John McGrath is shifting his role away from the operational activities of the ASX-listed real estate company he founded.
Instead, he will increase his focus on brand, growth and innovation.
“As the company grows rapidly it’s important to focus my attention and efforts on the areas of the business that I add most value,” he says.
The company’s shares were up more than 3% to $1.15, still well down on the IPO price of $2.10 last December.
Cameron Judson, last month appointed joint chief executive, will assume full time CEO duties from tomorrow.
McGrath today posted annual results with a 24% lift in profit to $8.36 million on a 41% rise in revenue to $120.95 million.
“Notwithstanding the challenging market environment for the real estate industry, given the low volume of listings and sales in the second half, the strength of our business model saw us deliver a solid result,” says McGrath .
The company declared a fully franked dividend of 3.5 cents a share.
McGrath floated in December, raising $129.6 million, but then issued profit warnings after an unforeseen low volume of listings and sales in the first half of April, particularly in the north and north-western suburbs of Sydney.
The company says challenging market conditions are expected to continue in the 2017 financial year.