Turnstar Holdings has seen its profit for the interim period ended 31 July 2014 go down 1.5 percent due to the exchange rate movement compared to the corresponding period.
The financial results released this week representing a six month period show that the company revenue increased by just one percent whereas finance costs reduced by 17 percent as a result of repayment of USD loan and reduction in interests rates.
Turnstar, which is owns a host of properties locally including Game City shopping mall, revealed that for the reporting period lease revenue went up by four percent while pre-tax profit swelled also registering an eight (8) percent increase. Mlimani Holdings Limited, a Turnstar Holdings subsidiary based in Tanzania, contributed P50 million to the total group revenue of P114.8 million, representing 44 percent contribution.
The subsidiary’s operating costs are P16.1 million of the total group operating expenses of P36.2 million, which also represents 44 percent of total operating costs. Turnstar, led by group Managing Director Gulaam Abdoola, has announced plans for imminent expansion of Game City Mall and Mlimani City mall in Botswana and Tanzania respectively.
The construction contract of Game City is said to be in the process of being awarded. The expansions will include additional retail space, a fashion avenue, and restaurant areas including a food court, entertainment areas and a parkade. The expansion of Mlimani City will include additional retail and commercial space consisting of basement parking and further additions to the conference centre and botanical garden.
Turnstar’s Board of Directors has for the reporting period approved an interim distribution of 8 thebe per linked unit divided into two - a debenture interest of 6.62 thebe and dividends of 3.38 thebe per unit.