Overseas Realty records Rs. 1.7b PAT

Overseas Realty (Ceylon) PLC recorded steady growth and registered its highest Group Net Profit after tax (excluding fair value gains) of Rs. 1,711 million an increase of 89% over the previous year.

The Group Revenue grew by 149% to Rs. 4,857 million and the Group Net Profit after tax including fair value gains grew by 7% to Rs. 2,641 million.

This was achieved in spite of a reduction in fair value gains on investment property from Rs. 1,563 million in 2012 to Rs. 930 million in 2013.

The World Trade Centre (WTC) is in a pre-eminent location in Colombo. The company provides excellent facilities and services to the occupants of this complex, which supported the increase in the average occupancy to 98%. With the increase in the average rental rates by around 19% the company recorded significant earnings growth during 2013.

During 2013 the planned program was achieved in the construction of Havelock City, Phase 2 residential development. This comprises two towers with 219 luxury apartments which is expected to be completed by mid-2014.

The revenue from the sale of these apartments amounted to Rs. 3,190 million.

Marketing of Phase 3 of Havelock City residential development was launched along with the opening of the Clubhouse in November 2013.

The Net Assets Per Share increased from Rs. 26.04 in 2012 to Rs. 28.67 in 2013. The Earnings Per Share was Rs. 2.89 compared to Rs. 2.93 in 2012 and EPS (excluding fair value gains) was Rs.1.79 (Rs. 1.07 in 2012).

"The property sector is a direct beneficiary of sustainable economic growth, stability and business confidence, and we are confident our property development and management businesses will perform satisfactorily in the years to come," said Group CEO Overseas Realty (Ceylon )PLC, Pravir Samarasinghe.