Purple Real Estate Records 112 Percent Increase In Profit

The financial results for the year ended December 31, 2021, have been released by Purple Real Estate Income Limited (PREIL).

According to the analysis of the result, PREIL’s total operating income stood at 2 billion as at December 31, 2021, having increased by 112 percent over the position in the corresponding period of 2020. 

A total income of N1.18 billion was recorded by the company from the flagship Maryland Mall in the period under review, representing a rise of 46 percent over the previous year as a result of retail market stabilisation post-COVID­-19 lockdown and increased occupancy.

Also, in 2021, revenue from sale of trading properties grossed N1.35 billion with the emergence of Purple Nano project, which is now sold out.

Further analysis revealed that profit before taxation (PBT) increased to N1.5 billion in the review period, as profit after tax (PAT) grew by 168 percent to N1.3 billion.

While total assets grew to N26.4 billion reflecting a 60% increase, annual dividend recorded 4984 percent to N442.3 million.

Commenting, Laide Agboola, CEO, Purple, noted, “2021 has been an important year in our journey and we have made significant progress across all our strategic priorities, despite the challenges that the on-going economic impact of the COVID-19 pandemic continued to present.”

“Our flagship location, the Maryland Mall, has supported growth in our operating revenue, delivering double digit increases in rental, service, and other revenue lines.

"This has been supported by very strong sales of our Purple Nano residences at the PurpleLekki mixed use project, where retail lettings are also performing well, with 90% committed a year before anticipated opening.

"Together, this has driven growth in our operating income of 112%, to N2 billion and growth in Profit Before Taxation of 181%, to more than N1.5 billion, enabling us to return money to shareholders through a dividend of N442.3 million.

“Our project development pipeline advanced significantly in 2021, with more than 600 homes now planned.

"We secured the site for our Purple Macro project, while our Purple Urban project began foundation work in late 2021 and is targeting a first phase of 110 units.

"Our entry into the affordable student housing segment also gathered pace, as we have identified campuses in a number of locations and are targeting 1,500 bed spaces as we roll out.

“We have also made very encouraging progress in our emerging financial services and technology segment, with the completion of a key acquisition, which enables us activate our regulated asset management capabilities.

"We know that participation in the real estate market can have a high cost of entry and we are building a suite of exciting property technology solutions that will give our consumers the ability to invest in real estate assets at affordable price points.

"We look forward to the launch of these products in 2022, and to furthering our ambitions to democratise access to Nigeria’s burgeoning real estate market.”