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Mirvac profit dips in 'challenging market'

Michael Mehr
Property group Mirvac says it has sustained sales in a "challenging market"

Mirvac has reported a 6.0 per cent dip in full-year profit to $1 billion as the property group says trust in its brand is helping sustain it as the residential building industry goes through a rough patch.

Revenue for the 12 months to June 30 was down 1.0 per cent on the previous year to $2.78 billion and Mirvac will pay an unfranked final distribution of 6.3 cents, up from 5.5 cents in the previous corresponding period.

"Despite a challenging market, we have seen sustained sales throughout the financial year, and we achieved our settlement target and maintained our default rate at less than two per cent," Mirvac chief executive Susan Lloyd-Hurwitz said.

"This is testament to the enduring quality of our products and our trusted brand."

The company's earnings from residential building fell 33 per cent from the previous year to $201 million - a result it said was as expected and due to fewer apartment lot settlements.

Earnings before interest and taxes from Mirvac's office and industrial division rose 26 per cent and its retail segment edged up 4.0 per cent.

Mirvac shares were up 4.23 per cent to $3.325 at 1305 AEST on Thursday.

MIRVAC FULL-YEAR PROFIT DIPS

* Net profit down 6pct to $1b

* Revenue down 1pct to $2.78b

* Final distribution up 0.8 of a cent to 6.3cps, unfranked