Barwa Real Estate Company Q.P.S.C.
Interim Condensed Consolidated Financial Statements
30 June 2025
BUILDING THE FUTUITE
Contents
Report on review of interim condensed consolidated financial statements
Interim consolidated statement of financial position
Interim consolidated statement of profit or loss
Interim consolidated statement of comprehensive income Interim consolidated statement of changes in equity Interim consolidated statement of cash flows
Notes to the interim condensed consolidated financial statements
BUILDING TH E FUTURE
Page(s)
3
4
6-7
8- 27
B "Id" b tter
workin' hoed
Ernst 8 Young - (Oatar BranchJ Tel: +974 4457 4111
Buildinq No. 36, T-03 Fax: +974 4441 4649
Abdulla Bin Thani Street doha#qa.ey.com Doha Desiqn District, P.O. Box 164 ey.com/mena Msheireb Downtown
Doha, State of Oatar
Licensed by the Ministry of Economy and Commerce: International Accountinq Offices (License No. 4)
Licensed by Oatar Financial Markets Authority(OFMA): External Auditors (License No. 120154)
INDEPENDENT AUDITOR'S REPORT ON REVIEW OF INTERIM CONDENSED CONSOLIDATED FINANCIAL STATEMENTS TO THE BOARD OF DIRECTORS OF BARWA REAL ESTATE COMPANY Q.P.S.C.
Introduction
We have reviewed the accompanying interim condensed consolidated financial statements of Barwa Real Estate Company Q.P.S.C. (the 'Company') and its subsidiaries (together referred as the "Group") as at 30 June 2025, comprising of the interim consolidated statement of financial position as at 30 June 2025 and the related interim consolidated statement of profit or loss, interim consolidated statement of comprehensive income, interim consolidated statement of changes in equity and interim consolidated statement of cash flows for the six months period then ended and the related explanatory notes.
The Board of Directors is responsible for the preparation and presentation of these interim condensed consolidated financial statements in accordance with IAS 34 Interim Financial Reporting ("IAS 34"). Our responsibility is to express a conclusion on these interim condensed consolidated financial statements based on our review.
Scope of review
We conducted our review' in accordance with International Standard on Review Engagements 2410, "Review of Interim Financial Information Performed by the Independent Auditor of the Entity". A review of interim condensed consolidated financial statements consists of making inquiries, primarily of persons responsible for financial and accounting matters, and applying analytical and other review procedures. A review' is substantially less in scope than an audit conducted in accordance with International Standards on Auditing and consequently does not enable us to obtain assurance that we would become aware of all significant matters that might be identified in an audit. Accordingly, we do not express an audit opinion.
Conclusion
Based on our review, nothing has come to our attention that causes us to believe that the accompanying interim condensed consolidated financial statements are not prepared, in all material respects, in accordance with IAS 34.
Zia •au<>
of Ernst & Young Auditor's Registration No.
Date: 29 July 2025 Doha
ZV ERNST & YOU"
P.O. BOX: 164, DOHA•
A member firm of Ernst & Young Global Limited
Barwa Real Estate Company Q.P.S.C. |2 Interim condensed consolidated financial statementsAs at 30 June 2025
Inter conso a e ate en o n ncia p s t on
30 June | 31 December | ||
Notes | 2025 {Reviewed} QR'000 | 2024 (Audited) QR'000 | |
ASSETS | |||
Cash and bank balances | 5 | 1,985,480 | 2,734,027 |
Financial assets at fair value through profit or loss | 113,356 | 118,824 | |
Receivables and prepayments | 6 | 1,079,724 | 1,147,380 |
Inventory | 10,682 | 10,477 | |
Trading properties | 7 | 602,172 | 546,438 |
Due from related parties | 8 | 78,867 | 68,834 |
Financial assets at fair value through other comprehensive income | 642,525 | 239,437 | |
Advances for projects and investments | 199,699 | 269,138 | |
Investment properties | 10 | 31,627,268 | 31,347,223 |
Property, plant and equipment | 448,473 | 467,730 | |
Right-of-use assets | 11 | 2,999 | 3,720 |
Investments in associates | 12 | 8,080 | 8,080 |
Deferred tax assets | 5,521 | 5,487 | |
Goodwill | 13 | 126,411 | 126,411 |
36,931,257 | 37,093,206 | ||
Assets held for sale | 9 | 174,674 | 73,743 |
TOTAL ASSETS | 37,105,931 | 37,166,949 | |
LIABILITIES AND EQUITY | |||
LIABILITIES | |||
Payables and other liabilities | 14 | 878,090 | 950,008 |
Due to related parties | 8 | 358,668 | 149,409 |
Provisions | 15 | 92,090 | 170,556 |
Lease liabilities | 16 | 203,148 | 203,572 |
Obligations under Islamic finance contracts | 17 | 13,041,845 | 13,060,237 |
End of service benefits | 145,110 | 139,864 | |
Deferred tax liabilities | 6,643 | 6,535 | |
14,725,594 | 14,580,181 | ||
Liabilities directly associated with the assets held for sale | 9 | 2,226 | 1,491 |
TOTAL LIABILITIES | 14,727,820 | 14,681,672 | |
EQUITY | |||
Share capital | 3,891,246 | 3,891,246 | |
Legal reserve | 2,148,008 | 2,148,008 | |
General reserve | 4,639,231 | 4,639,231 | |
Other reserves | 25 | (299,355) | (336,607) |
Retained earnings | 11,817,870 | 11,966,414 | |
Total equity attributable to equity holders of the Parent | 22,197,000 | 22,308,292 | |
Non-controlling interests | 181,111 | 176,985 | |
TOTAL EQUITY | 22,378,111 | 22,48S,277 | |
TOTAL LIABILITIES AND EQUITY | 37,105,931 | 37,166,949 |
These interim condensed onsolid ed financial statements were authorised for issuance by the Board of Directors on 29 July 2025 a gned o eir ehalf by:
Mr. Hamad bashin A Qahtani Board member
Eng. Ahmad Mohammad AI-Tayeb
'us Offimr A awa,u ,+•«›‹›er
ERNST & YOUNG
tatement
Group Chief Exe
The attached from 1 to 30 form an integral part of these interim condensed consolidated financial
20 JJL 2025
Stamped for Identification
BUILDING THE FUTUR£
Interiedscon o i a ate en pro it or loss | |||
30 June | 30 June | ||
2025 | 2024 | ||
(Reviewed) | (Reviewed) | ||
Notes | QR'000 | QR'000 | |
Rental income | 719,090 | 728,704 | |
Rental operation expenses | 18 | (150,965) | (152,141) |
Net rental income | 568,125 | 576,S63 | |
Income from consultancy and other services | 180,227 | 190,171 | |
Consulting operation and other services expenses | 19 | (122,908) | (134,391) |
Net consulting and other services income | 57,319 | 55,780 | |
Profit on sale of property and construction services | 20 | 912 | 17,276 |
Net fair value gain on investment properties | 10 | 288,396 | 192,128 |
Share of results of associates | 12 | 32 | |
General and administrative expenses | (97,673) | (98,125) | |
Net (impairment loss) / reversal of impairment | 21 | (22,140) | 139,263 |
Other income - net | 22 | 42,030 | 14,606 |
Operating profit before finance cost, depreciation, amortisation and | |||
income tax | 836,969 | 897,523 | |
Finance income | 23 | 60,123 | 85,845 |
Finance costs | 23 | (324,985) | (407,461) |
Net finance cost | (264,862) | (321,616) | |
Profit before depreciation, amortisation and income tax | 572,107 | 575,907 | |
Depreciation | (5,341) | (6,393) | |
