Shanghai-based developer Shui On Land said its underlying profit surged 148 per cent last year, fuelled by strong sales at its upmarket projects in the city. Profit before investment property revaluation gains rose to 1.54 billion yuan last year from 97 million yuan in 2005, exceeding the forecast in its listing prospectus by 5.9 per cent. Turnover jumped 365 per cent to 4.73 billion yuan and a final dividend of six HK cents a share was proposed. 'Robust sales of residential units made a significant contribution to both profits and turnover,' chairman Vincent Lo Hong-shui said. Shui On Land sold 123,000 square metres of gross floor area of residential units at three projects in Shanghai - the Lakeville Regency, Rui Hong Xin Cheng and Knowledge and Innovation Community - reaping 4.28 billion yuan. Gross rental income from a gross floor area of 239,000 square metres of investment properties grew 7 per cent to 358 million yuan. The developer also made a one-off gain of 582 million yuan from the sale of 19.8 per cent of the Chongqing Tiandi project in September last year. Looking ahead, Mr Lo said the company would rely on sales in a number of developments including Wuhan Xintiandi, Chongqing Xintiandi and the remaining units at the Knowledge and Innovation Community in Shanghai. It expects to have 180,000 square metres of gross floor area available for sale this year. Shui On Land is also studying the feasibility of redeveloping a project in Kunming and is considering an investment in Dalian Software Park Phase 2, a mixed-use project owned by Mr Lo's private firm, Shui On Co. 'In Shanghai, we are also building a residential project next to Xintiandi, which will be completed by the end of this year,' Mr Lo said. The company's land bank totalled 8.4 million square metres of gross floor area located in Shanghai, Chongqing, Wuhan and Hangzhou, he said. Mr Lo said the mainland's first-quarter economic growth of 11.1 per cent was slightly stronger than market expectations, but he was confident that the central government would have the appropriate policy to manage growth and the property market. Housing prices in the mainland rose 5.9 per cent in March compared with a year earlier, according to a survey by the National Development and Reform Commission. Shares in Shui On Land rose 1.88 per cent to close at HK$6.52 yesterday before the company announced its results.