15 May 2013

Goodman Property Trust profit rises

7:22 pm on 15 May 2013

The manager of Goodman Property Trust says annual net profit rose more than 92% with a strengthening investment market and improved valuations contributing to the strong result.

Distributable profit was up 12.6%.

The manager's chief executive John Dakin says a major highlight was the successful purchase of the rest of the Highbrook Business Park in Auckland.

"We've also had a number of development completions during the year that have added to earnings, so that's the likes of Supercheap, we built a big facility for them, Panasonic and Stanley Black & Decker, those types of developments and also we've had a positive revalution result across the portfolio."

The purchase, with its associated $90 million equity raising, has meant Goodman now has the largest market capitalisation in the listed property sector at nearly $1.4 billion.

The manager says the more positive economic outlook and recent management initiatives are expected to support continued strong operating results.

After paying out 6.25 cents per unit in cash for the year just gone, the manager expects the trust will pay out between 8.2 and 8.4 cents per unit before tax with cash distributions no less than 6.25 cents this year.