Amlak tumbles into red as writedowns weigh

Amlak Finance, the home finance company in merger talks with its rival Tamweel, lost Dh67 million (US$18.2m) in the second quarter as it took provisions on mortgages made on incomplete properties.

The sharia-compliant finance firm based in Dubai had reported a net profit of Dh145m for the same period a year earlier, it said.

“The loss in the second quarter was inevitable, as Amlak had to make higher general provisions for the financing portfolio,” Ali Ibrahim Mohammed, the vice chairman of the firm, said in the statement.