PGC posts 1H loss, writes down Perpetual receivable

Pyne Gould posts first-half loss, writes down Perpetual receivable by $2.9 mln

By Paul McBeth

Feb. 27 (BusinessDesk) - Pyne Gould Corp, whose 2014 accounts are being looked into by the market regulator, reported a first-half loss as it was hit with foreign exchange adjustments and losses from its subsidiaries, and wrote down the value of what it expects to be paid on the sale of its Perpetual Trust unit.

The Guernsey-based asset management firm reported a loss of 3.36 million British pounds in the six months ended Dec. 31, unchanged from a year earlier, it said in a statement after trading closed. That included a 1 million pound loss on foreign exchange, a 445,000 impairment of a loan receivable, and a 393,000 loss incurred from its share of subsidiaries' income. Total fees and other income sank 25 percent to 1.16 million pounds.

Pyne Gould said its auditor had completed the 2014 audit of Torchlight Fund LP, which had been delayed by the auditor's attempts to fully value the unit's real estate assets.

The firm also took a NZ$2.9 million charge on a receivable from the sale of its Perpetual Trust unit in 2013. Pyne Gould had recognised the NZ$22 million price as profit in its 2014 accounts, and has attracted attention from the Financial Markets Authority.

Earlier this month Pyne Gould's board considered the NZ$22 million carrying value to be appropriate, and a valuation by Grant Thornton re-valued the asset at NZ$19.3 million.

That revaluation has been recognised in total comprehensive income, which was a loss of 5.17 million pounds, compared to a loss of 6.6 million pounds a year earlier.

Pyne Gould said it is still preparing for a listing on the London Stock Exchange, and will report back to the market once its board confirms a decision on paying a dividend.

The shares were unchanged at 38 cents, and have dropped 9.5 percent this year.

(BusinessDesk)

© Scoop Media