Gulf Construction Online - Aldar awarded over $2.3bn contracts in 2021

UAE Focus

Aldar awarded 16 contracts spanning infrastructure, residential, commercial, and mixed-use projects in Abu Dhabi.

Aldar awarded over $2.3bn contracts in 2021

01 March 2022

UAE-based Aldar Properties has announced that it awarded 16 contracts worth more than AED8.5 billion ($2.3 billion) across Abu Dhabi in 2021 – 14 of which went to 14 different UAE-based contractors.

In 2021, Al Shafar General Contracting (ASGC) clinched a contract for mixed-use development and infrastructure works at Saadiyat Grove and Al Gurm, respectively.

Fibrex won a contract to develop villas at Noya, Trojan was awarded the villa development contract at Yas Acres, and Nael General Contracting was selected to develop villas at Wathba.

Infrastructure projects were awarded to National Projects & Construction (NPC), Nael & Bin Harmal Hydroexpert (NBHH), Western Bainoona Group (WBG), and Hilalco. Further projects were secured by Al Ryum, Gulf Landscape, ATS, Emirates Links, Engsol and Dutco.

Already in 2022, new development project contracts have been awarded to the UAE-based businesses across two projects on Saadiyat Island, with plans for further work to begin throughout the year.

Meanwhile, Aldar Properties has registered a AED2.33 billion ($603 million) net profit for 2021, up 21 per cent year-on-year, mainly driven by the strong performance of Aldar Investment’s recurring income portfolio.

Announcing the results for 2021, Aldar says its gross profit rose to AED3.6 billion, while its revenues surged to AED8.58 billion, highlighting the resilience of Aldar’s diversified business model.

Its robust financial results were driven by the strong performance of the Aldar Development business and growth in Aldar Investment’s recurring income portfolio, it states.

Aldar Development reported its highest-ever revenue backlog of AED5.9 billion, supporting visibility and predictability of future revenue, along with the steady ramp-up of the fee-based business with projects backlog of AED41.1 billion.

Aldar Investment’s resilient performance was driven by strong rental rates and leasing activity across the portfolio, which ended the year at 93 per cent occupancy.

On the results, Chairman Mohamed Al Mubarak says: “With Aldar’s new operating model introduced during 2021, our future growth will be underpinned by geographic and business diversification, strategic investments, and acquisitions in core sectors. Our focus on sustainability, digital transformation, and talent will ensure continued growth.”

Group CEO Talal Al Dhiyebi says the solid performance and corporate initiatives executed throughout 2021 have enabled Aldar to carry forward its strong momentum into 2022. “Already, we have completed an initial entry to Ras Al Khaimah, a substantial investment in our education business, and introduced a range of new sustainability initiatives that are positive for our business and the environment. Looking ahead, we are ready to finalise landmark transactions, deploy capital efficiently in new opportunities, and execute on our transformational growth strategy across geographies, businesses and sectors,” he added.