(MENAFN - Khaleej Times) Tamweel, the UAE Islamic home finance provider, on Tuesday reported Dh603 million operating income for 2012. Financial results for the year ending December 31, 2012 shows the company earned Dh72 million net profit, compared to Dh102 million, reflecting 29 per cent year-on-year decline.
Net profit was lower in the current year due to exceptional provisions relating to certain ongoing litigations for which the company made full provision while continuing to fight its rights.
"During 2012, Tamweel continued to capitalise on the upturn in the UAE property market, by providing a complete suite of Home Finance Solutions," said Abdulla Ali Al Hamli, chairman of Tamweel.
"As the company moves forward, we are uniquely positioned to play a full and active role in supporting the home finance needs of people looking to purchase property in the UAE," Al Hamli added.
Tamweel operating income reached Dh603 million in 2012, compared with Dh601 million in 2011. Operating income was higher than recorded in the corresponding period despite competition on profit rates.
Varun Sood, acting chief executive officer of Tamweel, said: "Tamweel's focus on service excellence continues to serve the company well. As the recovery of the UAE property sector gathers pace - with average home prices increasing between 10 per cent to 15 per cent over an 18 month period - Tamweel's innovative, customer-centric solutions will keep us at the forefront of the country's home finance market."
Last year has been a positive year for Tamweel, as the company successfully secured funding of 300 million by placing dollar-denominated sukuk.