Company’s pre-tax profits up by 178 percent
Property Company, The Far Property, has announced a surge in revenue despite the industry currently under constrain.
The company, whose directors include former President Festus Mogae and his friend turned foe,Choppies CEO, RamachandranOttapathu, announced a profit before income tax of P94.3 million, an increase from P36.2 million recorded during the same period last year.
Far Property’s revenue also went up by eight percent for the year ended 30 June 2019, going from P134 million in June 2018 to P145.5 million this year.
Far Property invests in various portfolios, including industrial, commercial and residential.
Despite the depressed rental yield, Far Property yield in that field remained solid at 10 percent.Profit after tax increased by 178 percent while revenue reached P10.648 million.
However, the majority of its investments are in the industrial sector, which makes up 55 percent of its total portfolio followed by commercial at 35 percent.
The total value of the portfolio stands at P1.48 billion with the company eyeing more investments backed by land bank availability.
The Far Property has also announced plans to diversify the portfolio by bringing better yield and stable currency properties.
In addition, it is also seriously considering diversifying its residential portfolio as well as weighing options to exit volatile markets.
Regarding dividends, Far Property will distribute 17.60 thebe, comprising 17.44 thebe interest and 0.16 thebe dividend per linked unit for the year ended 30 June 2019.
The distribution was declared on June 24 and will be paid on the 11th of October this year.
As a way to support the company’s continued growth, Far Property board has offered unitholders the option of receiving linked units in lieu of cash distribution up to 100 percent of their net distribution.