Arabian Business reported that Saudi construction giant Dar Al Arkan net profits grew by more than 11% in the Q2 of 2012 compared to the same period last year.

Saudi Arabia’s biggest property developer by market value said that net income reached SAR 331 million compared to SAR 297.8 million for Q2 2011. The figure was also an increase of 13.1% on the SAR 292.6 million net profit posted in the previous quarter.

The company said that net income for the H1 of the year was up 9.2% at SAR 623.6 million compared to H1 2011. The increase in net income for the 6 month period and the Q2 this year was primarily due to the increase in real estate sales.

Dar Al Arkan has welcomed the kingdom's new mortgage law saying the legislation is a quantum leap for the real estate sector.

Mr Yousef Al Shalash chairman of Dar Al Arkan Real Estate Development paid tribute to the Royal Decrees that enacted a system of financial leasing, mortgage finance and mortgage registration.

Mr Al Shalash said that the legislation would protect the rights of all parties and provide a strong incentive for developers. It would "contribute to the stability of the Saudi real estate market.

Source - Arabian Business.com

(www.steelguru.com)