Mirvac reaffirms positive message
Mirvac Group (MGR) said the group was seeing a number of positive signs in the marketplace, and despite expressing caution, also said it was confident of its direction. Writing in the company’s half-year report this morning, managing director, Nick Collishaw, said that capital management initiatives in the last 18 months meant the group was in a strong position to capitalise on opportunities when they arise.
The property group reported, for the six months to 31 December 2009, a net profit after tax of $47.2 million and an operating profit of $129.4 million.
As has been reported previously Mirvac said that the result of the successful acquisition of the separately listed Mirvac Real Estate Investment Trust in December 2009, had prompted the company to revise its earnings guidance for the 2010 financial year, with earnings per security at 9.2c and the distribution per security remaining at 8.0c – 9.0c.
The company however also struck a cautious tone.
“Nevertheless, the impact on affordability from rising mortgage rates and higher prices, and the removal of the first home buyer boost scheme is expected to moderate the rate of further price growth,” Mirvac noted.
Mirvac shares closed Tuesday at $1.48.
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