Amortisation of right-of-use assets | 11 | (721) | (2,032) |
Profit before income tax from continuing operations | 566,045 | 567,482 | |
Income tax expense | (5,765) | (7,662) | |
Profit for the period from continuing operations | 560,280 | 559,820 | |
Discontinued operations | |||
Profit after tax for the period from discontinued operations | 9 (ii) | 638 | 1,001 |
Profit for the period | 560,918 | 560,821 | |
Aftr¿6uto6/e to: | |||
Equity holders of the Parent | 560,166 | 557,455 | |
Non-controlling interests | 752 | 3,366 | |
560,918 | 560,821 | ||
Basic and diluted earnings per share | |||
Attributable to equity holders of the Parent (expressed in QR per | |||
share) | 24 | 0.1440 | 0.1433 |
ERNST & YOUNG
Doha - Qatar
2 0 JUL t025
Stamped for Identification
Purposes Only
" • o • '
BUiLDING THE FUTURE
innce ns ea e tate en o clo p
is ve in o e
JO June 2025
{Reviewed)
OR'000
30 June 2024 (Reviewed)
QR'000
Net profit for the period | 560,918 | 560,821 |
Other comprehensive income Other comprehensive income that will be reclassified to profit or loss in subsequent periods: Exchange differences on translation of foreign operations | 28,200 | 1,115 |
Other comprehensive income that will not be reclassified to profit or loss in | ||
subsequent periods: Net change in the fair value of financial assets at fair value through other comprehensive loss | 942 | (7,226) |
Other comprehensive income / (loss) for the period | 29,142 | (6,111) |
Total comprehensive income for the period | 590,060 | 554,710 |
Aftr/dtitob/e to: Equity holders of the Parent | 589,132 | 5S1,429 |
Non-controlling interests | 928 | 3,281 |
590,060 | 554,710 |
ERNST & YOUNG
Doha - Qatar
2 a JUL t0t5
Stamped for Identification
Purposes Only
Barwa Real Estate Company Q.P.S.C. Interim condensed consolidated financial statements
f'-or the six months period ended 30 June 2025
In eri c n i ate s ate e t c a ges in eq y
Equity anributable to owners of the Parent
Share | £ego/ reserve | Genera/ reserve | Orher reserves | Retained eornings | Non- | Total rqu/ty | |||
QR'000 | Qff'0DD | OR'0O0 | QR'OO0 | QR'000 | QR'000 | interests QR'000 | |||
Balance at 1 January 2024 (Audited) | 3,891,246 | 2,069,055 | 4,639,231 | (354,053) | 11,564,845 | 21,810,324 | 171,993 | 21,982,317 | |
Net profit for the period | 557,45S | 557,455 | 3,366 | 560,821 | |||||
Other comprehensive loss for the period | (6,026) | (6,026) | (85) | (6,111) | |||||
Total comprehensive (loss) / income for the period | (6,026) | 557,455 | 551,429 | 3,281 | 554,710 | ||||
Reclassification of fair value reserve on disposal of financial | |||||||||
assets at fair value through other comprehensive income | 23,791 | (23,791) | |||||||
Transactions with shareholders in their capacity as owners: Dividends for 2023 (Note 30) | (700,424) | (700,424) | (700,424) | ||||||
Balance at 30 June 2024 (Reviewed) | 3,891,246 | 2,069,055 | 4,639,231 | (336,288) | 11,398,085 | 21,661,329 | _ 175,274 | _ 21,836,603 |
Equity attributable to owners of the Parent
Share capital | Legal reserve | General reserve | Other reserves | Retained earnings | Total | Non-controlling | Total Equity | |
QR'000 | QR'000 | QR'000 | QR'000 | QR'000 | QR'000 | interests QR'000 | QR'000 | |
Balance at 1 January 2025 (Audited) | 3,891,246 | 2,148,008 | 4,639,231 | (336,607) | 11,966,414 | 22,308,292 | 176,985 | 22,485,277 |
Net profit for the period | 560,166 | 560,166 | 752 | 560,918 | ||||
Other comprehensive income for the period | 28,966 | 28,966 | 176 | 29,142 | ||||
Total comprehensive income for the period | - | 28,966 | 560,166 | 589,132 | 928 | 590,060 | ||
Reclassification of fair value reserve on disposal of financial | ||||||||
assets at fair value through other comprehensive income | 8,286 | (8,286) | ||||||
Liquidation | 7,698 | 7,698 | ||||||
Transactions with shareholders in their capacity as owners: | ||||||||
Dividends for 2024 (Note 30) | (700,424) | (700,424) | (700,424) | |||||
Dividend paid to Non-controlling interest | (4,500) | (4,500) | ||||||
Balance at 30 June 2025 (Reviewed) | 3,891,246 | 2,148,008 | 4,639,231 | (299,355) | 11,817,870 | J2 | 22,378,111 |
ERNST
Doha - Qatar
The attached notes from 1 to 30 form an integral part of these interim condensed consolidated financial statements
s ped for
For the six months period ended 30 June 2025 | |||
Interim consolidated statement of cash flows | 30 June | 30 June | |
Notes | 2025 (Reviewed) OR'000 | 2024 (Reviewed) QR'000 | |
OPERATING ACTIVITIES | |||
Profit before tax from continuing operations | 566,045 | 567,482 | |
Profit before tax from discontinued operations | 9 | 1,296 | 1,336 |
Net profit before tax | 567,341 | 568,818 | |
Adjustments for: | |||
Finance cost | 23 | 318,174 | 397,079 |
Unwinding of deferred finance cost | 23 | 6,811 | 10,382 |
Finance income | 23 | (60,123) | (85,845) |
Net fair value gain on investment properties | 10 | (288,396) | (192,128) |
Depreciation | (i) | 15,356 | 16,617 |
Amortisation of right-of-use assets | 11 | 721 | 2,032 |
Share of results of associates | (32) | ||
Net impairment losses / (reversal of impairment) | 21 | 22,140 | (139,263) |
Provision for end of service benefit | 13,636 | 9,273 | |
Other income - net | 22 | (42,030) | (14,606) |
Operating profit before working capital changes | 553,630 | 572,327 | |
Changes in working capital: | |||
Change in receivables and prepayments | 36,460 | 2,948,127 | |
Change in inventories | (205) | ||
Change in trading properties | (56,580) | (6) | |
Change in amounts due from and due to related parties | 10,076 | (88,046) | |
Change in provisions | (78,466) | (8,496) | |
Change in payables and accruals | (35,716) | (208,029) | |
CASH FLOWS FROM OPERATING ACTIVITIES | 429,199 | 3,215,877 | |
Payment of employees' end of service benefits | (8,389) | (5,178) | |
Income tax paid | (2,091) | (15,199) | |
NET CASH FLOWS FROM OPERATING ACTIVITIES | 418,719 | 3,195,500 | |
INVESTING ACTIVITIES | |||
Finance income received | 71,425 | 77,603 | |
Payments for addition to investment properties | 10 | (123,094) | (53,272) |
Proceeds from sale of non-current assets held for sale | 59,422 | ||
Advances paid for projects and investments | (7,890) | (5,341) | |
Advances received on account of sale of property | 34,081 | ||
Payments for purchase of property, plant and equipment | (1,176) | (4,681) | |
Proceeds from sale of property, plant and equipment | 10 | ||
Dividend income received | 12,375 | 8,935 | |
Net (payment for) / proceeds from disposal of financial asset at fair | |||
value through other comprehensive income | (402,146) | 23,728 | |
Proceeds from disposal of financial assets at fair value through profit | |||
or loss | 19,846 | ||
Payments for purchase of financial assets at fair value through profit | |||
or loss | (19,112) | ||
Net movement in short term deposits maturing after three months | 884,688 | (2,231) | |
NET CASH FLOWS FROM INVESTING ACTIVITIES | 527,685 | 45,485 | |
ERNST &YOUNG
Doha - Qatar
Stamped for Identification Purposes Only
Barwa Real Estate Company Q.P.S.C.
