McGrath shares resumed trade on Monday, plummeting 31% after the company said weaker-than-expected sales would erode profits and dividends.
Beleaguered real estate company, McGrath, has lowered its dividend and profit forecasts, triggering a 31% slide in the company's share price to 90 cents.
The company said its results were ahead of forecasts for the financial year to date, but low listing volumes and sales in the second half of March and into April were beginning to bite.
The company said the volume of sales and prices in North West Sydney were weaker than expected, particularly from the recently-acquired Smollen offices, and timing delays on the launch of new projects meant targets would be missed. Slowing demand from Chinese buyers had also contributed to the decline, the company said.
The company floated in December last year, with an IPO price of $2.10. The stock closed last Thursday at $1.30.