Dubai-based Nakheel Real Estate Development Company posted a 69% drop in the fourth quarter of last year, as lower real estate prices forced construction and engineering firms to cut jobs and halt expansion plans.
According to Reuters calculations, Nakheel made a profit of 520 million dirhams ($ 141.6 million) between October and December, down from 1.67 billion a year earlier. But the company did not announce revenue.
The company, which has built a palm-shaped island in Dubai, said Wednesday its annual profit was 4.38 billion dirhams ($ 1.2 billion) in 2018, down from 5.67 billion dirhams a year earlier.
Nakheel has shed 300 employees recently, Zawya Middle East News reported on Tuesday.
A special survey revealed yesterday a significant decline in employment in the private sector in the UAE under pressure from the decline in selling prices.
The survey, carried out by Emirates NBD, said some companies were working with minimal staff in a bid to cut costs.
"We continue to improve efficiency by applying policies, such as outsourcing to non-core positions, in the best interests of our shareholders in the long term," a Nakheel spokeswoman told Reuters.
Last month, Damac Properties announced a drop of 87% in the fourth quarter.