Interim condensed consolidated financial statements
For the six months period ended 30 June 2025
Interim consolidated statement of cash flovis (continued)
30 June | 30 June | ||
2025 | 2024 | ||
(Reviewed} | (Reviewed) | ||
Notes | QR'000 | QR'000 | |
FINANCING ACTIVITIES Finance cost paid | (231,136) | (314,500) | |
Proceeds from obligations under Islamic finance contracts | 17 | 806,725 | |
Payments for obligations under Islamic finance contracts | 17 | (73,143) | (1,515,430) |
Dividend paid to non-controlling interest | (4,500) | ||
Dividends paid | (515,114) | (382,904) | |
Payment of lease liabilities | 16 | (5,419) | (8,301) |
Change in restricted bank balances | 3,688 | 7,419 | |
NET CASH USED IN FINANCING ACTIVITIES | (825,624) | (1,406,991) | |
NET INCREASE IN CASH AND CASH EQUIVALENTS | 120,780 | 1,833,994 | |
Net foreign exchange difference | 18,359 | 4,792 | |
Cash and cash equivalents at 1 January | 5 | 549,680 | 879,912 |
CASH AND CASH EQUIVALENTS AT 30 JUNE | 5 | 688,819 | 2,718,698 |
Notes:
Depreciation for the six month period ended 30 June 2025 includes an amount of QR 1O,01S thousand charged to operation expenses in the interim consolidated statement of profit or loss (30 June 2024 QR 10,224 thousand).
ERNST & YOUNG
Doha - Qatar
2 a JUL t025
Stamped for Identification Purposes Only
|8
Barwa Real Estate Company Q.P.S.C.
Interim condensed consolidated financial statements
For the six months period ended 30 June 2025
Notes to the interim condensed consolidated financial statements
CORPORATE INFORMATION AND PRINCIPAL ACTIVITIES
Barwa Real Estate Company Q.P.S.C. ("the Company" or"the Parent") was incorporated pursuant to the provision of Article 68 of the Qatar Commercial Companies Law No. 5 of 2002 as Qatari Public Shareholding Company under Commercial Registration No. 31901 dated 27 December 2005. The term of the Company is 100 years starting from the date of declaration in the Commercial Register. The Company is a listed entity on the Qatar Stock Exchange.
The Company's registered office address is P.O. Box 27777, Doha, State of Qatar.
The principal activities of the Company and its subsidiaries (together, "the Group") include investment in all types of real estate including acquiring, reclamation, dividing, developing and reselling of land and to establish agricultural, industrial, commercial projects on land, or lease those land, and also buying, selling and leasing buildings or projects. It also administers and operates real estate investments in and outside the State of Qatar. The Group is engaged in the business of developing domestic and international real estate projects, investing, hotels ownership and management, projects consulting and others.
The Group's subsidiaries accounting for more than 2'X of the total assets and/or operational results of the Group during the current or previous period are included in these interim condensed consolidated financial statements as listed below. In addition to the below listed subsidiaries, there are a number of other subsidiaries' financial statements that are consolidated into these interim condensed consolidated financial statements and are accounting for less than 2% of the total assets and/or operational results of the Group.
Nome ofsubsidiaey
Country oJ incorporation
Group effective shareholding
percentage
30 June 31 December
2025 2024
ASAS Real Estate Company W.L.L.
Qatar
100P»
100%
Al-Waseef Asset Management Company W.L.L.
Qatar
100P»
100%
Barwa International Company W.L.L.
Qatar
100P»
100%
Barwa Al Sadd Company W.L.L.
Qatar
100'»
100%
Barwa AI Baraha Company W.L.L.
Qatar
10096
100'X«
Barwa Village Company W.L.L.
Qatar
10096
100%
Masaken AI Sailiya and Mesaimeer Company W.L.L.
Qatar
100P»
100%
Qatar Real Estate Investment Company P.J.S.C.
Qatar
100%
100%
Qatar Project Management Company Q.P.S.C.
Qatar
70P»
70%
Madinat AI Mawater Company W.L.L.
Qatar
100'»
100' •
Barahat AI Janoub Real Estate Company W.L.L.
Qatar
100%
100%
Rawasy Real Estate Company W.L.L.
Qatar
100P«
100'«
Barwa District Cooling Company W.L.L.
Qatar
10096
100%
Dar Al Eloum Real Estate development W.L.L.
Qatar
100'X»
100'»
Barwa Real Estate Company Q.P.S.C.
Interim condensed consolidated financial statements
For the six months period ended 30 June 2025
Notes to the interim condensed consolidated financial statements
BASIS OF PREPARATION
The interim condensed consolidated financial statements for the period ended 30 June 2025 have been prepared in accordance with International Financial Reporting Standards, IAS 34 "Interim Financial Reporting".
These interim condensed consolidated financial statements are presented in Qatari Riyals ("QR"), which is the Group's functional and presentational currency and all values are rounded off to the nearest thousands (QR'000) except when otherwise indicated.
These interim condensed consolidated financial statements do not include all information and disclosures required in the annual consolidated financial statements and should be read in conjunction with the Group's annual consolidated financial statements for the year ended 31 December 2024. In addition, results for the six months period ended 30 June 2025 are not necessarily indicative of the results that may be expected for the financial year ending 31 December 2025.
MATERIAL ACCOUNTING POLICY INFORMATION
The accounting policies adopted in the preparation of the interim condensed consolidated financial statements are consistent with those followed in the preparation of the Group's annual consolidated financial statements for the year ended 31 December 2024.
