INVESTMENT group Mariner Financial has booked an interim net loss of $13.91 million for the first half year ended December 2007 – a fall of 168% compared to a net profit after tax of $20.47 million a year ago.
The group attributed the loss to the mark-to-market effect of its 14.2% shareholding in structured finance group Keybridge Capital Ltd, which has fluctuated significantly due to market volatility.
Excluding the loss related to Keybridge, Mariner’s normalised net profit improved slightly to $2.2 million from $2.1 million.
Mariner’s executive chairman Bill Ireland said although the group achieved a modest increase in normalised operating profit, he is confident that the transactions currently being constructed will generate profit and value added outcomes over the next six months.
During the half Mariner’s recurring income increased by 109% over the previous corresponding period, whilst recurring expenses decreased by 7%.
“Mariner shares are currently trading at a substantial discount to NTA. Directors are exploring appropriate capital management strategies to address this difference,”
“Market opportunities now enable assets to be secured for acquisition by way of options or deferred purchase arrangements conditional on capital raising.
“While current volatility and uncertainty continues Mariner will focus on sourcing assets through third-party and joint venture equity. Mariner will focus on its current infrastructure projects for institutional and high net-worth investors which will deliver stable long-term income, and property syndicates for institutional and retail investors,” he concluded.
Australian Property Journal
