Premium Properties posts positive results
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Listed property group Premium Properties (PMM) has declared a 39.8% rise in its distribution per linked unit for the six months to end-August 2004, to 22.5 cents from 16.1 cents a year earlier.
The group reported fully weighted and diluted headline earnings per share of 22.92 cents, a 41.2% increase on the 16.23 cents recorded the previous year.
Premium said revenues had risen 19.5% to 63.7 million rand from 53.3 million rand a year earlier, while net
property income was 12.3% up at 39.7 million rand from 35.4 million rand previously.
Net rental income from the group`s properties came in at 41.6 million rand, up from 35.1 million rand the previous year, and investment income rose to 2.4 million rand from 1.1 million rand.
Cash at year-end was 2.1 million rand, versus 1.3 million rand a year earlier.
The group`s assets totalled 715.6 million rand, compared to 696.6 million rand previously, while net asset value per linked unit was reported at 310 cents, versus 309 cents at the 2003 interim stage.
Premium said significant reductions in financing costs had contributed to the fund`s exceptional growth in earnings and distribution for the six months.
Borrowings equated to 42.9% of the value of its property portfolio, and interest rates in respect of 74% of borrowings at period-end had been fixed at various maturity dates.
Looking ahead, the company said the property market, and in particular the Pretoria CBD office and residential sectors, in which it focused its operations, had performed well.
Management believed that, subject to prevailing market conditions and interest rates remaining constant, Premium`s distributable income for the next six months would be in line with the current distribution.
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