Efforts to turn around the fortunes of Acc-Ross Holdings, which listed as a property development company on the JSE's AltX in February, seem to be paying off, with the company reporting a net profit of R1,89m for the six months to August.

In the corresponding period last year it recorded a loss of R1,78m.

Chairman Arthur Mashiatshidi said on Friday it had been an "eventful six months since listing" and a "great deal has been done to streamline the Acc-Ross project portfolio and strengthen the balance sheet".

Acc-Ross had had a torrid time, with its share price plunging about 85% since listing in February at R1.

After trading for some time at about 15c a share, its price has recovered and was about 23c on Thursday and Friday.

New management at Acc-Ross believe the share's poor performance was due to investors being wary of investing in companies that fall under what is seen as the higher-risk development sector. Plans are afoot to get the company moved to the JSE's hotel and leisure sector.

Wilf Robinson, appointed CEO of Acc-Ross in June in the bid to turn the company around, said that in "the first six-month period there was no real revenue stream because the management was putting together the group, which they listed".

"In the subsequent six months there were R197m worth of sales at Gardener Ross (a golf course and housing development in Centurion)." Robinson said these sales were feeding through to the bottom line.

"In the second six months of this financial year we've proclaimed phase two of Gardener Ross, and we anticipate an additional R120m worth of sales, which will have a positive effect on the next trading period," he said.

Business Day