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BWP Trust lifts FY profit

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By a staff reporter

BWP Trust has posted a lift in full-year net profit and revenue on the back of growth in its property portfolio, including acquisitions.

In the twelve months to June 30, BWP Trust posted net profit of $110.6 million, a 58.1 per cent lift on the $69.931 million recorded in 2012.

The net profit includes $34.8 million in unrealised gain in the fair value of investment properties, compared to an unrealised loss of $600,000 in the fair value of investment properties in 2012.

In the same period, revenue was $109.229 million, 7.9 per cent higher than the previous corresponding period's total of $101.198 million.

BWP Trust will pay a full-year dividend of 14.14 cents, with 50 cents fully franked, on August 28.

The dividend is slightly lower than the 14.67 cents declared in 2012, however that payment also included a 1.17 cents capital profit from the sale of an investment property.

The group's date of record was June 28. 

BWP buys 11 new Bunnings properties

Meanwhile, BWP Trust will spend $326.4 million, including acquisition costs, to buy a portfolio of 10 Bunnings Warehouse properties and one Bunnings Warehouse anchored bulky goods centre from Bunnings Group. 

Wesfarmers said the deal would reap Bunnings about $271 million.

The group will conduct a fully underwritten non-renounceable rights issue to raise approximately $200 million to partially fund the purchase, and upgrades to three other warehouse properties. 

Wesfarmers said it intended to fully subscribe for its entitlement under BWP's proposed rights issue.
"Discussions are also advanced with other parties that would result in a separate transaction  involving a Bunnings portfolio of freehold properties to release further capital from Wesfarmers’ balance sheet," the group said. 
Quick Summary: 
Group's revenue buoyed property portfolio growth, buys new warehouses.
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