McInerney agm hears of record performance in 2003

Building group McInerney has reported pre-tax profits of €28.46m, a 38% increase on the 2002 result.

The Irish operations increased profits by 34% in 2003, outgoing Chairman Roy Ferris told shareholders at the company's annual general meeting today.

A total of 969 private housing units were completed in 2003 compared to 879 housing units completed in 2002, roughly doubling its output in the past five years and increased its spread of operations.

The company reported its housing land bank in 'good shape' with a geographical spread providing much comfort to the Group.

Describing it as a low average cost land bank, it is aimed primarily at McInerney's core target market of first time buyers and deemed adequate for current trading levels.

Its UK operations saw substantial profit growth of over 50%, validating the group's objective of increasing market penetration there, Ferris said.

The chairman added that market conditions are strong for each of the company's businesses providing good earnings visibility.

Describing growth progress in Spain as somewhat slower compared to the UK, McInerney said it was satisfied that a solid platform for future growth opportunities was now in place there.

The Group’s commercial division, Hillview Securities completed sales of 132,500sq ft of industrial units in 2003.

It had also successfully entered the west London market where business is described as 'buoyant' and 'will record a good result' in 2004.

Going forward, Ferris said the Group’s corporate strategy was well on target and that a further strong performance for the full year of 2004 was anticipated.

Shares in the company traded at €4.80 on the Iseq at lunchtime today.