(Alliance News) - Industrials REIT Ltd on Friday reported a two-fold surge in first-half profit, demonstrating strong growth in rental and asset value.
For six months ended September 30, the UK-based real estate investment trust focused on multi-let industrial properties said its pretax profit soared to GBP40.9 million from GBP12.6 million in the prior year.
Net rental income jumped 45% to GBP15.1 million from GBP10.4 million previously, driving diluted headline earnings per share up 13% to 3.44 pence from 3.05p.
Industrials REIT left its interim dividend unchanged at 3.375p, with guidance for full year maintained at 6.75p.
In the first half, portfolio valuation fell to GBP574.0 million from GBP582.3 million at March 31.
Occupancy remained robust at 93.9% at September 30, up from 93.7% at March 31, while strong rent collections stood at over 95% of invoices billed in last year.
"Over the course of the first half we have seen consistently high occupier demand for space in our multi-let portfolio, right across the UK. This helped drive rental growth and has also driven strong valuation growth of 8.7%," said Industrials REIT Chief Executive Paul Arenson.
Notwithstanding the recent setback in the global fight against Covid-19 with the appearance of the Omicron variant, the company said it remained confident that its portfolio will prove to be resilient and will continue to deliver strong fundamental performance in the second half of the year.
In Johannesburg, shares in Industrials REIT were down 0.1% at ZAR38.45 on late Friday morning. In London, the stock was quoted at 185.50 pence, unchanged.
By Artwell Dlamini; artwelldlamini@alliancenews.com
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