First Property Share Discussion Threads

[yupawiese2010] 29/11/2011 22:21

I.C. comments.

After rising steadily since the start of 2009, First Property 's share price has fallen by almost 25 per cent in the past three months. This slide seems due to the weakness of the Polish zloty against the euro, but also against sterling. A 10 per cent fall in the zloty since the eurozone debt crisis erupted over the summer has adversely affected Polish tenants; they pay rents in euros so in effect this equates to a rent increase.

The company's main Polish business manages properties for institutions led by the University Superannuation Scheme. But it has direct exposure through its new Fprop Opportunities (FOP) fund and two fully-owned properties in Warsaw. To date, FOP has acquired £22.7m of property, but a lack of institutional interest means that First Property currently owns 84 per cent of the fund. The good news is that FOP contributed maiden income of £1.31m and generated £724,000 of profits, of which £609,000 was attributed to First Property.

First Property made its name by exiting UK commercial property between 2005 and 2007, but now it's back and an ungeared UK fund for pension investment established in February 2010 – primarily invested in retail warehouses at low rents on long leases – is now close to its target of £106m under management.

Broker Arden upgraded its forecasts and now expects full-year pre-tax profits to rise by £0.8m to £3.8m and EPS to rise from 2p to 2.5p.

[topvest] 29/11/2011 18:40

Yes, good results and happy to hold. Management are very astute and seem to make the rights calls on when to purchase property. The debt free uk fund seems a good idea to me. Property is a good investment, but must listed funds have too much leverage!

[oregano] 29/11/2011 11:24

they need to change their broker - Arden are not doing their job properly.

[dorset64] 29/11/2011 11:15

Yet again showing the management to be right on song here and it's only a shame that not many others know the story.

[jeff h] 29/11/2011 11:12

oregano - you forgot to mention the div as well.

At 17p and a likely 1.1p payout this year that equates to 6.5% yield.

[oregano] 29/11/2011 09:52

Diluted EPS 1.6p vs 1p last time round.

Annualised the 1.6p we get 3.2p of EPS (there is no seasonality here and no revaluations in the numbers) - that is 50% year on year growth.

I think the current year forecast is 2.3p, so a 40% upgrade.

Share price at 17p = 5.3x.

5.3x for 50% growth trading at asset value with a 40% upgrade.

I agree with you Jeff H, i think this will get some support.

[jeff h] 29/11/2011 08:49

Well I been buying recently and my lowest price paid is 15.83p.

Added some more today....Simon Thompson from the IC is bound to do a write up on these results.

[mathisvale] 29/11/2011 08:25

I would not say no interest Darius. There is a group of veteran investors around that can still recognise quality when they see it.

In better times FPO would have been rated a lot higer than now - and it will be someday

[darias] 29/11/2011 07:48

Good results a well managed property company with no interest by anyone.

How long before we get back to 24p?

[topvest] 18/10/2011 20:44

Yes, sounded promising didn't it. Be nice if they could get their new investment vehicle listed as I think it would do very well with increased capital.

[darias] 18/10/2011 08:10

Long discussion about the polish economy on Today programme Radio 4.

[yupawiese2010] 14/10/2011 17:46

Interim results to be announced on 29th of Nov

[darias] 13/9/2011 07:54

AGM Statement

First Property Group plc (AIM: FPO), the commercial property fund management group, will hold its Annual General Meeting today at 12 noon.

At the AGM, the Company's Chief Executive, Ben Habib will make the following statement on behalf of the Chairman:

"Assets under management have grown since the financial year end to GBP375 million (31 Mar 2011: GBP366 million) as at 31 August 2011, of which 73% (31 Mar 2011: 75%) are located in Poland. The increase in assets under management is attributable to the on-going investment of the UK fund which we raised in February 2010, UK Pensions Property Portfolio ("UKPPP"). We are coming to the end of the investment phase for UKPPP and we intend to commence fund raising for a new UK fund soon. The business plan for this new UK fund will mirror that of UKPPP and will be defensively orientated.

"We are continuing our efforts to raise new funds for Fprop Opportunities plc and hope to report on this in greater detail in due course.

"We expect to report our interim results in November 2011."

Bit curates egg.

[kimboy2] 10/8/2011 11:34

2007 - 0.17p
2008 - 0.8p
2009 - 1p
2010 - 1.03p
2011 - 1.06p

[miss womble] 10/8/2011 11:22

Dorset64. Where is the "rising dividend year on year" The dividend has been the same since 2007 when it did not give a dividend at all.

