CDL Investments NZ Ltd increased profit after tax by 44.1% to $13.4 million in 2013 ($9.3 million in 2012) as land sales & development increased. Pretax profit rose by $5.7 million to $18.6 million on sales up 64% to $18.6 million from 202 section sales (123 the previous year).
Shareholders’ funds stood at $118.9 million ($106.5 million in 2012) at 31 December, just short of total assets at $120.3 million ($108 million). CDL had net tangible assets/share (at book value) of 43.3c (39.6c) and earnings/share of 4.92c (3.5c). Chairman Wong Hong Ren said on Friday the independent value of CDL’s landholdings at 31 December was $177.5 million ($157.9 million). The company acquired 5.5ha in Auckland during the year.
Mr Wong said the Reserve Bank’s decision to lift the loan:value ratio restrictions for new-build homes would have a positive impact on CDL’s section sales: “Our focus for 2014 will be ensuring that the company has sufficient stock to continue to sell & develop at a positive rate. Our sales activity will again be focused in Auckland, Hamilton & Canterbury and we are excited by the prospect of our first sales at Prestons Rd, Christchurch by the end of the year.”
The company will pay an increased fully imputed ordinary dividend of 2c/share and its dividend reinvestment plan will apply.
Attribution: Company release.