New standards and interpretations effective for annual periods beginning on or after 1 January 2025:
The Group has not early adopted any standard, interpretation or amendment that has been issued but is not yet effective. An amendment applies for the first time in 2025, but do not have an impact on the interim condensed consolidated financial statements of the Group
Lack of exchangeability Amendments to IAS 21
ACCOUNTING ESTIMATES
The preparation of these interim condensed consolidated financial statements requires management to make judgements, estimates and assumptions that affect the application of accounting policies and the reported amounts of assets, liabilities, income and expense. Actual results may differ from these estimates. Information about significant areas of estimation uncertainty and critical judgement in applying accounting policies that have the most significant effect on the amount recognised in the interim condensed consolidated financial statement is described in note 46 of the annual consolidated financial statements for the year ended 31 December 2024. In preparing these interim condensed consolidated financial statements, the significant judgments made by the management in applying the Group's accounting policies and the key sources of estimation uncertainty were the same as those that were applied to the consolidated financial statements for the year ended 31 December 2024.
5 CASHANDBANKBALANCES
Cash and bank balances are comprised of the following:
JOJune
302S
31 December
2024
{Reviewed}
QR'000
(Audited)
QR'000
Cash on hand
426
512
Short term deposits (i)
1,533,677
2,151,960
Current accounts
269,942
342,006
Call accounts
98,246
153,362
Restricted balances
81,228
84,916
Margin bank accounts
3,998
3,998
1,987,517
2,736,754
Allowance for expected credit loss
(2,037)
(2,727)
Total cash and bank balances
1,985,480
2,734,027
Short term bank deposits maturing after 3 months (i)
(1,213,472)
(2,098,160)
Restricted bank balances and margin accounts (ii)
(85,226)
(88,914)
Expected credit loss
2,037
2,727
Cash and cash equivalents
688,819
549,680
Notes:
{i} Short term bank deposits are made for varying periods depending on the cash requirements of the Group with original maturity period ranging up to twelve months carrying profit at commercial market rates. Cash and cash equivalents include fixed deposits maturing within three months amounting to QR 320,205 thousand (31 December 2024: QR 53,800 thousand).
Restricted bank balances are restricted mainly to cover certain bank guarantees issued by the Group and the settlement of dividends yet unclaimed by the Parent's shareholders.
Allowance for expected credit loss on bank balances at 30 June 2025 was QR 2,037 thousand (31 December 2024 QR 2,727 thousand). Movements in the allowance for expected credit loss of bank balances are as follows:
3O June | 31 December | |
2025 | 2024 | |
fReviewed} | (Audited) | |
OR'OO0 | QR'000 | |
At beginning of the period / year | 2,727 | 892 |
Allowance for the period / year (Note 21) | 157 | 2,152 |
Reversal of provision (Note 21) | (847) | (317) |
At end of the period / year | 2,037 | 2,727 |
6 RECEIVABLES AND PREPAYMENTS | ||
The following table presents receivables and prepayments at the reporting date: | ||
30 June | 31 December | |
2025 (Reviewed) QR'000 | 2D24 (Audited) QR'000 | |
Trade receivables (i) | 1,211,630 | 1,448,658 |
Prepaid expenses | 15,377 | 14,712 |
Accrued income | 90,743 | 81,955 |
Refundable deposits | 21,519 | 20,957 |
Staff receivables | 17,722 | 18,012 |
Accrued profit on Islamic financial deposits | 27,348 | 38,649 |
Other receivables | 80,393 | 79,085 |
Allowance for expected credit loss of trade receivables (II) | (320,880) | (496,953) |
Allowance for expected credit loss of other receivables | (64,128) | (57,695) |
1,079,724 1,147,380
30 June | 31 December |
2025 | 2024 |
{Rev/ewed} | (Audited) |
QR'000 | QR'D00 |
389,045 | 451,685 |
690,679 | 69S,69S |
1,079,724 | 1,147,380 |
The following table presents the current and non-current classification of receivables and prepayments at the reporting date:
Current Non-current
Trade receivables include an amount of QR 784,336 thousand (2024: QR 775,102 thousand) relating to the Public Partnership Agreement signed in 2020 between one of the Group's subsidiaries and the Ministry of Education and Higher Education (MOEHE) represented by the Public Works Authority "Ashghal". During 2020, one of the Group's subsidiaries and the MOEHE represented by the Public Works Authority "Ashghal", signed a Public-Private Partnership agreement. As per the agreement, the Group developed 8 public schools in 2022 and will be providing maintenance support over a period of 25 years from the date of handover under the (Qatar Schools PPP Development Program - Package 1).
(ii
As at 30 June 2025, trade receivables amounting to QR 320,880 thousand (31 December 2024: QR 496,953 thousand) were impaired and fully provided for. Movements in the allowance for expected credit loss of trade receivables are as follows:
30 June
31 December
2025
{Reviewed}
QR'000
2024
(Audited)
QR'000
At beginning of the period / year
496,953
524,145
Allowance charge for the period / year (Note 21)
34,957
32S,233
Reversal of provision during the period / year (Note 21)
(22,340)
(348,053)
Written off
(188,690)
(4,137)
Other adjustments
(235)
At end of the period / year
320,880
496,953
Barwa Real Estate Company Q.P.S.C.Interim condensed consolidated financial statements
For the six months period ended 30 June 2025
Notes to the interim condensed consolidated financial statements
TRADING PROPERTIES
30 June
31 December
2025
2024
(Reviewed)
(AuditedJ
QR'000
QR'000
Properties available for sale (i)
80,369
26,080
Properties under development-net (ii)
521,803
520,358
602,172
546,438
Movements of properties available for sale during the period / year were as follows:
30 June 31 December
2025 2024
{Retziewed} (Audited)
QR'000 QR'000
At beginning of the period / year
26,080
26,080
Addition
54,289
At end of the period / year
80,369
26,080
Movements of properties under development during the period / year were as follows:
30 June
2025
31 December
2024
/Rev/ewed/
QR'000
(Audited) QR'000
At beginning of the period / year
520,358
595,520
Cost of sold property
Net additions
Adjustment relating to net realisable value (Note 21)
2,290
(52,166)
(22,213)
Foreign exchange adjustments
(845)
(783)
At end of the period / year
S21,803
520,358
8 RELATED PARTY DISCLOSURES
Qatari Diar Real Estate Investment Company Q.S.C is the main shareholder of the Group, which owns 45' of the Group's shares including one preferred share that carries preferred rights over the financial and operating policies. The remaining 55% of the shares are widely held and publicly traded at the Qatar Stock Exchange.
The Group has transactions with related parties, i.e. main shareholder, associated companies, directors and key management personals of the Company, and entities controlled, jointly controlled or significantly influenced by such parties. Pricing policies and terms of these transactions are approved by the Group's management.
'
Notes to the interim condensed consolidated financial statements
RELATED PARTY DISCLOSURES (CONTINUED)
Related party transactions
Transactions with related parties during the period were as follows:
30 June
30 June
y025
(Reviewed)
QR'000
2024
(Reviewed)
QR'000
Income from consultancy and other services - Main shareholder
30,296
31,894
Balances with related parties included in the interim consolidated statement of financial position are as follows:
Due from related parties Due to related parties
30 June
31 December
30 June
31 December
Qatari Diar Real Estate Investment Co.
