Penarian H.f 52 Regulatory News (71HO)

PenArian Housing Finance PLC

Overview

ClwydAlyn continued to perform well throughout 2025/26 and the quarter 3 Management Accounts show strong and consistent performance against budget. Of particular note is the improvement in the management of empty properties reducing the rent losses as a result and the increase in volume of shared ownership staircasing and sales reflecting a positive market. With an ambitious development programme and a changing grant receipt profile from Welsh Government, additional drawdown of funds has been made and interest paid has therefore increased.

The sale of our only nursing home also completed in Q3. Merton Place was sold to Minster Care, an organisation with expertise in this sector and in whom the Board found assurance that our residents and colleagues would continue to be well cared for. This transaction reduces complexity and risk from the organisation and improves operating margin due to the tight business model in the nursing sector. ClwydAlyn continues to support older adults through our Extra Care schemes and Care Home portfolio. The disposal results in lower turnover for ClwydAlyn, but stronger operating margins. The impact of this in 2025/26 is reduced due to the timing of the completion towards the end of the year, however it does support the margins in future years.

The result is a strong full year forecast with an operating surplus of £14 million and an operating margin of 20.9% and a net surplus of £4.8million and margin of 7.1%.

Cashflow

We completed a further flexible loan arrangement with Principality, a Welsh lender in Q3 which provided funds to support our planned development programme. Following the annual review of our Treasury Strategy we are increasing the Group's committed credit line to enhance liquidity and extending the facility for an additional five years.

Rating

We were pleased to retain our 'A Stable' credit rating with Standard and Poor's and Moody's rating of A3 'stable'.

Regulation

We are pleased to announce that ClwydAlyn received its Welsh Government Regulatory Judgement in December 2025 confirming our green status for both Governance and Service Delivery and Financial Viability. Full details of the Judgement can be found on our investors page.  Investors2 - Clwydalyn

Should you have any queries regarding this update you can contact:

Company Secretary rachel.storr-barber@clwydalyn.co.ukExecutive Director of Resources sandy.murray@clwydalyn.co.uk