Finbar profits rising high

Apartment development firm Finbar Group says it is on track to exceed its record full-year profit from 2012 after it lodged a $14.07 million net profit for the six months to December 31.

Finbar said the biggest contributor to its $62.2 million revenue for the period was the completion and settlement of its Pelago project in Karratha.

Other key drivers of the profit were the settlement of remaining apartment stock in Perth from projects completed last financial year, as well as the Lime development in Victoria Park, which was completed in November.

In the previous corresponding half-year, Finbar recorded a net loss of $653,937 on revenue of $2.05 million, before bouncing back to lodge a full-year profit of $28.3 million.

Finbar said it expected to lodge an equally strong second half in financial year 2013, with its nearly-completed Adagio project in East Perth having achieved sales of $103 million to date.

Managing director Darren Pateman said it was likely that Finbar would exceed last year's record full-year net profit.

“This company is very well positioned to benefit immediately from increased demand as we have continued our development activity unabated,” Mr Pateman said in a statement.

“We will not be captured by the void that can exist in this industry between increased market demand and the long lag time for bringing on new supply.

Finbar will pay an interim dividend of 3.5 cents per share.

At 10:30AM, WST, Finbar's stock was up 2.5 cents, trading at $1.34.