Marka registers net loss of Dh8.37 million in first quarter
Additional deals to close by third quarter of 2015, to become profitable in 2016
Dubai: Fashion retailer Marka said on Thursday it registered a net loss of Dh8.37 million during the first quarter to March. The result does not reflect recent acquisitions or operational activities, it added.
The company said in a statement that it has completed the acquisition of Retailcorp UAE Ltd, and also added 155,985 square feet of retail space across the UAE to its portfolio with Retailcorp acquisition.
It also completed acquisition of 60 per cent stake in Cheeky Monkeys Playland & Sweet Surprise.
More deals
“During the first quarter, Marka achieved major milestones including the completion of two acquisitions, with significant progress on additional deals which we expect to close by third quarter of 2015,” Khaled Almheiri, Vice-Chairman and Managing Director of Marka said in a statement. He added that Marka continues to make progress on its business plan and achieve significant milestones across all three business divisions.
“Once the acquisitions completed during the period are consolidated, we anticipate that the company will enter profitability within 2016, significantly ahead of the IPO forecast,” Almeheiri said.
He recently said that the company is “confident that 2015 will be a watershed year in Marka’s development with distinguished, exciting and financially profitable projects” being launched at a quick pace. “We have an ambitious, multifaceted growth strategy that is aimed at generating long-term value for our shareholders.”
Earlier in January, the company had hinted of looking at a number of acquisitions both within and outside the UAE, with a particular focus on sports, retail and food & beverage.
Shares of Marka ended at Dh1.23 on May 6 on the Dubai bourse. The shares did not trade on Thursday.
