Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search

 


Summerset 2Q sales growth stalls as development in focus

Summerset second quarter sales growth stalls as development in focus

By Tina Morrison

July 4 (BusinessDesk) - Second quarter growth stalled in the sale of occupation rights at retirement village operator Summerset Group as it focuses on developing villages for future growth.

Wellington-based Summerset sold 103 occupation rights in the second quarter, compared with 100 in the same quarter last year, the company said. That equates to growth of 3 percent, compared with a gain of 23 percent in the same quarter last year.

In the most recent quarter, new sales of occupation rights rose to 57 from 52 while resales slipped to 46 from 48, the company said.

In February, Summerset posted a doubling of annual profit to a record as sales of occupation rights in its retirement villages reached an all-time high. Still, chief executive Julian Cook said earnings growth may not be as fast in the current year as the company spends money to acquire sites and build villages ahead of making sales.

Shares in Summerset last traded at $3.40, and have gained 4.6 percent so far this year. The stock is rated an average 'hold' with a median price target of $3.71, according to analyst recommendations compiled by Reuters.

(BusinessDesk)

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

China Shopping: NZ-China FTA Upgrade Agreed Among Slew Of New Deals

New Zealand Prime Minister Bill English and China Premier Li Keqiang signed off a series of cooperation deals spanning trade, customs, travel and climate change and confirmed commencement of official talks on an upgrade to the nine-year old free-trade agreement between the two countries. More>>

ALSO:


Media: TVNZ Flags Job Cuts To Arrest Profit Decline

Chief executive Kevin Kenrick said the changes were aimed at creating "a sustainable future video content business for TVNZ in an ever-changing media market." More>>

ALSO:

Reserve Bank: Wheeler Keeps OCR At 1.75%

Reserve Bank governor Graeme Wheeler kept the official cash rate unchanged at 1.75 percent, as expected, and reiterated his view that the benchmark rate doesn't need shifting for the foreseeable future. More>>

ALSO:

Trade Plans: Prime Minister's Speech To International Business Forum

"The work to improve public services, build infrastructure, and solve social problems is possible only because we have enjoyed sustained, solid economic growth. A big reason for that is the Government’s consistent agenda of economic reform, and our determination to open up more opportunities for trade with the world." More>>

ALSO:

Get More From Scoop

 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news