Listed Goodman Property Trust's results for the six months to September reveal its debt levels have increased and it suffered a loss of more than $100 million after it had to wipe $131 million from its balance sheet due to tax changes around depreciation.
Listed Goodman Property Trust’s results for the six months to September reveal its debt levels have increased and it suffered a loss of more than $100 million after it had to wipe $131 million from its balance sheet due to tax changes around depreciation.
Its after tax profit was $30.9 million, but once the $131 million adjustment under new tax regulations was taken into account the company was left with a $100.8 million and that its net asset backing was reduced.
“The deferred tax liability will not result in any payment of tax under current tax legislation and will have no impact on GMT’s operating profitability, cashflows or distributions but it does contribute to a reduction in net tangible asset backing to 82.3 cents per unit,” Goodman Property Trust said this morning.
This time last year its gearing was at 35.5% but now it has risen to 37% which is still within its 35% to 40% gearing target range.
It stuck to the lower end of the 8.6 to 8.8 cents a unit earnings guidance it gave in May, at 8.6 cents a unit which would mean a full year cash distribution of 7.74 cents a unit.
The trust’s assets include Highbrook Business Park in East Tamaki, M20 Business Park in Wiri and Air New Zealand House in central Auckland.
At press time its shares were down 1.02% to 97c a unit.
MORE TO COME
