre case    ‪#‎AmwalAlGhad‬ | Egyptian journalists call for sacking of police minister after Sunday raid    ‘Unprecedented' crackdown on media, Egyptian police raids press syndicate    Ministerial visit to Rasheed to evaluate archeological sites    Hot weather forecast across Egypt during Easter holiday    Businessmen MPs may form lobby in Egypt new parliament    New winner of expelled MP Tawfik Okasha's seat announced after by-election    PHOTO GALLERY: Holy fire ceremony in Jerusalem draws thousands    Trial of policeman who killed street vendor over 'cup of tea' starts 14 May    Death toll from collapse of Nairobi building hits seven - Kenyan police    ‘Serious' co-operation on Regeni case would normalise Rome-Cairo relations: Italian FM    Austrian presidential election too close to call, poll suggests    MUSIC AND DANCE    MUSEUMS    Adrenaline rush    Victory in Africa    Surprise promotions    FIFA threatens to suspend Egypt over court ruling    







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.