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

 


DNZ Property targets minimum 2.5% annual dividend growth

DNZ Property targets minimum 2.5% annual dividend growth

By Paul McBeth

Sept. 5 (BusinessDesk) - DNZ Property Fund, the country's sixth-biggest listed property investor by market value, wants to lift its dividends by at least 2.5 percent a year after the board evaluated the current market and make-up of the firm's property portfolio.

The property investor expects to pay a dividend of 9.5 cents per share in the 2015 financial year, up from 9 cents a year earlier, and expects that return to lift every year, chairman Tim Storey told shareholders in Auckland. DNZ operates a dividend policy of paying between 95 percent and 100 percent of distributable profit, a practice Storey described as "prudent and good practice" to maintain the company's financial position.

"After a careful review, we are confident that DNZ can continue to deliver a positive dividend growth path," Storey said, according to speech notes published on the NZX. "That target takes into account current market conditions and outlook, portfolio review and expiry profile, completion of the Westgate project and planned divestment activity, and is based on the current distribution policy."

Shares of DNZ were unchanged at $1.735, giving the stock a dividend yield of 5.24 percent.

DNZ appointed Peter Alexander as chief executive this year, and tasked the former Auckland International Airport executive with restructuring the property company to boost returns.

Alexander told shareholders DNZ cut staff numbers by 15 percent, and anticipates savings of about $1 million a year, coming into full-effect from the 2016 financial year.

"In making the changes, we took particular care to ensure that the company is fully resourced to continue business as usual activity, as well as successfully deliver important initiatives such as the Westgate project," Alexander said.

Construction on DNZ's Westgate mall development began earlier this year, and Alexander said the firm will be strongly focused on having the site fully leased and open for business in October next year.

Work on DNZ's other major retail development, Johnsonville Mall, was deferred last year, and Alexander today said the company is reviewing the project due to changes in the economic and retail environments. DNZ expects to have some preliminary conclusions on the review by early next year, he said.

(BusinessDesk)

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

Season Ends: Is Whitebaiting Sustainable?

The whitebait fry - considered a delicacy by many - are the juveniles of five species of galaxiid, four of which are considered threatened or declining. The SMC asked freshwater experts for their views on the sustainability of the whitebait fishery and whether we're doing enough to monitor the five species of galaxiid that make up whitebait. More>>

ALSO:

Crown Accounts: Smaller-Than-Expected Four-Month Deficit

The New Zealand government's accounts recorded a smaller-than-forecast deficit in the first four months of the fiscal year on a higher-than-expected inflow of corporate and goods and services tax. More>>

ALSO:

On For Christmas: KiwiRail Ferries Back In Full Operation After Quake

KiwiRail’s Interislander ferries are back in full operation for the first time since the Kaikoura earthquake, with the railspan that allows rail wagons to be loaded on the Aratere now restored. More>>

ALSO:

Comerce Commission Investigation: Prosecutions Over Steel Mesh Labelling

Steel & Tube Holdings, along with two other companies, will be prosecuted by the Commerce Commission following the regulator's investigation into seismic steel mesh, while Fletcher Building's steel division has been given a warning. More>>

ALSO:

Wine: 20% Of Marlborough Storage Tanks Damaged By Quake

An estimated 20 percent of wine storage tanks in the Marlborough region, the country’s largest wine producing area, have been damaged by the impact of the recent Kaikoura earthquake. More>>

ALSO:

ACC: Levy Recommendations For 2017 – 2019 Period

• For car owners, a 13% reduction in the average Motor Vehicle levy • For businesses, a 10% reduction in the average Work levy, and changes to workplace safety incentive products • For employees, due to an increase in claims volumes and costs, a 3% increase in the Earners’ levy. More>>

Women's Affairs: Government Accepts Recommendations On Pay Equity

The Government will update the Equal Pay Act and amend the Employment Relations Act to implement recommendations of the Joint Working Group on Pay Equity. More>>

ALSO:

Get More From Scoop

 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news