Property firm profits slip but bosses ‘happy enough’ with performance

The managing director of one of the country’s largest property firms, Lisney, said yesterday that he is “happy enough” with last year’s performance in spite of pre-tax profits decreasing by 79% to €117,872.

Figures lodged with the Companies Office show that pre-tax profits at Lisney Ltd declined sharply from €560,132 to €117,872 in the 12 months to the end of March 2012. This followed the firm’s gross profit decreasing by 13% from €8.5m to €7.4m.

MD James Nugent pointed out that non-cash items including a provision of €432,144 for an impairment on an inter company loan and a €150,000 property write down contributed to the loss.

He said: “The performance last year was in line with expectations. I am particularly pleased that we managed to increase our cash balance from €355,382 to €581,452 and reduced the amount owed to the firm from €2.5m to €1.8m. This... gives the firm the funds to invest in the future.

“Any business hopes for better profits, but last year was not a bad result in the current climate.”

He said that the firm should record a profit in the current financial year with revenues remaining around the same, stating that he doesn’t anticipate any further property writedowns.

Mr Nugent said that Lisney recorded double digit percentage growth in the value of residential property sales in the 12 months to the end of December 2012.