Property loan stock investment and holding company CBS Property Portfolio (CBS) announced that its distributable earnings for its maiden year to 31 October 2006 skyrocketed by over 366% to 90.5 million rand.
 
Market capitalisation over the 12-month period soared by some 320% to 1.22 billion rand and property assets doubled from one billion rand to two billion rand.
 
CBS's final distribution was declared at 40 cents per linked unit for the six-month period from 1 May 2006, bringing the total distribution to 72 cents per linked unit, which represents an increase of 11.6% on the previous year's amount of 64.5 cents, and is 2 cents ahead of the forecast of 69.9 cents for the year
 
The company listed on the main board of the JSE limited on 2 November 2005.
 
"We are delighted to reward unitholder confidence in CBS by exceeding our forecast and believe that the company will sustain strong earnings growth into 2007 and continue to provide unitholders with good capital appreciation, provided market conditions remain stable," noted CBS financial director Sean Mackay.
 
The net asset value per CBS linked unit is 8.30 rand at year end, after allowing for 14.5% deferred tax, and the liquidity of CBS units has been very encouraging with 32% of its weighted average number of linked units having traded during the year.
 
The company's weighted average cost of finance is a favourable 9.6%. At the close of the financial year, CBS' total borrowings amounting to 627 million rand represent 31% of the value of the property portfolio.
 
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Source: I-Net Bridge