2035
{Revieuzed}
QR'000
2024
(Audited) QR'000
2025
{Rev/ewezf}
QR'000
2024
(Audited) QR'000
Q.S.C. and its subsidiaries companies
77,586
68,575
350,353
137,091
Associate companies
1,256
2,480
2,480
Other related parties
25
259
5,835
9,838
78,867
68,834
3S8,668
149,409
Current and non-current portions of due from and due to related parties were as follows:
Due from related parties
30 June 31 December
2025 2024
(Reviewed) (Audited)
QR'000 QR'000
Due to related parties
30J«ne 31 December
2025 2024
(Reviewed) (Audited)
Qft'000 QR'000
78,867
68,834
358,091
148,830
577
579
78,867
68,834
358,668
149,409
Current Non-current
At 30 June 2025, allowance for expected credit loss on due from related parties amounting to QR 70,576 thousand (31 December 2024: QR 70,426 thousand).
Compensation of directors and other key management personnel
The remuneration of directors and other members of key management of the Parent during the period were as follows:
for the six months
ended 30 June
2025
(Reviewed)
2024
(Reviewed)
QR'000
Short term benefits
10,773
10,286
End of service benefits
589
558
Notes to the interim condensed consolidated financial statementsASSETS HELD FOR SALE
TO June
31 December
2025
2024
{Reviewed}
(AuditedJ
QR'000
QR'000
Non-current assets held for sale - Investment properties (i)
92,795
Assets relating to discontinued operations (ii)
81,879
73,743
174,674
73,743
(i) Movement in non-current assets held for sale is illustrated as follows:
30 June
31 December
2025
2024
(Reviewed)
(AuditedJ
QR'000
QR'000
At beginning of the period / year
132,280
Transferred from investment properties (Note 10) (a)
152,217
43,101
Impairment loss for the period
(9,452)
Investment property sold during the period / year
(59,422)
(43,101)
Relating to disposal of a subsidiary
(120,986)
Foreign exchange adjustment
(1,842)
At end of the period / year
92,795
(a) On 8 April 2025, the Group entered into a definitive sale and purchase agreement with a prospective buyer for one of its investment properties located in the State of Qatar. As a result, the property is reclassified in the Group's interim condensed consolidated financial statements as a non-current asset held for sale as of 30 June 2025, reflecting the Group's commitment to complete the sale within 12 months.
Discontinued operations:
On S June 2025, the management approved the sale of one of its international subsidiaries, whose business is in the real estate segment. Its results for the period are presented below:
30 June 2025 | 30 June 2024 | ||
(Reviewed) | (Reviewed) | ||
QR'000 | QR'00O | ||
Rental income | 1,416 | 1,377 | |
General and administrative expenses | (183) | (167) | |
Other income | 63 | 126 | |
Profit before taxation | 1,296 | 1,336 | |
Taxation | (658) | (335) | |
Net profit from discontinued operations for the period | 638 | 1,001 |
Notes to the interim condensed consolidated financial statements
NON-CURRENT ASSETS HELD FOR SALE (CONTINUED)
(ii) Discontinued operations (continued)
The details of the Assets of discontinued operations are presented below:
30/une
31 December
2025
2024
(Reviewed)
(Audited)
QR'000
QR'000
Investment property
64,880
59,609
Trade & other receivables
7,571
6,280
Cash and bank balance
9,428
7,854
Asset held for sale
81,879
73,743
The details of the Liabilities directly associated with discontinued operations are presented below:
(2 226)
(1,491)
(2,226)
(1,491)
79,653
72,252
Payables and other liabilities
Liabilities directly associated with the assets held for sale Net assets held for sale
10 INVESTMENT PROPERTIES
30 June
31 December
ZOOS
/Rev/ewed/
QR'000
2024
(Audited) QR'000
At beginning of the period / year
31,347,223
30,464,441
Additions
123,094
165,513
Capitalised finance cost
10,011
17,478
Transferred to non-current assets held for sale (Note 9 (i))
(152,217)
(43,101)
Transferred to assets held for sale relating to discontinued operations (Note
9 (ii))
(59,609)
Right-of-use assets - lease adjustments/ modification
(5,643)
Net fair value gain
288,396
813,172
Foreign exchange adjustment
10,761
(5,028)
At end of the period / year
31,627,268
31,347,223
Notes
Investment properties are located in the State of Qatar, Kingdom of Bahrain, Kingdom of Saudi Arabia and Republic of Cyprus.
Barwa Real Estate Company Q.P.S.C.
Interim condensed consolidated financial statements
For the six months period ended 30 June 2025
Notes to the interim condensed consolidated financial statements
INVESTMENT PROPERTIES (CONTINUED)
Notes (continued):
lii) Fair values of international investment properties have been valued internally as of 30 June 2025, except for 2 properties located in the Kingdom of Bahrain and the Kingdom of Saudi Arabia, which have been valued at 31 December 2024. Investment properties located in the State of Qatar are stated at fair value based on valuations performed by accredited independent valuers as at 30 June 2025 and 31 December 2024. Those valuers are accredited independent valuers with recognised and relevant professional qualifications and with recent experience in the location and category of those investment properties being valued. In arriving at estimated market values the valuers have used their market knowledge and professional judgment and not only relied on historical transactional comparable. In the absence of current prices in an active market, the valuations are based on the aggregate of the estimated cash flows expected to be received from renting the property. A yield that reflects the specific risks inherent in the net cash flows is applied to the net annual cash flows to arrive at the property valuation.
The Group has no restrictions on the realisability of its investment properties.
Included in investment properties are certain properties with a carrying value of QR 2,018,201 thousand at 30 June 2025 (31 December 2024: QR 2,097,656 thousand) for which the title deeds will be transferred to the Group upon completion of the construction of the projects. The interim condensed consolidated financial statements have been prepared on the basis that the beneficial interest of these investment properties resides with the Group.
RIGHT-OF-USE ASSETS
30 June
31 Oecember
2025
2024
(Reviewed)
(Audited)
QR'000
Cost:
At beginning of the period / year
104,473
104,525
Lease modification
(52)
104,473
104,473
Accumulated amortisation
At beginning of the period / year
(100,753)
(96,692)
Charge for the period / year
(721)
(4,061)
(101,474)
(100,753)
At end of the period / year
2,999
3,720
The Group leases several assets including buildings and land. The lease terms range from 1 to 21 years. The movement of right-of-use assets during the period/ year is illustrated as follows:
Amounts recognised in interim consolidated statement of profit or loss during the period is summarised as follows:
30 June 30 June
2025 2024
/Reviewed/ (Reviewed)
QR'000 QR'000
Amortisation of right-of-use assets 721 2,032
For the six months period ended 30 June 2025
Notes to the interim condensed consolidated financial statements
INVESTMENTS IN ASSOCIATES
The following table illustrates the summarised financial information of the Group's investments in associates:
3O June
31 December
2025
2024
(fieriewedJ
(Audited)
OR'000
QR'000
At beginning of the period / year
8,080
23,119
Dividends from associates
(15,927)
Share of results of associates during the period / year
32
Impairment reversal during the period / year (Note 21)
856
At end of the period / year
8,080
8,080
GOODWILL
30 June 31 December
2025 2024
QR'000 CIR'000
(Reviewed) (Audited)
Goodwill
1Z6,411
126,411
126,411
126,411
100% of the goodwill is allocated to one of the Group's subsidiaries as a cash generating unit. The Group performs its annual impairment test as at 31 December. To assess whether goodwill is impaired, the carrying amount of the real estate CGU is compared to its recoverable amount determined on a value in use basis.
