This article is from the Australian Property Journal archive
Valad has reported a record net profit rise of 190% from $23 million to $66.8 million for the six months to December 31, 2006.
The group’s underlying profit after tax, which excludes a $39.4 million revaluation gain, was $31.2 million – up 24% over $25.1 million in December 2005.
Valad’s revenue was up 28% from $42.6 million in December 2005 to $54.7 million.
The group has declared a distribution of 5.40 cents per security for period, up 4.9% when compared to last year.
Executive chairman Stephen Day said following the announcement last week of Valad’s expansion into Europe the group is well positioned to achieve significant growth.
Last week, Valad announced a $294 million investment in the $1.26 billion Crownstone European Properties Limited portfolio. Day said Valad’s Crownstone investment and the two VCS investments in New Zealand represent a new phase of significant growth for Valad.
“We are accessing a global pipeline of potential assets for investment and growth of our managed funds platform. Valad is reviewing potential investments in Japan and is seeking further European investments as its business expands towards a global platform,” he dded.
Following Crownstone, Valad has total assets under management of $5.3 billion.
In H1FY07 Valad announced the sale of its 50% stake in BankWest Tower for $134 million, having acquired it in 2002 for $92.5 million.
In the first half, Valad transacted on properties with end value of approximately $925 million, of which more than $600 million were acquisitions – 90% were made off-market.
Looking ahead, Day upgraded Valad’s full year 2007 forecast distribution to 11.07 cents per security (up 7.5% from FY06).
“Valad intends to achieve EPS and DPS growth in excess of its peer group through growth in funds and assets under management.
“This will be driven by Valad’s reputation in investor markets including listed, unlisted, wholesale and retail. We will continue to focus on investor return on equity and utilise Valad’s proven development and value adding skills for the creation of assets for new funds management platforms,” he concluded.
Australian Property Journal
