LONDON (Alliance News) - Tejoori Limited said Thursday revenues more than tripled in its second-half as the firm reduced its cost base and settled property liabilities.
The Dubai-based Shari'a compliant investment company said revenue rose to USD219,746 from USD55,394 for the six months to December 31, 2013. Profit for the year also increased, to USD89,175 from USD10,164 the previous year.
Looking ahead, the firm said it is confident on the prospects for the company moving forward, supported by a reduced cost base, the settlement of liabilities in relation to its Lagoons Plots development and the fully acquired properties in Arjan.
A settlement agreement between Lagoons LLC and the Group was signed 9 December 2012. However, the original plot sale and purchase agreement was terminated and, in exchange, the amount paid by the Group for the plots of land in Lagoons was applied against the purchase of new plots in the Arjan project in Dubai, United Arab Emirates.
As at December 2013 the Group recorded a payable of USD0.7 million against one plot in the Arjan project, which is held for the beneficial interest of a third party as security against a receivable of USD3.7 million. Tejoori said it has now made full payment and that it holds title deeds for two plots in the Arjan project. In accordance with the Group's accounting policies the advance payments towards acquisition of investment property has been reclassified as investment property.
The firm said it is considering options for the investment which could include the development of the plots with real estate developers in the UAE or selling them undeveloped to a third party.
Shares in Tejoori last traded at 0.125 pence per share.
By Alice Attwood; aliceattwood@alliancenews.com; @AliceAtAlliance
Copyright © 2014 Alliance News Limited. All Rights Reserved.
