Mirvac Group (ASX: MGR) is a chief, integrated urban property group, primarily situated in Australia's four key urban communities of Sydney, Melbourne, Brisbane and Perth. It possesses and oversees resources over the workplace, industrial and retail segments, with roughly $21bn of benefits under its management. Its development exercises enable MGR to make and deliver creative and excellent business resources and private networks for their clients while driving long term value incentive for its stapled security holders.
Their incorporated methodology gives them an upper hand over the whole lifecycle of a venture; from arranging through to structure, improvement and development, renting, property the executives and long-haul proprietorship. In the interim, their motivation, Reimagine Urban Life, rouses them to consider how we can reclassify the urban scene and make progressively reasonable, associated and lively situations for our clients, leaving an enduring inheritance for the future generations.Â
MGR was set up in the year 1972 and has forty-seven years of practice in the property business and a great reputation for producing superior items and services throughout their businesses.
Mirvacâs office portfolio is 60% of their total investments, and 95% of its office portfolio are A-grade assets. Most of its operation highlights MGRâs strong presence in the Sydney and Melbourne market. Its industrial and office division reported an increase of 40.2% to $265 mn on December 31, 2018. It reported occupancy of 97.2%. Its leasing activity of over 66,000 square meters has been completed, and at the end of the year 2018, it has progressed 84.3% on its $3.0 bn office development pipeline. Some of its new acquisitions include Australian Technology Park, Sydney and 477 Collins Street, Melbourne and 80 Ann Street, Brisbane and 383 La Trobe Street, Melbourne.
In its industrial portfolio, occupancy remained at 100%. It reported a growth rate of 10.3% through its net operating income. Its leasing activity of more than 50,600 square meters has been completed, and it has entered into the agreement to acquire a 244-hectare industrial estate in Western Sydney.
Mirvac showed a good result for H1 FY2019 due to its focus on urban strategy, capital management, and improved capabilities. Its profit increased by 39% to $648 mn on December 31, 2018, from $465 mn on December 31, 2017. Its operating profit after tax increased by 26% and had reported operating cash inflow as $167 mn which is better than the previous year. Its net tangible assets per staple security increased by 6%.
It reported enough liquidity of $570 mn in cash, and its weighted average debt maturity stands at 6.1 yrs, including the issue of $430 mn debt within H1 FY2019. The companyâs average borrowing cost reduced to 4.5% on December 31, 2018, from 4.8% on December 31, 2017. It completed its shares buyback worth $130 mn for its 58 mn shares. It received fitch rating of âA â, a stable outlook and âA3â rating from Moody's investor services.
On stock information, Mirvac Group last traded at A$2.540 (up by 3.252% as on February 7, 2019) with the market capitalisation of A$9 bn. Its current PE is 8.370x. Its 52 weeks high has been noted at A$2.560 and 52 weeks low at A$2.005. Its absolute return for 3 months, 1 year and 5 years are 13.89%, 22.39%, and 48.64% respectively.
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