Property investments boost Mirvac profit
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Property developer Mirvac Group has more than doubled its full year profit thanks to higher property values and the sale of its hotel management business.
Mirvac made a net profit of $416.1 million in the year to June 30, up from $182.6 million in the previous year.
The result included a $148.7 million gain on Mirvac's investment properties, plus a $21.4 million profit from the sale of its hotel management business during the year.
Managing director Nicholas Collishawsaid the profit growth came at a time when conditions in many parts of the property sector were not buoyant.
Mirvac on Tuesday forecast a slight increase in its earnings per share and dividends for the 2012/13 financial year.
The company's operating earnings per share in the year to June were 10.7 cents per security, and it has forecast that to be 10.7 cents to 10.8 cents per security in 2012/13.
Mirvac declared a full year distribution of 8.4 cents per security for the year to June, and says it expects to pay a distribution of 8.5 cents to 8.7 cents per security in 2012/13.
"Following the sale of the hotel management business, the business simplification process is largely complete," Mr Collishaw said in a statement.
"The group remains focused on being an Australian real estate expert concentrating on its two core divisions (investment and development)."