Last checked at 1 Dec 2022 07:01
1 December 2022
Duke Royalty Limited
("Duke Royalty", "Duke" or the "Company")
Trading Update
Duke Royalty, a provider of alternative capital solutions to a diversified range of profitable and long-established businesses in Europe and North America, is pleased to provide guidance on its trading for its third financial quarter ending 31 December 2022 ("Q3 FY23").
Based on current trading, Duke expects to achieve recurring cash revenue* of £5.5 million in Q3 FY23. This represents a 41% increase on Q3 FY22 (£3.9 million) and an increase on the prior quarter, Q2 FY23, which saw the Company deliver record recurring cash revenue of £5.3 million.
Overview of quarterly revenue growth:
| Recurring Cash Revenue | Total Cash Revenue** |
Q2 FY22 | £3.3 million | £4.9 million |
Q3 FY22 | £3.9 million | £3.9 million |
Q4 FY22 | £4.7 million | £6.7 million |
Q1 FY23 | £5.1 million | £5.1 million |
Q2 FY23 | £5.3 million | £5.3 million |
* Recurring cash revenue excludes buyback premium receipts and cash gains from equity sales
** Total cash revenue is monthly cash distributions from Duke's royalty partners plus cash gains received from the sales of equity assets and buyback premiums
Neil Johnson, CEO of Duke Royalty, said:
"We are pleased to report that despite the macroeconomic backdrop, we continue to deliver revenue growth, with Q3 FY23 on course to maintain this upward trend. This is supporting the delivery of our quarterly dividend, which represents an annualised yield of over 8% at the current share price.
"In Q4 FY23, we expect to see continued new deployments, as shown by Duke's recent investment into New Path Fire & Security. Duke will be opportunistic in taking advantage of the current market where we are seeing other lenders pulling back from making new investments. Duke's access to capital and long term, aligned investment horizon is perfectly positioned for the current challenging macro environment."
***ENDS***
For further information, please visit www.dukeroyalty.com or contact:
Duke Royalty Limited | Neil Johnson / Charles Cannon Brookes / Hugo Evans
| +44 (0) 1481 730 613 |
Cenkos Securities plc (Nominated Adviser and Joint Broker)
| Stephen Keys / Callum Davidson / Michael Johnson
| +44 (0) 207 397 8900
|
Canaccord Genuity (Joint Broker)
| Adam James / Harry Rees | +44 (0) 207 523 8000 |
SEC Newgate (PR) | Elisabeth Cowell / Axaule Shukanayeva | +44 (0) 20 3757 6882 dukeroyalty@secnewgate.co.uk |
About Duke Royalty
Duke Royalty Limited provides alternative capital solutions to a diversified range of profitable and long-established businesses in Europe and abroad. Duke Royalty's experienced team provide financing solutions to private companies that are in need of capital but whose owners wish to maintain equity control of their business. Duke Royalty's royalty investments are intended to provide robust, stable, long term returns to its shareholders. Duke Royalty is listed on the AIM market under the ticker DUKE and is headquartered in Guernsey.