Overseas Realty records profit of Rs. 2.6 b

Tuesday, 4 March 2014 00:49 -     - {{hitsCtrl.values.hits}}

Overseas Realty (Ceylon) PLC recorded steady growth and registered its highest group net profit after tax (excluding fair value gains) of Rs. 1,711 m – an increase of 89% over the previous year. Group revenue grew by 149% to Rs. 4,857 m and group net profit after tax including fair value gains grew by 7% to Rs. 2,641 m. This was achieved in spite of a reduction in fair value gains on investment property from Rs. 1,563 m in 2012 to Rs. 930 m in 2013. The WTC is situated in a pre-eminent location in the business capital of Colombo. The company continues to provide excellent facilities and services to the occupants of this business complex, which supported the increase in the average occupancy to 98% during the financial year under review. Together with the increase in the average rental rates by around 19% the company was able to record significant earnings growth during 2013. During 2013 the planned program was achieved in the construction of the Havelock City, Phase 2 residential development.  This comprises two towers with 219 luxury apartments expected to be completed by mid-2014. The relevant revenue recognised from the sale of these apartments amounted to Rs. 3,190 m. Marketing of Phase 3 of the Havelock City residential development was launched along with the opening of the Clubhouse in November 2013. Net assets per share increased from Rs. 26.04 in 2012 to Rs. 28.67 in 2013. Earnings per share for the year under review was Rs. 2.89 compared to Rs. 2.93 in 2012 and EPS (excluding fair value gains) was Rs.1.79 (Rs. 1.07 in 2012). “The property sector is a direct beneficiary of sustainable economic growth, stability and business confidence and we are confident our property development and management businesses will perform satisfactorily in the years to come,” stated Overseas Realty (Ceylon) PLC Group CEO Pravir Samarasinghe.