[dorset64] 03/7/2011 16:34

Am still surprised that this one have not caught the eye of investors to date. Very prudent management and with a rising dividend year on year, certainly is a good investment to date.

[yupawiese2010] 21/6/2011 20:26

Courtesy of spikeyDt at iii.

First Property's Polish hopes
21/06/2011 Ben Jaglom



Property fund manager First Property (FPO) is hoping that Poland's economy will deliver further growth, reporting a 13 per cent increase in pre-tax profits for the year to June.

The AIM-quoted concern, which both invests directly in property and in a number of funds, declared pre-tax profits of £2.95 million on revenue of £7.1 million (2010: £6.5 million). The group's two holdings in Poland are the 'Blue Tower' in the business district of Warsaw - valued at $18.4 million and another property in Warsaw valued at £2.8 million. The company note that the 'Blue Tower property in particular has proven to be a very profitable investment.' Funds in which it holds a stake include the UK-focused '5th property trading' in which it holds 37.8 per cent and Regional Property Trading, a fund of which it owns 28.6 per cent.

Speaking to Growth Company Investor, CEO Ben Habib remarked that the increase in profits primarily arose due to the rise in FPO's assets under management, which climbed from £300 million to £366 million. Regarding the future of Poland, he drew attention to the recent troubles Greece is experiencing with its debt, arguing that 'much would depend on what happens with the situation in Greece.' However he was keen to enthuse that Poland is a country 'with strong consumer growth' and is in a 'different position to many of the other countries in Europe', opining that the country has the 'seventh largest economy in Europe.' Looking forward, he identified growth as coming via further opportunities in the Eastern European nation.

Following the results, analysts at house broker Arden Partners updated their forecasts. The broker is forecasting pre-tax profits of £3.5 million on turnover of £9.7 million in 2012, climbing to profits of £3.7 million on revenue of £10.2 million in 2013. A dividend of 1.09p and 1.12p is forecast for 2012 and 2013, respectively, while EPS of 2.3p and 2.4p are also pencilled in.

While numerous Eastern Europe-focused property concerns have had a disastrous recession as countries such as Romania and Bulgaria have failed to fulfil expectations, Poland has bucked the trend of its neighbours, growing at a respectable pace each year and attracting numerous investors. However the nerves around Greece and the long-term future of the Euro - two situations that remain unresolved mean that we rate the shares as a speculative buy.

[darias] 21/6/2011 08:23

I really like this company. Record price. Nobody gossiping just sitting back and taking the 5%+ divi on original investment.

Wish all stock picking could be like this.

[yupawiese2010] 27/5/2011 21:13

23/May.
www.growthcompany.co.uk.

There was also a comment on property group First Property. The group recently declared that results for the year to March 2011 were 'in line with market expectations' and analyst Chris Thomas notes that the company is 'in discussion with a number of potential investors for FOP', arguing that the company 'remains significantly undervalued from both an earnings and asset perspective'.

Thomas is forecasting a £200,000 increase in pre-tax profits to £3 million on turnover of £12.2 million for the year to March 2011, with a 0.05p increase in the dividend to 1.08p also expected.

[yupawiese2010] 27/5/2011 12:53

MATHISVALE.

I couldn`t agree with you more, at least I can understand the balance sheet unlike QED

[oregano] 27/5/2011 11:12

you can easily support a valuation of +30p here. good scope for a positive surprise on the dividend with all that surplus capital. their time has come.

[dorset64] 27/5/2011 09:46

Agree also that sooner or later pi's will soon discover what the BoD are doing here, and their expertise in leading the company profitably through the last few years of market malaise.

Hats off to them as you can only admire what they have achieved year in year out with continuous dividends.

[darias] 27/5/2011 09:39

>Azalea

The only people not in profit are those that bought between 16/5 and 27/5 2008. And I consider that even they will be in profit this year. The company is approaching record highs and the chartists will then not be able to predict the top price of this company!

[mathisvale] 27/5/2011 08:48

So far FPO has proved to be an ideal banker in my (or anyone's portfolio; good management, stable profits in times of crisis, steady growth in assets and income in more normal times.

Sooner or later the market will feel the quality of this co. and re-rate it. Going by the current share price uptrend that re-rating may have already started

[azalea] 28/4/2011 12:02

A useful tick up on the back of a 51k buy. I am now in profit, but expect notably more from the combination of FY results and dividend.