Property developer Villa World, has joined the much larger Mirvac and Stockland in riding the property boom in the year to June 30 – even if it was partly in the slower south east Queensland market.
The company told the ASX yesterday that net profit for the year to June jumped 31.5% to $33.7 million as settlements of new house and land packages rose by almost one-third.
And the company confidently forecast an improvement this financial year – though not at the same hectic rate.
Villa World said that the continued strength in the affordable house-and-land segments of its main Queensland and Victorian markets would push that figure “at least” 5% higher this year.
Villa World will pay a final dividend of 10 cents a share, bringing its full-year payout to 18 cents a share, up from 16 cents.
Sales of 1,185 for the year were within the company’s target range between 1,000 and 1,200. But the company has decided not to issue sales targets this year claiming they are a distraction from other figures such as settlements and profit margin.
Despite the impressive growth numbers, the shares lost 2.7% to end at $2.44.
