Sharechat Logo

Property for Industry hikes annual earnings guidance on strong leasing

Thursday 14th December 2017

Text too small?

Property for Industry raised annual earnings guidance as the industrial real estate investor benefited from stronger leasing since its half-year result. 

The Auckland-based company expects distributable profit of 8 cents per share in the year ending March 31, up from already increased guidance of 7.7-to-7.9 cents, and up from 7.58 cents a year earlier, it said in a statement. 

"The second half of 2017 has delivered strong leasing outcomes, continuing the trend we reported on in our interim results announcement in August," chair Peter Masfen said. "A series of important strategic initiatives have also been completed during the year, with the internalisation of management, portfolio acquisition, rights offer and bond offer all contributing to a successful year." 

The real estate investor raised $100 million in a bond offer last month to repay existing bank debt, with the listed debt market continuing to offer attractive funding relative to bank loans. That followed a $69.5 million acquisition of nine properties which was paid for through a rights issue. 

PFI today said the 92 properties in its portfolio increased 3.8 percent in value to $1.21 billion from a year earlier, including the recent acquisition and some capital spending. 

"A key driver of this valuation outcome was the successful leasing of nearly 88,000 square metres - representing circa 12 percent of PFI's existing portfolio - during the year to date," it said. 

The company affirmed dividend guidance of 7.45 cents per share. 

The stock was unchanged at $1.635, having increased 4.2 percent so far this year. 

(BusinessDesk)



  General Finance Advertising    

Comments from our readers

No comments yet

Add your comment:
Your name:
Your email:
Not displayed to the public
Comment:
Comments to Sharechat go through an approval process. Comments which are defamatory, abusive or in some way deemed inappropriate will not be approved. It is allowable to use some form of non-de-plume for your name, however we recommend real email addresses are used. Comments from free email addresses such as Gmail, Yahoo, Hotmail, etc may not be approved.

Related News:

SML - Synlait Milk Limited - Trading Halt of Securities
AIA - Auckland Airport announces board chair changes
AIA - Auckland Airport announces board chair changes
CEN - Tauhara commissioning progress update
FPH initiates voluntary limited recall
March 28th Morning Report
KFL Celebrates 20 Years of Excellence in Investment Mgmt.
SVR - Savor FY24 Earnings Guidance & Change in Banking Partner
NZK - NZ King Salmon Investments Limited FY24 Results
March 27th Morning Report