Metlifecare well positioned for Auckland growth

Metlifecare (NZX: MET; ASX: MEQ) advises that its underlying profit guidance for the year ending 30 June 2014 is increased to a range of $43 million to $46 million, from its previous guidance of $34 million to $38 million.

The lift in underlying profit guidance results from stronger settlements activity at The Poynton Stage 3 and higher capital gains and deferred membership fee income from resales activity. The underlying profit earnings guidance is based on Metlifecare’s trading performance to 30 April 2014 and assumes a continuation of these recent trading trends for the next two months to 30 June 2014.

Development is underway at three villages on Auckland’s North Shore. Stages 1 and 2 at The Orchards in Glenfield, collectively 54 apartments and 36 hospital beds, are now under construction, with considerable interest shown in both stages. At Metlifecare’s newest retirement village, Greenwich Gardens in Unsworth Heights, earthworks are nearing completion. The final stage of construction, comprising 62 apartments, at The Poynton is also underway.

With 14 out of a total of 25 villages in the Auckland area, Metlifecare is well positioned for growing retirement village demand in the region.