FTSE 250 property business Daejan bounded back into profit in the first half but warned it was "by no means clear" when sustained growth would return to its markets.
The firm posted pre-tax profits of £23.3m in the six months to the end of September, up from a £121,000 loss the previous year.
The company made gains on investment properties of £11.4m, but losses on financial instruments of £3m.
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It enjoyed an increase of 3.5% in gross rental income and a drop of 4% in property operating expenses compared to the equivalent period last year.
However, Daejan said an interim dividend of 25p per share will be paid on March 8th 2013.
"The business outlook continues to be challenging, with reduced economic activity in the UK and the possible negative impacts of the as yet unresolved Eurozone issues as well as the risk of a US budgetary crisis," the statement said.
"These factors create uncertainty so that it is by no means clear when we will see a return to more positive sustained growth in the markets in which we operate," it added.
"We believe that our long term, prudent approach of maintaining a strong balance sheet with relatively low gearing is particularly appropriate in present times."
