Summerset third-quarter sales lift 21% as Wigram village attracts new residents
Summerset Group lifted third-quarter sales 21% as the opening of the Wigram site in Christchurch attracted new residents.
Summerset Group lifted third-quarter sales 21% from a year earlier as the opening of the main building at the retirement village's Wigram site in Christchurch attracted new residents.
Sales of occupation rights rose to 196 in the three months ended September 30 from 162 a year earlier, the Wellington-based company said in a statement. Of that, new sales jumped 48% to 125, while resales fell 10% to 71.
"The past nine months has seen good growth for Summerset and strong demand for our offering," chief executive Julian Cook said. "Wigram village's main building in Christchurch opened in September, contributing to strong third quarter sales."
The retirement village operator and developer lifted first-half earnings 44% to $24.7 million as it generated a record 185 sales in the second quarter, and said it expected that momentum to continue with a new village set to open in Auckland's suburb of Ellerslie this month.
Summerset's year-to-date sales were 16% higher than a year earlier at 502, of which new sales were up 27% to 308 and resales up 2.6% to 194. The company said it had only 21 unsold resale stock as at September 30.
The company's shares last traded at $5.30 and have gained 31% this year, outpacing the 13% increase on the S&P/NZX All Index over the same period. The stock is rated an average 'hold' based on five analyst reports compiled by Reuters, with a median price target of $5.60.
(BusinessDesk)
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Paul McBeth
Wed, 05 Oct 2016
Wed, 05 Oct 2016
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Summerset third-quarter sales lift 21% as Wigram village attracts new residents
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