Argosy Property Ltd lifted its net profit by 36% to $134 million in the March year, including a 49% lift in revaluation gains.
- Pretax profit up 31% to $143.3 million ($109.3 million)
- Net profit after tax up 36.1% to $133.7 million ($98.2 million)
- Net property income $102.5 million ($101 million)
- Revaluation gains up 49% to $70.5 million ($47.3 million)
- Realised gains on disposal of investment property $6.1 million ($292,000)
- Basic & diluted earnings/share up 35.8% to 16.16c (11.9c)
- Total non-current assets $1.67 billion ($1.5 billion)
- Diversified term debt with a $100 million 7-year green bond
- Full-year dividend 6.275c/share
- Net tangible assets up 9% to $1.22 ($1.12)
- Debt:total assets ratio, excluding capitalised borrowing costs, 35.6% (35.9%)
- Interest expense down 4.9% to $24.3 million
Chief executive Peter Mence said yesterday that post-revaluation the portfolio showed a contract rent on values of 6.41% and a yield on fully let market rentals of 6.65%.
Argosy completed 44 lease transactions – 21 new leases, 12 renewals & 11 extensions – on 81,274m² of net lettable area.
Mr Mence said the portfolio was 1.3% under-rented, excluding market rentals on vacant space.
- Weighted average lease term 6.14 years (6.08 years)
- Occupancy 97.7% (98.8%)
- $45.4 million of non-core assets divested, significantly above book values
- Strategic acquisitions of $35.3 million, adding value to adjacent sites and underpinning longer-term strategic growth opportunities
- New 12-year lease to Housing NZ at 107 Carlton Gore Rd, Newmarket; the lease for the entire 6,100m² building is on the back of a $12 million redevelopment & refurbishment project which will see the building target both Green Star and NabersNZ ratings.
- 23 Customs St, Auckland, vacancy halved to 1500m² – levels 6 & 7 & part of level 13 remain vacant.
Attribution: Company release.