Amlak Finance P.J.S.C., a prominent financial institution in the United Arab Emirates, has reported an impressive financial performance for the third quarter of 2025. The company announced a net profit after tax of AED 1.95 billion, a substantial increase from AED 15.92 million in the same period last year. This remarkable growth is primarily attributed to the strategic sale of the Ras Al Khor land plots, which generated proceeds of AED 2.9 billion.

The total income for Q3 2025 soared to AED 3.10 billion, compared to AED 101 million in Q3 2024. The sale of the Ras Al Khor land bank alone contributed a gain of AED 2.14 billion. This strategic divestment highlights Amlak's adeptness in capitalizing on its real estate assets to bolster its financial standing.

Moreover, Amlak Finance successfully exited the Common Terms Agreement by settling financial obligations totaling AED 906 million with six financiers. This move has effectively released all pledges, securities, and mortgages, further strengthening the company's financial position.

Operating costs also saw a reduction, decreasing by 7% to AED 54 million in Q3 2025, down from AED 58 million in the previous year. This cost efficiency, alongside substantial revenue gains, underscores Amlak's commitment to prudent financial management.

In addition to its UAE operations, Amlak's regional investments contributed AED 5 million in income during the quarter. The company has also taken steps to divest its subsidiary in Egypt, entering a sale and purchase agreement for EGP 400 million, and has fully divested its investment in an associate in Saudi Arabia.

Given the company's robust financial performance and strategic maneuvers, Amlak Finance appears to be on a solid trajectory. However, potential investors should consider the inherent risks and market conditions before making investment decisions. Therefore, a 'hold' recommendation is suggested for those currently invested, allowing time to assess future market developments and company performance.