has loss for year

Press, 26 February 1987, Page 26

has loss for year

Mainstay Properties, Ltd, the Christchurchbased property company, incurred a group net loss of SS77,HO in the year to December $l, compared with a profit of in the previous corresponding period.. The result included an

extraordinary loss of $315,«M (nil previously), and was before an unrealised increase in property values of $4.« million ($2.»2M). It was also before an unrealised foreign exchange loss of SIM,CM (SMS,OH gain).

The company says it made a surplus for the year, when unrealised gains are included, of $4,N3,0W, compared with $1,927,8M for the previous year. Mainstay’s chief executive, Mr David Spence, said that much of the unrealised profit component in the latest accounts was now realised because of the sale of the Farmers’ Trading Company (FTC) site in Christchurch since the balance date.

It was announced on January 3# that Chase Corporation, . Ltd, had brought the FTC site for 521.2 M. Mainstay has not disclosed the value at which the FTC property was listed in its book, and how much profit that shareholders get. from the sale will depend on the discretion of the Commissioner of Inland Revenue.

Turnover almost doubled, from $941,000 to $1,750,000, but after expenses the pre-tax loss was $02,000 ($154,000) profit No tax was payable ($55,000).

A recommended final dividend of 3.5 c a share increases the annual rate from 4c to 4.75 c a share (9.5 per cent), paid from the property revaluation reserve.