Interesting results.The $28.8m revaluations are revals on the...

Interesting results.

The $28.8m revaluations are revals on the completion of two towers and sale to UOA REIT, so effectively take the place of usual development profit rather than a standard revaluation on completed and retained product.

Consolidated results throughout though, so the $71.3m pretax and $51.7 post tax profits should be reduced by about 20% to get the net figure attributable to UOS shareholders. Direct figure given in this interim report is NPAT/share attributable to members of UOS for the half of 4.43c. This is pretty close to 10% earnings to market cap at current share prices (for the half only - 20%pa if similar results for the second half)

However - hard to guage how and when any earnings will be returned to UOS shareholders. Accounts are consolidated for all group entities, but UOADB dividend policy (40-60%) outlined in the IPO Prospectus was not mentioned in their report and no dividend was recommended by directors for the quarter. Also, UOS seem to be continuing their low dividend payout policy with a 0.5c dividend for the interim period from 4.43c of earnings. Would be good to get some idea of how UOS intends to operate now that they are essentially a holding company.

Also, as they are basically a holding company, I think it's useful to get an NTA based on market value of holdings instead of assets on balance sheets of consolidated entities. Lots of positive broker reports and recommendations for UOADB, but market price has dropped by around 50% since listing a few months ago. It's not a good sign.

Looks like I've got a bit of analysis and "unconsolidation" to do now that the two reports are out.