Lok'nStore H1 profit powers ahead

- Robust first-half trading, 20 per cent dividend hike- Five new stores planned over next 18 months- Confident for future tradingSelf-storage firm Lok'nStore reported improved revenue for the first half of its financial year and said trading has accelerated in recent months.Group revenue for the six months to January 31st rose 2.5% to £6.71m while like-for-like (LFL) sales increased 6.1% as the core self-storage business continued to grow.Adjusted earnings before interest, taxes, depreciation, and amortisation (EBITDA) rose 3.6% and on a LFL basis climbed 10.9%.The group, which is opening five new purpose built stores over the next 18 months, said operating profit jumped 9.6% and LFL rose 20.4%. Lok'nStore has increased its interim dividend by almost 20% to 2p per share. Andrew Jacobs, Chief Executive, said: "Trading in our existing stores has been strong in the first half of our financial year and has accelerated in recent months. The new flagship store in Maidenhead opened in December and early trading is buoyant giving us significant optimism that the new stores in Reading, Aldershot, Southampton and Bristol, which are opening over the coming 18 months."The strong growth of the business, good asset management and Lok'nStore's low level of debt means that this major expansion can be financed out of our existing bank facilities, and will be achieved while progressively increasing profits and dividends."Its shares rose 2.52% to 203.50p at 09:30 in London.CJ