Shares in St. Modwen Properties were up on the FTSE 250 in morning trading after the company said it had returned to profitability in the full year ended 30 November 2010.
The group went from a pre-tax loss of £119.4 million in the previous year to pre-tax profits of £37.5 million. Property profits were reported as rising from £7.6 million to £21.9 million.
During the period St. Modwen embarked on a new joint venture with housebuilder Persimmon, aimed at developing 2,000 houses at seven sites.
Following the return to profitability the group said it would be resuming final dividends of two pence per share.
Bill Oliver, Chief Executive of St. Modwen Properties, said, "Looking ahead, we are confident that St. Modwen's long-established strategy will once again give us the opportunity to provide sector-leading returns to shareholders.
"We have a strong balance sheet and a landbank that is full of latent value. Our development pipeline for 2011 and beyond is strengthening and a number of significant schemes are being marshalled for delivery in future years."
Mr Oliver added, "As a result, we believe that we are well positioned to deliver profit and net asset value growth in 2011, despite the ongoing uncertain market conditions."
By 09:05 shares in St. Modwen Properties were up 1.60 per cent on the FTSE 250 to 171.90 pence per share.