Seismic fallout hits Kiwi Income
Kiwi Income Property's interim result reflects earthquake effects.
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EARNINGS
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Listed Kiwi Income Property Trust’s share price eased slightly following its interim profit announcement yesterday.
The company announced a distributable profit available for shareholders of $36 million for the half year ending September 2011, which is 9% ahead of the same period last year.
It was achieved on revenue of $102 million before various operational and financing expenses.
But the result also included unusual items such as $71.2 million of insurance proceeds recognised as income.
“This reflects the mid-point of the trust’s submitted claim and the insurer’s offer.”
Other write offs relating to the PricewaterhouseCoopers Centre in Christchurch reduced the final after tax profit including unusual items to $1.5 million.
The trust has submitted a claim related to the PricewaterhouseCooopers Centre (to be demolished) of $94.9 million, which includes business interruption. The building was previously in the books at about $50 million.
Other highlights included the sale of two properties for $8.4 million; progress on development of the ASB head office development at Auckland’s Wynyard Quarter; completion of a new foodcourt Centre Place Shopping Centre in Hamilton and planned $39 million revamp; strong sales at Northlands Shopping Centre in Christchurch; 92 new leases and renewals; 341 rent reviews resulting in an average 4.5% rental rise; plans to undertake earthquake strengthening to the Majestic Centre in Wellington at an estimated cost of $35 million.
Chris Hutching
Thu, 17 Nov 2011
Thu, 17 Nov 2011
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Seismic fallout hits Kiwi Income
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