First Mutual Properties (FMP) revenue for the four months to April 2018 rose seven percent to $2.6 million compared to $2.4 million in same period last year as a result of improved occupancies.
Managing director, Christopher Manyowa told the shareholders at the firm’s annual general meeting that an increase in rental yields also aided in revenue growth.
“As a result, net property income went up 13.75 percent to $1.8 million from $1.05 million in the four months of April 2016 and this resulted in 13 percent growth in operating profit at $1.3 million from $1.2 million same period last year.
Manyowa said occupancy increased 5.05 percent to 76.09 percent from 72.44 percent in 2017 driven by improvement in space uptake by some retail shops, mainly supermarkets as consumer sentiment improved.
He said average rental per square meter increased to $7.39 from $7.02 driven by demand from retailers.
However, property expenses went up 20 percent to $468 042 compared to $389 164 while the group’s total assets marginally went down to $144.5 million. – The Source