Kennedy-Wilson Shares Plunge on Profit News

Shares of real estate services firm Kennedy-Wilson Inc. have fallen 26% over the last two days on disappointing fourth-quarter earnings and concern over rising expenses, analysts said. Beverly Hills-based Kennedy-Wilson shares fell 88 cents to close at $6.13 on Nasdaq. Earlier, the shares reached a 52-week low of $5.88. The company said last week that fourth-quarter net income fell to $1 million, or 11 cents a share, from $3.1 million, or 46 cents a share in the year-earlier period, though revenue rose 35% to $25.9 million from a year ago. Kennedy-Wilson’s expenses rose 54% during the quarter, mainly from higher payroll costs as it increased staffing, and administrative costs. The company also failed during the quarter to sell several Southern California office properties and 450 acres of land it owns in Hawaii.