(Alliance News) - Sigma Capital Group PLC on Tuesday reported a rise in profit and revenue for the first half of 2019, driven by the continued expansion of its managed private rented sector activity.
For the six months to the end of June, Sigma Capital's pretax profit increased by 3% to GBP4.3 million from GBP4.2 million the year before.
Managed PRS activities contributed GBP2.9 million to the group profit, while Sigma's self-funded PRS activities contributed GBP900,000 and Regeneration activities added GBP700,000.
The real estate developer's revenue grew by 19% to GBP5.8 million from GBP4.8 million.
The group's result was buoyed by managed PRS revenue, which grew to GBP5.5 million from GBP4.6 million, reflecting the higher level of fees generated from the expanded delivery of development and asset management.
As at June 30, net asset value per share was 60.3 pence, up 21% from 49.8p a year before.
Sigma Capital is currently development manager and investment adviser to The PRS REIT PLC, with the former using its property platform to support the real estate investment trust.
In the period, Sigma Capital delivered 398 homes for the trust, taking the total number of completed homes at the end of June to 1,173, generating GBP10.7 million of rental income per annum.
Sigma Capital will declare its final and total dividend when it announces its full year results.
Post-period, the number of completed homes across Sigma Capital's self-funded and managed activities stood at 1,289 as at August 31, while the number of completed and contracted homes stood at 4,718 across 59 sites, up from 4,369 homes across 54 sites at the end of June.
These homes have a gross development cost of GBP734 million and estimated rental value of GBP46 million per annum.
"Demand for high quality rental homes for families remains high and notwithstanding current political uncertainties, we remain confident that Sigma is well-positioned to achieve its targets for both this year and next year. We are also continuing to seek opportunities to broaden our geographies as well as the funds under our management," said Chief Executive Officer Graham Barnet.
PRS REIT itself will publish its full-year results on Wednesday next week.
Shares in Sigma Capital were untraded on Tuesday, last quoted at 100.00 pence in London.
