The company's net operating cashflow was up 25% on a year ago to $110.4 million, while net profit after tax for the full year was a 58% gain on last year to $54.2 million - the latter including unrealised valuation gains in the fair value of investment properties and land and buildings.
Summerset chief executive Julian Cook said 2014, to December, was a year of investment in future growth, with the completion of its 2000th retirement unit and having more than 3000 Summerset residents.
''We have seen a record profit and strong increase in development margins across the group in 2014,'' Mr Cook said in a statement yesterday.
Summerset, the country's third largest provider, now has 20 villages, having in the previous year opened four villages - in Karaka, Hobsonville, New Plymouth and Trentham - and three care centres, in Nelson, Dunedin and Hamilton.
Summerset will pay a final dividend of 2.1c per share, taking the dividend for the year to 3.5c, compared with last year's 3.25c.
Its share price was down 1c, to $3.43 after the announcement.
Craigs Investment partners broker Chris Timms said that overall, the result was in line with expectations, including a strong recovery across the business during second-half trading, with underlying after tax profit up from $9.4 million to $15.1 million.
''Key elements of the result, resale and new sale volume, were pre-announced in January and the result contained few major surprises,'' Mr Timms said.
Summerset booked its fourth year of record occupation right sales, with a 25% increase in the new sales of occupation rights.
Gross new sales of 286 retirement units resulted in sale proceeds reaching more than $106 million, up 34% on a year ago when gross new sales of $79 million were booked.
Forsyth Barr broker Andrew Rooney said the underlying earnings were boosted by sharply increased new sales during the second half, after a soft earnings result in the first half.
''That [second half] was impacted by operating cost increases as Summerset scaled up head office capability for future growth, cost pressures in the care operation and start-up costs associated with new care operations and village centres,'' he said.
He noted that while debt gearing had risen from 27% to 31%, and was under close scrutiny, it remained at a ''very manageable'' level given the very high level of sales activity relative to the build rates.
Mr Cook said Summerset expected to meet, or exceed, the development margin target of 17% during the 2015 financial year.
''This is earlier than we had forecast at the time of our IPO and is driven by better than expected results of in-house development,'' Mr Cook said.
Summerset intended to build 300 retirement units this year, up from 261 a year ago, he said.
