Diversified property investor and manager Stride's has seen strong growth in its management business over the past year with recurring fees to match.
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Key numbers for the 12 months ended March compared to a year ago:
- Net profit $112.3m vs $132.0m
- Revenue $90.1m vs $89.9m
- Underlying profit $46.5m vs $40.4
- Property under management $3.6b vs $3.0b
- Net rental income $65.8m vs $50.7m
- Full year dividend 9.91 cents a share vs unchanged
"Our group assets under management which is an important measure for us with our investment management business was up 20 percent or around 600 million," chief executive Philip Littlewood said.
"Our recurring income, that's our ongoing asset management fee income was up 19 percent for the year, which is a really important measure for us."
Net profit fell 15 percent due to higher tax expenses, and an $18.5m drop in the value of its investment in Investore Property, which has seen a downturn in its share price.
Net rental income rose by $15.1m due to the purchase of new office buildings.
Stride raised $134m over the year to strengthen its balance sheet and said it was sufficiently insulated from changes in interest rates over the short to medium term.
"We are very conscious of what's going on in the market with rising interest rates which are seen particularly over this calendar year," Littlewood said.
"Fortunately for Stride, and in fact this goes for all of our managed funds, we have quite significant hedging in place (with) 110 percent of our debt hedged."