SHB.L Share News (SHB)

(ShareCast News) - FTSE 250 real estate investment trust Shaftesbury reported a drop in profit for the year to the end of September but a rise in revenue, as it expressed confidence in its outlook.Pre-tax profit fell to £99.1m from £467.3m the year before, with basic earnings per share down to 35.6p from 168p in 2015. The company attributed the decline largely to a lower revaluation surplus from its portfolio, which contributed 43p versus 167p last year and the recognition of the fair value of its 8.5% Debenture stock, which reduced basic earnings per share by 10p. Still, revenue rose to £106.2m from £98.7m and net property income was up 6.7% to £84.1m.Meanwhile, EPRA net asset value was 2.2% higher on the year at £8.88 a share and the company's estimated rental value increased by £10m to £138.7m.Shaftesbury declared a total dividend for the year of 14.7p per share, up from 13.75p the year before.The group said that while the UK's vote to leave the European Union has created uncertainty for business nationally, it has not seen any adverse impact so far on occupier demand, footfall or trading in its areas.In addition, it said the recent weakening of the pound has already added to the spending power of international visitors and, if sustained, may lead to increased visitor numbers above their long-term growth trend.Chief executive Brian Bickell said: "We are pleased to report another year of excellent performance. Against a background of growing caution in property markets, which is beginning to affect some property values, our exceptional portfolio has delivered underlying capital value growth of 4.9%."Whilst London and, at its heart, the West End, cannot be completely immune from the influences of the macro environment, its global city status, exceptionally dynamic and broad-based economy and enduring appeal for domestic and international businesses and visitors, will continue to support its long-term prospects for sustained growth and prosperity. This positive outlook underpins the potential in our portfolio."At 0811 GMT, the shares were down 1% to 921p.