14 PAYABLES AND OTHER LIABILITIES | ||
30 June | 31 December | |
2025 | 2024 | |
/Rev/ewez/} | (Audited) | |
QR'000 | QR'000 | |
Contractors and suppliers | 236,623 | 223,516 |
Clients advances and unearned income | 15,402 | 23,368 |
Retention payable | 88,301 | 85,968 |
Advances received for Sale of Properties | 34,081 | |
Contribution to social and sports fund | 30,904 | |
Accrued expenses | 177,310 | 254,898 |
Accrued finance cost | 119,696 | 75,583 |
Income tax liability | 22,175 | 18,339 |
Other payables | 184,502 | 237,432 |
878,090 | 950,008 | |
The maturity of payables and other liabilities are as follows: | ||
Current | 865,759 | 934,549 |
Non-current | 12,331 | 15,459 |
878,090 | 950,008 | |
Notes to the interim condensed consolidated financial statements
15 PROVISIONS
30 June | 31 December | ||
3025 | 2024 | ||
(Reviewed) | (Audited) | ||
QR'000 | QR'000 | ||
At beginning of the period / year | 170,556 | 209,052 | |
Provided during the period/ year | 1,109 | ||
Reversal during the period/ year | (9,605) | ||
Utilised during the period/ year | (78,466) | (30,000) | |
At end of the period / year | 92,090 | 170,556 | |
15 PROVISIONS (CONTINUED) | |||
Provisions are analysed by nature as follows: | |||
30 June | 31 December | ||
2025 | 2024 | ||
{Revfewe4/ £JA'000 | (Audited) QR'000 | ||
Provision for litigations | 1,808 | 1,808 | |
Provision for claims | 1,109 | 1,109 | |
Provision for excess losses from associates | 167,639 | ||
92,090 | 170,556 | ||
16 LEASE LIABILITIES | |||
30 June | 31 Oecember | ||
2035 | 2024 | ||
{Rev/ewed/ | (Audited) | ||
QR'000 | QR'000 | ||
At beginning of the period / year | 203,572 | 246,393 | |
Modifications | (5,659) | ||
Relating to disposal of a subsidiary | (28,298) | ||
Unwinding of deferred finance cost for continuing operation | 4,995 | 10,653 | |
Unwinding of deferred finance cost for discontinued operations | 596 | ||
Payments | (5,419) | (19,814) | |
Translation adjustment | (299) | ||
At end of the period / year | 203,148 | 203,572 | |
Lease liabilities are further analysed as follows: | |||
Current | 14,337 | 15,805 | |
Non-current | 188,811 | 187,767 | |
203,148 | 203,572 |
Notes to the interim condensed consolidated financial statements
17 OBLIGATIONS UNDER ISLAMIC FINANCE CONTRACTS
The movements in the obligations under Islamic finance contracts were as follows:
30 June | 31 Oecember | |
2025 | 2024 | |
(Reviewed) | (Audited) | |
QR'000 | ||
At beginning of the period / year | 13,060,237 | 13,615,406 |
Additional facilities obtained | 806,725 | |
Accrued finance cost | 64,172 | 167,423 |
Repayments | (73,143) | (1,541,264) |
Deferred finance charges | (9,421) | 11,947 |
At end of the period / year | 13,041,845 | 13,060,237 |
Un-secured facilities | 11,126,630 | 11,092,448 |
Secured facilities (*) | 1,982,577 | 2,025,731 |
Deferred finance charges
(67,362)
13,041,845
(57,942)
13,060,237
(*) Corporate guarantees from the Parent Company, assignment over rights to projects' revenues and documents, in addition to a pledge over the project companies' shares, bank accounts and assets have been granted against 2 facilities with balance of QR 1,983 Million as of 30 June 2025.
The maturity profile of obligations under Islamic finance contracts were as follows:
30 June
203S
31 December
2024
(Reviewed)
(Audited)
QR'000
2,755,425 | 2,176,030 |
10,286,420 | 10,884,207 |
13,041,845 | 13,060,237 |
Current (i)
Non-current
(i) The Group is currently in the process of negotiating the rescheduling of part of the obligations to enhance the Group's liquidity.
Following is the summary of the terms of the borrowings at period/ year end:
Currency | Amount | Final Maturity | Profit | Profit rate | 30 June 2035 (Reviewed) QR'000 | 31 December 2024 (Audited) QR'000 |
SOFR + | ||||||
USD | USD 886 million | 2027-2031 | Floating | margin | 3,233,776 | 3,185,688 |
KWD | KWD 77 million | 2026-2027 | Fixed | Fixed | 912,471 | 912,471 |
QMRL +/- | ||||||
QAR | QR 8,962 million | 2030-2043 | Floating | margin | 8,962,960 | 9,020,020 |
13,109,207 | 13,118,179 |
hlotes to the interim condensed consolidated financial statements
17 OBLIGATIONS UNDER ISLAMIC FINANCE CONTRACTS (CONTINUED)
Certain secured and unsecured bank facilities are subject to financial covenants, including the finance cost leverage ratio and debt-to-equity (D/E) ratio. These covenants are assessed biannually, on 30'hJune and 31*' December, to ensure compliance. The Group has no indications of potential difficulties in meeting these covenant requirements.
The above facilities have been obtained for the purpose of financing long term projects, refinancing previous facilities and working capital requirements of the Group. The facilities carry profits at rates comparable to commercial rates prevailing in the market for facilities with the same terms and conditions like the Group's facilities.
