ZIMBABWE Stock Exchange-listed concern Pearl Properties’ profit for the six months to June was up 22,2% to $ 1,9 million driven by growth in net property income, the company has announced.
Basic earnings per share rose to $0,159 from $0,130.
Net property income for the six months was, according to the company, 8,4% up to 3,86 million due to growth registered in rental income and a decline in property expenses. Despite achieving growth in revenue, administration expenses rose to $1,8 million for the six months ended June 30 2013 compared to $1,7 million.
Speaking at the company’s analyst briefing yesterday, Pearl Properties finance executive Peddy Chigundura said the property sales market was relatively stable during the first half of the year with activity largely restricted to the low value transaction in residential stands, flats and houses.
Property expenses for the six months totalled $650 000, down 1,3% compared to the comparative period in 2012.
The company said administration expenses, however, rose 6,8% up to $1,84 million due to the increase in advertising expenses and group shared services .
“The realisation of the growth potential of the local economy hinges on the creation of a predictable and sustainable macro-economic policy framework that encourages and supports capital formation in the various key sectors, including the real estate industry,” the company said.
In 2011, the company invested $1,2 million in the George Square shopping centre at Kamfinsa, while $2,7 million was invested in the Kamfinsa cluster housing project.