Writedown knocks Mirvac earnings down 66 per cent PROPERTY group Mirvac's net profit has dropped 66 per cent following a writedown of its development projects. Mirvac made a net profit of $139.9 million for the 2012-13 financial year, down from $416 million for the previous year. The result was affected by $273.2 million worth of writedowns in the value of developments in Queensland and Western Australia. Operating profit, which excludes significant items, was up 3 per cent to $377.6 million, while total revenue was down 10 per cent at $1.57 billion. Mirvac chief executive Susan Lloyd-Hurwitz said the outlook for the company's development division was strong, with major projects in Sydney and Melbourne on track to deliver earnings in the next three years. She said the company was seeing signs of improvement in its residential business, although the outlook for the sector was mixed. Residential markets remain mixed in terms of current performance and outlook. However, we are seeing signs of recovery as a result of improving housing affordability, population growth and low rental vacancy," she said in a statement today. The company said it would target earnings of 11.7c to 12c per stapled security this financial year, up from the 10.9c per stabled security it achieved in 2012-13.