21 July 2010
Preliminary Results
West Pioneer, a leading developer and operator of shopping malls and mixed use developments in west and southern India, announces its preliminary results for the year ended 31 March 2010.
Highlights
- Continuing strong footfall numbers and positive sales trends at Metro Junction Mall in Kalyan, with footfall more than doubling year on year
- Leasing remains at approximately 65 per cent., however following an increase in income and reduction in costs during the year, mall now operationally profitable and generating surplus cash
- Active discussions regarding leasing remaining units, with focus on quality of tenants and tenant mix
- Residential development at Kalyan progressing well with over 65 per cent. of units already sold. Units are now being sold at prices approximately 38 per cent. higher than launch price
- Planned development of commercial office space to maximize return from remaining land at Kalyan
- Total developed area of Kalyan Project now expected to be 1.1m square feet, 29% more than previously envisaged to encompass commercial and residential opportunities
- Discussions with prospective anchor tenants for the Nashik development have begun and are progressing well
- Balance sheet remains robust as a result of prudent cash management and low gearing with year end cash and short term deposits of US$3.96m
- Appointment of Ajay Gupta as Chief Executive Officer in March 2010
- Management actively exploring opportunities to generate value in the retail, residential, leisure and commercial spaces
Commenting on the results, Amit Jatia, Chairman of West Pioneer, said: “West Pioneer’s key objective is to continue to be a leading developer and operator of retail-led mixed use developments in west and southern India, to continue developing a brand representing quality and attractive pricing and to generate attractive returns for shareholders from sales of units, growth in income and asset value. I remain confident that continued progress will be made in these areas in the current financial year.”
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