OVER FIFTY Group has reported a net profit after tax of $3.51 million for the half year to December 2007 – up marginally from $3.01 million a year ago, as a result of two items of expenses.
During the period, the company incurred two expenses, the first one totalling $1.16 million associated with a strategic review and litigation with an executive director in relation to the strategic review.
The second is $1.38 million in provisions to cover the expected non recovery of mortgage advances relating to the commercial mortgage division which is currently being wound down.
Meanwhile, the company’s revenue fell 17.31% to $59.26 million during the period.
OFG has declared a fully franked dividend of 6 cents per share.
OFG’s acting chief executive John McBain said the new board has been in place 70 days and is undertaking an in-depth, “hands –on” and highly commercial review of all business units.
“There is a major focus on delivering efficiencies within the group’s core activities which will lead to increased profitability and recognition as a true diversified financial.
“The directors are optimistic regarding the full year outlook and propose to release further guidance when they have completed their review and taken those actions considered necessary.
“While global financial conditions remain uncertain, the certain and stable revenues from the core funds management activities of the group will continue to drive underlying profit,” he concluded.
Australian Property Journal
