Massive write-downs and difficult residential market conditions in Australia have caused profits at leading property development group Stockland to tumble by almost 80 per cent, the company says.

Announcing its full year earnings for 2012/13, Stockland says a previously announced write-down in the value of its residential portfolio has caused the group’s statutory profit to tumble from $487 million in 2011/12 to $104.6 million in 2012/13. Even after the impact of the write-downs is excluded, the company’s underlying…