Summerset Group says its annual profit has more than doubled to a record as sales of occupation rights in its retirement villages reaches an all-time high.
Net profit rose to $NZ34 million ($A31.70 million), or 15.87 NZ cents a share, in 2013, from $NZ14.8m, or 6.9 NZ cents, a year earlier, the Wellington-based company said on Tuesday.
Revenue gained to $NZ45.2m from $NZ38m and total assets rose 20 per cent to $NZ845m.
The New Zealand company has 18 villages and a land bank equivalent to 2,100 retirement units after buying five sites in 2013. It also opened the doors to facilities in Dunedin and Katikati and began construction at its Karaka and Hobsonville sites.
Planning approvals are underway for villages in Lower Hutt, Ellerslie and New Plymouth.
The rapid pace of growth in 2013 means growth rates may not be as sturdy in the current year as the company spends money to acquire sites and build villages ahead of making sales.
Summerset has set a target of reaching a build rate of 300 units a year by the end of 2015 and chief executive-designate Julian Cook says the company is "well placed to reach our targets going into 2015".
"We don't expect earnings growth to be as fast as last year," Mr Cook told BusinessDesk.
"It will be a temporary effect because we're growing so fast."
He declined to give specific guidance.
The company lifted its full-year dividend 3.25 NZ cents a share, up 31 per cent from a year earlier, though below the 3.5 NZ cent payment forecast by analysts at First NZ Capital.
Summerset has a dividend reinvestment plan in place.
"The business is in a very strong growth phase and shareholders would like us to use the money to fund that growth," Cook said.
Summerset shares last traded at $NZ3.33.
The company has sufficient funding to meet its growth needs and doesn't plan to return to the market any time soon for more, Mr Cook said.
It had about $NZ3m of cash at December 31 and a secured bank loan facility of up to $NZ180m, of which $NZ105.2m has been drawn, its accounts show.
