Published 22 February 2006
Australian leisure sector investor Macquarie Leisure Trust Group increased earnings by 36% to $A16.8 million as its Dreamworld theme park, d’Albora Marina and Bowling portfolios continued to perform strongly.Spending/head grew 5%, largely due to improved yield management of entry pricing and emphasis on in-park product offers, raising Dreamworld’s revenue 9.1% to $A45.4 million.Earnings/security rose 22% to 9.37c. Both the overall profit & earnings/security excluded revaluations & international financial reporting standards finance costs relating to the classification of equity.
Distributions have been increased 35% to A7c/unit.
The trust has secured development approval for Dreamworld Waterpark and Southern Star has agreed to extend the Big Brother television show’s affiliation with Dreamworld for a further 3 years.
Chief executive Greg Shaw said d’Albora Marinas was positioned for growth by redeveloping existing assets. The business increased revenue by 8.6% to $A9.1 million: “Improvements in berthing and land revenues made the most significant contribution to this result, growing by 14.8% & 15.7% respectively.” Mr Shaw said a general tightening of yields and growing interest in well located marina facilities had helped push asset values higher: “Our portfolio occupies prime locations in Australia’s most popular waterways and we are confident demand fundamentals for recreational berthing will remain strong in the foreseeable future.”The bowling business will spend $A14-16 million over the next 2 years refurbishing 13 centres, with a target 12-15% initial return and aims of capturing the children’s birthday party, family & league markets. It’s also acquired the Garden City bowling centre in Christchurch for $NZ3.275 million, conditional on assignment of the property lease & transfer of operating licences. Settlement is anticipated in March.
Attribution: Press release, story written by Bob Dey for this website.