It’s not every newcomer to the JSE that gets off to a good start. But one that certainly seems to have done so is Acsion, the specialist property developer and owner.
Acsion came to the market two years ago and is building an enviable profit record.
"Acsion believes it is a business with ingenuity, vision, value engineering and effective management". And the latest profits certainly prove their point.
Through their development activities, Acsion is able to generate annuity income and capital growth for its shareholders.
Revenue for the year increased to a whopping R524.8 million compared to R453.3 million the year before, and operating profit soared to R327.2 million against R253.5 million previously. In addition, headline earnings per share were 47 cents, from 45.9 cents per share in 2016.
Group liquidity appears to be adequate, while the NAV per share increased from R11.60 to R13.60.
The current share price of R6.80 is almost half the NAV and appears to offer good value.
Even though it has always been the group’s policy not to declare any dividends, the board of directors has proposed a dividend of 12.5 cents per share based on the company’s recent profits and low gearing.
"Acsion’s board remains confident that the group’s growth objectives can be achieved despite the challenging economic operating environment. The company remains focused on the completion of its secured development pipeline over the next three years. Acsion will continue reinvesting in its existing portfolio and focus on its development expertise to ensure above average NAV growth", says CEO Kiriakos Anastasiadis.
For the future, Acsion will explore further development opportunities in high-growth markets in the rest of Africa and Europe.
Acsion continuously evaluates a consistent stream of new opportunities, and is in advanced discussions on certain projects to further enhance capital growth in the coming five years.
Two of the major shareholders in Acsion are Ioleni Trust and CEO Kiriakos Anastasiadis.
Jeremy Woods trained for three years as a journalist on the Herts Advertiser, St Albans, in the U.K. Once qualified, he left England to work as a crime reporter on the Vancouver Sun in Canada. After three years, he worked for the Los Angeles Times as a trainee financial journalist, spending most of his time reading company accounts and finding publishable stories in them. He moved to South Africa and for the last five years in journalism worked for the Sunday Times, Business Times, as Investment Editor. He has also published a financial thriller called "Special Payments", which was a best-seller on publication, and optioned three times for a film.