Johannesburg - Listed Investec Property Fund (IPF) said its acquisition of Zenprop in September had propelled the company to achieve a 25 percent increase in profit after tax to R1.11 billion for the year to end March, up from R884.7 million in the comparable period last year.
The group’s revenue increased 41.19 percent to R1.19bn, up from R846.4m in the previous year and operating profit jumped to R967.6m against R683.1m.
Chief executive Nick Riley said headline earnings a share grew to 165.24 cents compared with 142.17c reported in the previous year.
Transformative
“The performance by the fund in a transformative year is testament to the quality and defensive nature of the portfolio, delivering normalised dividend growth of 6.1 percent exceeding market consensus and guidance,” Riley said.
“This was achieved in an environment of global macroeconomic uncertainty, subdued local economic activity and the dilutionary impact of the strategic Zenprop acquisition.”
Riley said the group had 122 properties in South Africa with a total gross lettable area of 1 300 278 square metres valued at R16.5bn – more than double the R8.2bn it had last year.
He said IPF also had R500m investment in Investec Australia Property Fund (IAPF).
The group said the acquisitions of Zenprop and Griffin enhanced the real estate fundamentals in line with its objective to optimise long-term income and capital returns for investors.
The board of directors announced a full-year dividend of 124.66 cents a share for the year ended representing growth of 6.09 percent for the full year.
IPF share price dropped 0.97 percent on the JSE yesterday to close at R14.25.
BUSINESS REPORT