18 RENTAL OPERATION EXPENSES | ||
30 June | 30 June | |
2025 | 2024 | |
(Reviewed) | (Reviewed) | |
OR'000 | QR'000 | |
Property management expense | 47,645 | 47,370 |
Maintenance and utilities expense | 35,262 | 43,896 |
Facility management expense | 36,285 | 34,995 |
Staff costs | 19,952 | 19,660 |
Other expenses | 11,821 | 6,220 |
150,965 | 1S2,141 | |
19 CONSULTING OPERATION AND OTHER SERVICES EXPENSES | ||
30 June | 30 June | |
2025 {/teviewed} QR'000 | 2024 (Reviewed) QR'000 | |
Maintenance and utilities expense | 17,441 | 15,887 |
Staff costs | 25,236 | 31,317 |
Hotel operation costs | 14,648 | 15,346 |
Facility management expenses | 50,990 | 57,757 |
Depreciation | 10,015 | 10,224 |
Other expenses | 4,578 | 3,860 |
122,908 | 134,391 | |
20 PROFIT ON SALE OF PROPERTY AND CONSTRUCTION SERVICES | 3O June | 30 June |
2025 (Reviewed) OR'000 | 2024 (Reviewed) QR'000 | |
Revenue from construction services | 10,520 | |
Sale of properties | 69,783 | |
10,520 | 69,783 | |
Cost of construction services | (9,608) | |
Cost of sale of properties | (52,507) | |
(9,608) | (52,507) | |
912 | 17,276 | |
21 NET (LOSS) / REVERSAL OF IMPAIRMENT | ||
30 June | 30 June | |
2025 | 2024 | |
{Reiziewezf/ | (Reviewed) | |
QR'000 | QR'000 | |
Impairment losses: | ||
Cash and bank balances (Note S) | (157) | (2,042) |
Trade receivables (Note 6) | (34,957) | (94,441) |
Other receivables | (7,837) | |
Trading properties (Note 7) | (9,678) | |
Property, plant and equipment | (3,630) | (4,439) |
Investment in associates (Note 12) | (1,1S0) | |
Due from related parties | (150) | (482) |
Non-current assets held for sale (Note 9) | (9,406) | |
Reversal of impairment: | ||
Cash and bank balances (Note S) | 847 | 81 |
Trade receivables (Note 6) | 22,340 | 260,424 |
Other receivables | 1,404 | |
Due from related parties | 396 | |
Net (loss)/ reversal of impairment | (22,140) | 139,263 |
22 OTHER INCOME - NET | 30 June | 30 June |
2025 (Reviewed) OR'000 | 2024 (Reviewed) QR'000 | |
Income from reversal of excess accruals | 32,251 | 9,984 |
Dividend income | 12,672 | 8,904 |
Gain on sale of financial assets at fair value through profit or loss | 113 | |
Loss from revaluation of financial assets at fair value through profit or | ||
loss | (5,470) | (6,293) |
Others | 2,577 | 1,898 |
42,030 | 14,606 |
23 NET FINANCE COST | |||
30tune | 30 June | ||
2025 (Reviewed} OR'000 | 2024 (Reviewed) QR'000 | ||
Finance costs | |||
Finance costs on Islamic finance contracts | (322,323) | (405,034) | |
Less: capitalised finance costs | 7,955 | ||
(312,312) | (397,079) | ||
Unwinding of deferred finance cost | (1,816) | (4,549) | |
Finance cost - lease liabilities (Note 16) | (4,995) | (5,833) | |
Net foreign exchange loss | (5,862) | ||
Finance costs for the period | (324,985) | (407,461) | |
F/nance income | |||
Income from Murabaha and Islamic deposits | 43,598 | 53,664 | |
Net foreign exchange gain | 26 | ||
Others | 16,525 | 32,155 | |
Finance income for the period | 60,123 | 85,84S | |
Net finance cost for the period | (264,862) | (321,616) | |
24 BASIC AND DILUTED EARNINGS PER SHARE |
Basic earnings per share is calculated by dividing the profit for the period attributable to equity holders of the Parent by the weighted average number of ordinary shares outstanding during the period as follows:
ror the six months ended 30 June
2025 | 2024 | |
(Reviewed} | (Reviewedj | |
Profit attributable to owners of the Parent (QR'000) Continuing operations | 559,528 | 556,454 |
Discontinued operations | 638 | 1,001 |
560,166 | 557,455 | |
Ordinary shares authorized, issued and fully paid (thousands) | 3,891,246 | 3,891,246 |
Weighted average number of shares outstanding during the period (thousands) | 3,891,246 | 3,891,246 |
Basic and diluted earnings per share (QR) | 0.144 | 0.143 |
There were no potentially dilutive shares outstanding at any time during the period and therefore the diluted earnings per share are equal to the basic earnings per share.
OTHER RESERVES
30 June
31 December
2025
2024
(Reviewed)
(Audited)
QR'000
QR'000
Fair value reserve (i)
(131,940)
(141,168)
Translation reserve (ii)
(168,449)
(196,473)
Other reserve
1,034
1,034
(299,355)
(336,607)
(i) Fair value reserve:
The fair value reserve comprises the cumulative net change in the fair value of financial assets at fair value through other comprehensive income.
(i!) Translation reserve:
The translation reserve comprises all foreign currency differences arising from the translation of the financial statements of foreign operations, as well as from the translation of assets and liabilities that form part of Group's net investment in foreign operations. This reserve is not available for distribution.
CONTINGENT LIABILITIES
The Group had the following contingent liabilities from which it is anticipated that no material liabilities will arise:
30 June | 31 December | |
2025 | 2024 | |
/Reviewezf} | (Audited) | |
QR'000 | QR'000 | |
Bank guarantees | 139,558 | 141,633 |
27 COMMITMENTS | ||
30 June | 31 December | |
2025 | 2024 | |
{Rev/ewezf} OR'000 | (Audited) CIR'000 | |
Contractual commitments to contractors and suppliers for properties under | ||
development | 268,592 | 289,324 |
28 FINANCIAL RISK MANAGEMENT AND FINANCIAL INSTRUMENTS | ||
28.1 Financial risk factors |
The Group's activities are exposed to a variety of financial risks: market risk (including currency risk, fair value profit rate risk, cash flow profit rate risk and price risk), credit risk and liquidity risk.
The interim condensed consolidated financial statements do not include all financial risk management information and disclosures required in the annual financial statements; they should be read in conjunction with the Group's annual financial statements as at 31 December 2024.
There have been no changes in the risk management policies since the year end.
FINANCIAL RISK MANAGEMENT AND FINANCIAL INSTRUMENTS (CONTINUED)
Liquidity risk
There were no new obligations under Islamic finance contracts obtained during the period.
Fair value estimation
The carrying amounts of the Group's financial assets as at 30 June 2025 and 31 December 2024 approximate their fair value.
Fair value hierarchy
The Group uses the following hierarchy for determining and disclosing the fair value of assets by valuation technique:
Level 1:
Level 2:
Level 3:
Quoted (unadjusted) prices in active markets for identical assets or liabilities;
Other techniques for which all inputs which have a significant effect on the recorded fair value are observable, either directly or indirectly; and
Techniques which use inputs which have a significant effect on the recorded fair values are not based on observable market data.
Financial assets at fair value through other comprehensive income amounting to QR 631,712 thousand (31 December 2024: QR 212,874 thousand) are unquoted equity securities carried at fair value. Information for such investments is usually limited to periodic investment performance reports from the investment managers. Management has performed a review of its unquoted equity investments to assess the value of these investments. Based on the latest financial information available in respect of these investments and their operations, management is of the view that the fair value of these investments as at 30 June 2025 does not materially differ from the fair value on 31 December 2024 had the fair valuation been carried out on that date.
