LONDON (Alliance News) - MedicX Fund Ltd Friday said its pretax profit rose substantially in the first half of the year as revenue increased and it expects to pay a higher dividend for the full year.
The healthcare infrastructure investment company reported a pretax profit of GBP26.6 million in the six months to March 31, from a GBP15.0 million profit in the same period a year earlier as revenue rose to GBP17.0 million from GBP13.9 million.
Profit got a boost from a net valuation gain on investment properties totalling GBP12.8 million, compared with a GBP4.8 million gain a year earlier, and from total expenses falling to GBP3.3 million from GBP3.7 million.
Net asset value increased 7.5% to GBP250.6 million, or 68.8 pence per share, from GBP233.1 million, or 65.8 pence per share at the end of September. These figures exclude the impact of deferred tax not expected to crystallise and the impact of unwinding fair value adjustments on acquired debt.
The fund will pay a 2.9 pence dividend for the first half after approving a second quarter dividend of 1.475 pence in April.
MedicX said it expects the full year dividend to be 5.9 pence per share, which would be up from the 5.8 pence per share that it paid in the last financial year.
MedicX made investments totalling GBP17.2 million in the first half of the year, meaning the fund has invested a total of GBP535.5 million in 141 healthcare properties. At the end of September, the company's investments totalled GBP518.3 million in 137 properties.
In addition, the company said it has a further GBP100 million of further acquisition opportunities.
The fund's annualised rent roll currently totals GBP33.9 million, with 90% of rents being reimbursed by the NHS. The rent roll is up 1.1% from the end of September.
MedicX shares were up 0.7% to 83.11 pence per share on Friday morning.
By Joshua Warner; joshuawarner@alliancenews.com; @JoshAlliance
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