Dur to pursue implementation of strategic plan, announces status of its project portfolio

Dur Hospitality Co. is pursuing the implementation of its strategic plan announced in 2013, according to the board of directors’ report for 2019.

The plan includes following up on the execution of its growth chart related to its facilities and projects portfolio, as well expanding the reach of "Makarem" trademark dedicated to Makkah and Madinah, to hit 10,000 rooms by 2028.

The plan also includes expanding the reach of “Shada” brand that offers national and cultural heritage services within the serviced apartments and medium-sized hotels sector. The company completed the acquisition of 60% stake in “Shada” and aims to expand across the Kingdom, reaching more than 3,400 rooms by 2025.

Dur is also working on developing a plan to expand its accommodation facilities to meet the expected tourists’ flow to several Saudi destinations.

The company announced the list of completed projects in 2019, in addition to those under development and execution, as well as those in the study or design phases.

The table below lists the completed projects in 2019:

Projects completed in 2019
Project	Details
DARRAQ project	DUR signed an agreement with Suliman Swayeh Group (SSG) to build the fifth phase of Darraq project, which comprises 55 residential units
Marriott Hotel project- Embassy district	The hotel includes 80 rooms and 140 hotel apartments, spread over an area of 250,000 square meters (sqm)
Dur Alwadi Residential	The project includes 66 apartments for the staff and the their families
Dur Twaiq Residential Complex	464 rooms for the company’s hotel employees on 7,000 sqm

The table below lists the projects under development and execution:

Projects under construction and development
Project	Details
Holiday Inn - Jubail	144 rooms & suites with an area of 10,000 sqm – It is expected to open in 2020
Makarem Ajyad Makkah Hotel - Renovations	Renovation and expansions of 411 rooms & suites - It is expected to open in 2020
Riyadh Airport Marriott Hotel	Adding 100 rooms & suites - It is expected to open in 2020
Makarem Annakheel Village - Expansion	Expanding the hotel and the resort which is located on Obhur Gulf in Jeddah
Makarem in Madinah	The project includes 400 rooms, located in the northern area of Al Masjid in Nabawi.
Developing Makarem Hotel with Al-Manakhah Company in Madinah	The project includes 1,365 rooms, located in Madinah

The table below lists the projects in the design and study phases:

Projects under study
Project	Details
Crown Plaza Hotel - 2nd stage of public areas development	Includes 304 rooms on an area of 1,400 sqm
Holiday Inn Al-Ahsa	Includes 60 rooms and 60 suites over an area of 10,135 sqm
Jeddah Hotel Courtyard & Residence Inn	Includes 238 residential units on an area of 3,850 sqm at Al-Madina road, Al-Mohammadiya district
Yanbu Courtyard Hotel & Residence Inn	The project comprises 150 residential units, divided into 90 hotel rooms and 60 hotel apartments, on an area of 7,500 sqm
Makarem Ajyad Makkah Hotel - Expansion	Adding a new building attached to the current one; features a unique location beside the Holy Mosque in Makkah
King Khalid Road land development in Riyadh	Includes 80 villas equipped with the latest services and equipment plus sports facilities on an area of 29,500 sqm
Dur AlHada Residential Compound	The project is expected to include 200 residential units over an area of 19,900 sqm

Shada’s projects under construction
Project	Details
Shada Hotel - Corniche - Jeddah	Includes 96 rooms
Shada Hotel – Satwa – Dubai	Includes 104 rooms
Shada Executive Hotel - Al Khalidiyyah - Jeddah	Includes 150 rooms
Shada Hotel – Jeddah	Includes 130 rooms
Shada Suites – Al Rayan – Riyadh	Includes 50 rooms
Shada Suites – Al Riddah – Jeddah	Includes 140 rooms
Shada Suites – Tabuk	Includes 61 rooms
Shada Hotel – Qurtubah – Riyadh	Includes 59 rooms

Dur’s sales revenue is distributed among 3 main regions within the Kingdom, including Riyadh, Makkah and Tabuk.

Sales by Region (SAR mln)
Period	Riyadh	Makkah	Tabuk	Total
2018	324.9	114.1	15.0	454.0
2019	428.8	110.5	14.5	553.8
Variation	+32%	(3%)	(3%)	+22%

The company reported a net profit after Zakat and tax of SAR 53 million for the fiscal year 2019, a 7% year-on-year (YoY) decrease, according to data compiled by Argaam.

The drop was attributed to higher cost of sales as the company incurred pre-opening costs, as well as operating expenses and amortization expenses of projects that entered into operational stage.

The company also cited the implementation of IFRS 16, and the accounting treatment of financial charges for completed projects.

For more reports

Comments {{getCommentCount()}}

Be the first to comment

رد{{comment.DisplayName}} على {{getCommenterName(comment.ParentThreadID)}}

Sorry: the validity period has ended to comment on this news

Opinions expressed in the comments section do not reflect the views of Argaam. Abusive comments of any kind will be removed. Political or religious commentary will not be tolerated.

Comments {{getCommentCount()}}

رد{{comment.DisplayName}} على {{getCommenterName(comment.ParentThreadID)}}

{{comment.DisplayName}}

Most Read

Market Indices

Quotes

Popular Links

Quick Links

About Us

Join Us

Follow Us