(Alliance News) - Shaftesbury PLC on Tuesday reported a "rapid" rebound in London's West End entertainment district, as Covid-related disruption receded and everyday activity returned to normality.
Shaftesbury is a London-focused real estate investment trust.
For the financial year that ended September 30, the FTSE-250 firm swung to a pretax profit of GBP119.1 million from a loss of GBP194.9 million.
Shaftesbury recorded a valuation surplus of GBP100.4 million compared to a deficit of GBP196.8 million the year before. It reported rent collection had returned to its pre-pandemic level at 99%.
Rental income rose 5.1% to GBP110.4 million from GBP105.0 million, as net property income grew by 28% to GBP82.8 million from GBP64.7 million.
Chief Executive Brian Bickell said: "The year has seen a rapid rebound in the West End economy as Covid-related disruption receded and patterns of everyday activity returned to pre-pandemic normality. The sustained recovery in footfall and trading since the early months of 2022 has been matched by the strength of occupier demand in our carefully curated and popular locations."
Shaftesbury declared a second interim dividend in respect of the financial year of 5.1 pence per share, to be paid in place of a final dividend, up 28% from 4.0p the year before. The company said the timing of payment of this dividend has been brought forward, due to the planned all-share merger of Shaftesbury with Capital & Counties Properties PLC.
This takes the total dividend to 9.9 pence per share, up 55% from 6.4p a year prior.
In June, Shaftesbury and Capco sealed a merger deal to create a central London-focused property investor with a combined portfolio value of GBP5.0 billion. The merger is expected to be completed in the first quarter of next year, Shaftesbury said on Tuesday.
The combined company will be called Shaftesbury Capital PLC.
Looking ahead, Shaftesbury noted growing concerns regarding the medium-term outlook for global and domestic economies. However, it also said the pace of recovery over the last year means the company is well-placed to "weather uncertainties and challenges which may be ahead".
Shares were up 1.8% at 365.37 pence each on Tuesday in London. Capital & Counties shares were down 0.5% at 103.90p in London and down 1.6% at ZAR21.29 in Johannesburg.
By Xindi Wei; xindiwei@alliancenews.com
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