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- Property developer Finbar Group (FRI) has announced improved net profits from the first half of the 2020 financial year
- The company generated A$6.64 million in net profit, which is almost A$5 million more than the previous corresponding period
- This is largely due to a rise in profitability of two apartment complexes in Perth and Karratha over the last six months
- Based on these strong numbers, the company predicts a full-year net profit of A$14 million
- Finbar is remains flat with shares trading for 91.5 cents each
Property developer, Finbar Group (FRI) performed well over the first half of FY2020, generating A$6.64 million in net profit.
Over the same period in 2018, the company generated A$1.89 million in net profit, making this a considerable increase in profitability.
This is largely due to two apartment complexes in Perth and Karratha becoming profitable over the last six months. The company stated that the Karratha complex’s improvement is likely a result of an improving economic environment across the Pilbara region.
The company’s also completed stage one sales at its Palmyra East property, which further contributed to the high figures.
The company’s strong profits have left Darren Pateman, Finbar’s Managing Director, optimistic about the coming six months.
“Despite ongoing global uncertainty which now appears to be focused around the long-term economic impacts of COVID-19, I am encouraged by the improvement in trading conditions that we have experienced in the calendar year to date.
“We believe this will play well into the timing of the release of both Aurora and Civic Heart in the following weeks and months,” he said.
Aurora and Civic Heart are both Perth-based apartment buildings set to commence in 2020.
The company’s latest figures indicate that Perth’s residential market may well improve over the coming year. Pateman went on to say the company is well positioned to take advantage of any uplifts in sales that this may cause.
On the back of this strong first half, Finbar Group predicts a full-year net profit of around 14 million.
Finbar Group (FRI) is trading flat this morning with shares trading for 91.5 cents each.
