(Alliance News) - Real estate development company Plaza Centres NV widened its first half loss as interim finance costs soared.
In the six months ended June 30, the company posted a pretax loss of EUR10.8 million, up from EUR9.8 million in 2018. Revenue grew by more than four-times to EUR930,000 from EUR210,000 but the company suffered an increased finance loss of EUR10.3 million from EUR4.4 million.
The company attributed the rise in finance costs to foreign exchange movements, interest expenses on a series of bonds, and amortisation.
Plaza's net assets fell by 3.1% to EUR60.0 million from EUR61.9 million in December.
During the period, the company secured a definitive agreement for the sale of 37,000 square meters of land in Miercurea Ciuc, Romania. It also secured pre-sale agreements for a retail plots in Lodz, Poland and inked a preliminary sale agreement for a retail space in Brasov, Romania.
Looking ahead, Plaza said it will continue with its disposal strategy.
Executive Director Avi Hakhamov said: "Our main goal has continued to centre on asset disposals with the aim of satisfying our obligations to our stakeholders, as reflected by signing of the Casa Radio Pre-Sale agreement as approved by the bondholders and our shareholders. This remains our absolute priority for the second of half of the year."
Shares in Plaza closed untraded in London on Friday, last quoted at 20.00 pence each.
Plaza (PLAZ)