Aevum Lifts Earnings By 24 Percent, Considers Queensland Move

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Carapiet, L. ‘Aevum Guarded on Growth View,’ Australian Financial Review, August 14, 2008, p. 59.

Aged living group Aevum yesterday announced it had increased its annual profit by 24 percent after generating higher revenue from its retirement business. Net profit for the year ended June 30 was $28.55 million, up from $22.9 million in the previous 12 months. Operating revenue for the retirement division was $46 million for the year, up 32 percent.

Though stating it continued to see strong demand in its retirement living and aged care operations, the Sydney-based company refused to provide specific earnings guidance for the coming year due to uncertainty related to the global credit crunch and volatile property prices. Chief executive officer Simon Owen did, however, reveal the company was investigating a maiden push into south-east Queensland, stating that as property prices come down, Aevum could use its reserves and available debt to buy villages there.

Aevum currently has 21 villages with 2123 units across NSW and Western Australia. It also owns four aged-care facilities.