As at 30 June 2025 and 31 December 2024, the Group held the following classes of assets measured at fair value:
30 June 2035 {Rey/euzed}
Fair value measurement using
Quoted
Total | prices in active markets Level 1 | Significant observoble inputs Level 2 | Signi)'icant uno6servo6/e inputs Level 3 | ||
OR'000 | OR'000 | OR'000 | |||
Assets measured at fair value: | |||||
Investment properties (Note 10) 30 Jun 202S | 31,627,268 | - | 31,627,268 | ||
Financial assets at fair value through | |||||
other comprehensive income | |||||
Quoted equity shares 30 Jun 2025 | 10,813 | 10,813 | |||
Unquoted equity shares 30 Jun 2025 | 631,712 | 631,712 | |||
Financial assets at fair value through | |||||
profit or loss | |||||
Quoted equity shares 30 Jun 2025 | 113,356 | 113,356 |
FINANCIAL RISK MANAGEMENT AND FINANCIAL INSTRUMENTS (CONTINUED)
28.3 Fair value estimation (continued)
31 December 2024 (Audited)
Fair value measurement using
Quoted
Date of valuation
Total
prices in
active markets
Level 1
Significant
observable
inputs
Level 2
Significant
unobservable
inputs
Level 3
Assets measured at fair value:
QR'000
QR'000
QR'000
QR'000
Investment properties (Note 10)
Financial assets at fair value through other comprehensive income
Quoted equity shares
31 Dec 2024
31 Dec 2024
31,347,223
26,563
26,563
31,347,223
Unquoted equity shares
Financial assets at fair value through
31 Dec 2024
212,874
212,874
profit or loss
Quoted equity shares
31 Dec 2024
118,824
118,824
During the period, there were no transfers between Level 1 and Level 2 fair value measurements, and no transfers into and out of Level 3 fair value measurement.
SEGMENT INFORMATION
The Group has three reportable segments, as described below, which are the Group's strategic divisions. The strategic divisions offer different businesses and are managed separately because they require different expertise. For each of the strategic divisions, the Group's top management(the chief operating decision maker) reviews internal management reports on a regular basis. The real estate segment develops, sells and leases condominiums, villas, retail shops, warehouses, workshops and plots of land. Business services segment provides business support services and other services comprise cooling and other services.
The operating segments are monitored and strategic decisions are made on the basis of adjusted segment operating results, which are considered as a measure of the individual segment's profit or loss.
Operating segments
The operating segments are presented as follows:
For the six months ended 30 June 2025 (Reviewed):
Revenues and gains
Real
Estate QR'000
Business Other
services services Eliminations QR'000 QR'000 QR'000
Total QR'000
- External parties | 1,007,486 | 129,640 | 103,137 | - | 1,240,263 |
- Internal segments | 25,126 | 68,421 | - | (93,547) | |
Total revenues and gains | 1,032,612 | 198,061 | 103,137 | (93,547) | 1,240,263 |
Segment profit | 761,732 | 23,529 | 75,246 | 2,852 | 863,359 |
-Net finance (cost) / income | (258,049) | 582 | (7,395) | - | (264,862) |
-Net reversal of impairment / | |||||
(losses) | 2,433 | (13,993) | (10,580) | (22,140) | |
-Depreciation and amortisation | (4,683) | (1,392) | (10,002) | (16,077) | |
Net profit for the period from | |||||
continuing operation | 501,433 | 8,726 | 47,269 | 2,852 | 560,280 |
29 SEGMENT INFORMATION (CONTINUED)
Operating segments (continued)
For the six months ended 30 June 2024 (Reviewed):
Real
Estate QR'000
Business Other
services services Eliminations QR'000 QR'000 QR'000
Total QR'000
Revenues and gains
- External parties | 990,547 | 131,136 | 73,709 | 1,195,392 | |
- Internal segments | 34,846 | 66,587 | (101,433) | ||
Total revenues and gains | 1,025,393 | 197,723 | 73,709 | (101,433) | 1,195,392 |
Segment profit | 685,577 | 29,582 | 44,731 | 900 | 760,790 |
-Share of results of associates | 32 | 32 | |||
-Net finance (cost) / income | (334,544) | 12,552 | 376 | (321,616) | |
-Net impairment reversal / | |||||
(losses) | 192,732 | (36,075) | (17,394) | 139,263 | |
-Depreciation and amortisation | (4,745) | (3,691) | (10,213) | - | (18,649) |
Net profit for the period from continuing operation | 539,020 | 2,368 | 17,532 | 900 | 559,820 |
Note:
(i) Inter-segment revenues and gains are eliminated at the consolidated level.
The following table presents segment assets and liabilities of the Group's operating segments as at 30 June 2025 and 31 December 2024:
At 30 June 2035 (Reviewed) | neal estote | business seniices | Other services | Eliminations | Total |
QR'000 | £}R'000 | QR'000 | QR'000 | QR'000 | |
Current assets | 3,760,279 | 337,760 | 70,539 | 4,168,578 | |
Non-current assets | 31,652,369 | 1,666,965 | 152,467 | (534,448) | 32,937,353 |
Total assets | 35,412,648 | 2,004,725 | 223,006 | (534,448) | 37,105,931 |
Current liabilities | (3,822,871) | (245,680) | (11,093) | - (i) | (4,079,644) |
Non-current liabilities | (11,277,428) | (857,310) | (153,173) | 1,639,735 | (10,648,176) |
Total liabilities | (15,100,299) | (1,102,990) | (164,266) | 1,639,735 | (14,727,820) |
At 31 December 2024 | Real | Business | Other | ||
(Audited) | estate | services | services | Eliminations | Total |
QR'000 | QR'000 | QR'000 | QR'000 | QR'000 | |
Current assets | 4,002,081 | 373,026 | 64,174 | 4,439,281 | |
Non-current assets | 31,453,781 | 1,670,689 | 151,301 | (548,103) | 32,727,668 |
Total assets | 35,455,862 | 2,043,715 | 215,475 | (548,103) | 37,166,949 |
Current liabilities | (3,132,132) | (290,179) | (19,999) | (3,442,310) | |
Non-current liabilities | (11,798,429) | (843,115) | (133,124) | 1,535,306 | (11,239,362) |
Total liabilities | (14,930,561) | (1,133,294) | (153,123) | 1,535,306 | (14,681,672) |
(i) The Group is currently in the process of negotiating the rescheduling of part of the obligations to enhance the Group's liquidity.
Notes to the interim condensed consolidated financial statements
29 SEGMENT INFORMATION (CONTINUED)
Geographic segments
The geographic segments in 2025 are presented as follows:
98 % of the group's assets are located in the State of Qatar.
97 '» of the group's revenues have been generated in the State of Qatar. 92 '» of the group's net profit has been recognized in the State of Qatar.
The Group's revenue from external parties and information about its segment of non- current assets by geographical location are detailed below:
Revenue from external ponies
Non-current assets
50Jtzne 2025 QR'000 | 30 June 2024 QR'000 | 30 June 2025 QR'O00 | 31 December 2024 QR'000 | ||
State of Qatar | 1,208,714 | 1,103,259 | 32,290,077 | 32,091,337 | |
Other GCC countries | 20,414 | 9,045 | 548,885 | 548,799 | |
Europe & North Africa | 83,088 | 98,391 | 87,532 | ||
1,240,263 | 1,195,392 | 32,937,353 | 32,727,668 | ||
30 DIVIDENDS
The shareholders of the Parent Company approved at the Annual General Meeting (AGM) held on 10 March 2025 a cash dividend of QR 0.180 per share, amounting to QR 700,424 thousand from the profit of 2024 (2024: AGM held on S March 2024 approved a cash dividend of QR 0.18 per share, amounting to QR 700,424 thousand from the profit of 2023).