Retirement village operator Summerset is expecting to post increases in unit sales and potentially its profit for the year - with both up almost 40%.
In a market update yesterday, Summerset chief executive Julian Cook said the company posted 270 sales for the six months to June, comprising 160 new unit sales and 110 resales.
It was ''the highest level of sales in a half year for the group'', and 38% higher than in the first half of last year, Mr Cook said.
In a separate market update, Summerset said its underlying profit for the year ending December 2015 was forecast in the range of $32 million to $34 million; up from $24.4 million last year.
Shares in Summerset, the country's third-largest listed retirement village operator, had so far this year gained 28%, and following the announcement yesterday, were up almost 4%, at $3.68.
Craigs Investment Partners broker Chris Timms said earnings growth was expected to accelerate this year from last year's 10% pace, as costs then of new villages and care centres will this year be offset by fees from new residents.
Last year, new care centres were opened in Dunedin, Hamilton and Nelson and new villages were opened in Karaka, Hobsonville and New Plymouth.
Mr Cook said the chief driver of the half-year sales record was the high level of resales, complemented by continued momentum with the opening of four new villages during the second half of 2014.
Summerset's first-half result is scheduled for August 11.
