Revenue at real estate firm Azorim Investment, Development and Construction Ltd. (TASE: AZRM) rose 84.3% in the second quarter, due in large part to profits it realized on property sales and higher fair value assessments. The company, headed by Shaya Boymelgreen, reported second quarter results today. Revenue reached NIS 536 million, an increase of 84.3% over the corresponding quarter of 2007, when revenue only reached NIS 290.85 million. Net profit was NIS 17.3 million, of which 17.2 was attributable to majority shareholders. The remainder was attributable to minority interests.
Operating profit jumped 274% to NSI 152 million, primarily on the strength of profits the firm realized on property sold. In June, Azorim sold residential land in the "Ir Hayamim" (Sea City) project in Netanya to YH Dimri Construction & Development Ltd. (TASE: DIMRI) for NIS 123 million. The firm recorded a pre-tax profit on the sale of NIS 66 million.
The company also joined the developers of Tel Aviv's "New City" venture and will build the 1,700-unit apartment complex for the New City developers.
Azorim also recorded higher fair value assessments of its investment properties. In all, its land was revalued higher by NIS 60 million.
Published by Globes [online], Israel business news - www.globes-online.com - on August 25, 2008
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