We could not find any results for:
Make sure your spelling is correct or try broadening your search.
Register for streaming realtime charts, analysis tools, and prices.
| Share Name | Share Symbol | Market | Type | Share ISIN | Share Description |
|---|---|---|---|---|---|
| Highcroft Investments Plc | LSE:HCFT | London | Ordinary Share | GB0004254875 | ORD 25P |
| Price Change | % Change | Share Price | Bid Price | Offer Price | High Price | Low Price | Open Price | Shares Traded | Last Trade | |
|---|---|---|---|---|---|---|---|---|---|---|
| 0.00 | 0.00% | 587.50 | 550.00 | 625.00 | 0.00 | 01:00:00 |
| Industry Sector | Turnover | Profit | EPS - Basic | PE Ratio | Market Cap |
|---|---|---|---|---|---|
| Real Estate Investment Trust | 5.61M | -7.12M | -1.3667 | -4.30 | 30.59M |
From Apr 2019 to Apr 2024
TIDMHCFT
RNS Number : 3635M
Highcroft Investments PLC
28 July 2017
28 July 2017
Highcroft Investments PLC
Interim Report for the six months ended 30 June 2017
Key Highlights:
*Gross rental income increased 20% to GBP2,238,000 (2016 GBP1,867,000)
*Net rental income increased 19% to GBP2,119,000 (2016 GBP1,775,000)
* No voids in our property portfolio (2016 none)
*Total earnings per share increased 18% to 52.1p (2016 44.3p)
*Net investment in property GBP7,801,000 (2016 net divestment GBP1,337,000)
*Property valuation GBP74,819,000 (2016 GBP57,240,000) increased 2.0% on a like-for-like basis
*Net assets per share increased 2.4% to 1097p (June 2016 1046p, December 2016 1071p)
*Net debt GBP18,627,000 (June 2016 GBP4,794,000, December 2016 GBP11,531,000)
*Interim property income distribution up 8.3% to 16.25p (2016 15.00p)
Dear Shareholder
I am pleased to report continued good trading results for the 6 months ended 30 June 2017.
Gross rental income has increased by 20%, reflecting the benefits arising from the ongoing strategy. Notwithstanding the likely uncertainties during the Brexit process, our confidence in the group's future is reflected in an interim property income distribution of 16.25p per share - an increase of 8.3% on 2016. This continues our long-standing policy and record of raising the dividend by more than inflation.
Results for the period
Property
Gross rental income has risen by 20%. This increase reflects the benefit of a full period's income from the Coventry and Grantham properties bought in August 2016, one quarter of income from the Nottingham purchase at the end of March 2017 and one month of income from the St Austell purchase. These increases have been offset by the reduction in income from the disposal of the properties in Staines in February 2017 and Warwick in December 2016. In addition, we have benefited from one positive rent review and one lease surrender premium. As in 2016 we have no voids. Property expenses for the six month period increased to GBP119,000 (2016 GBP92,000). A significant portion of these expenses relates to legal and professional fees that we have incurred in dealing with a leasehold enfranchisement claim at our one remaining residential asset. This claim failed at Tribunal; however, the leaseholders have exercised their right to appeal and we will continue to incur costs on this exercise. Other property costs remain tightly controlled. As reported in the 2016 annual report, we completed on the sale of our Staines unit in February 2017 at a GBP1,000 profit to the year-end valuation.
The external independent valuation of the property portfolio at 30 June 2017 showed a gain of 2.0% on a like-for-like basis arising, in part, from a positive, backdated, rent review on our office building in Oxford, and from market sentiment lifting the value of the warehouse element of the portfolio. This gain mirrored the performance of the property market in general. Only one asset showed a loss on valuation and this arose on our Nottingham asset which was valued at cost (net of capitalised purchaser's fees).
The upgrading of the property portfolio continues with the aim of improving the weighted unexpired lease term, strengthening covenants and increasing the average lot size.
Our property portfolio is now valued at GBP74.8 million (2016 GBP57.2 million).
Equities
Equity markets strengthened in the second half of 2016, and we took advantage of this strength to reduce the portfolio by GBP0.5m in January 2017 in line with our stated long-term strategy. As a result, and together with the sales made in 2016, dividend income from the equity portfolio reduced to GBP38,000 (2016 GBP73,000). We raised GBP477,000 from the sale of equities at a gain of GBP18,000 to the year-end valuation. There was a net gain on valuation of GBP69,000 (2016 GBP200,000) in the half year. We intend to continue to reduce the equity portfolio in line with our stated strategy.
Financial
Earnings per share on revenue activities increased to 31.1p (2016 28.4p) due primarily to the increased net rental income, net of increased finance expenses. The more volatile measure of total earnings per share which includes unrealised valuation gains was 52.1p (2016 44.3p).
At 30 June 2017 the cash position was GBP657,000 (2016 GBP6,706,000), while our medium term loans totalled GBP19,400,000 (2016 GBP11,500,000) resulting in a net gearing level of 33% (2016 9%). In the period we have increased our borrowing by GBP4,500,000 to purchase the St Austell asset and have also put in place a short-term overdraft facility. The medium term loans are at fixed rates with a weighted average of 3.64%.
Dividend
I am pleased to report an interim property income distribution of 16.25p (2016 15.00p) per share, payable on 13 October 2017 to shareholders on the register at 15 September 2017 (with an ex-dividend date of 14 September 2017).
Outlook
One lease renewal is in negotiation and this, together with the income arising from the acquisitions completed in the first half of 2017, should enable us to increase underlying gross rental income in the second half of 2017. In addition we also have five rent reviews in process. We expect the full year results to continue to reflect the benefits of our strategy.
John Hewitt
Chairman
27 July 2017
This announcement contains inside information for the purposes of Article 7 of Regulation (EU) No 596/2014.
For further information, contact:
Highcroft Investments PLC
John Hewitt/Roberta Miles +44 (0)1865 840023
Panmure Gordon (UK) Limited
Karri Vuori/Fabien Holler +44 (0)20 7886 2500
Condensed consolidated interim statement of comprehensive income (unaudited)
for the six months ended 30 June 2017
Hot Features
Premium
Unaudited Unaudited Audited
---------------------- ---- ---------------------------- ---------------------------- ----------------------------
First half First half
2017 2016 Full year 2016
---------------------- ---- ---------------------------- ---------------------------- ----------------------------
Revenue Capital Total Revenue Capital Total Revenue Capital Total
Note GBP'000 GBP'000 GBP'000 GBP'000 GBP'000 GBP'000 GBP'000 GBP'000 GBP'000
---------------------- ---- -------- -------- -------- -------- -------- -------- -------- -------- --------
Continuing operations
---------------------- ---- -------- -------- -------- -------- -------- -------- -------- -------- --------
Gross rental income 2,238 - 2,238 1,867 - 1,867 3,906 - 3,906
---------------------- ---- -------- -------- -------- -------- -------- -------- -------- -------- --------
Property operating
expenses (119) - (119) (92) - (92) (198) - (198)
---------------------- ---- -------- -------- -------- -------- -------- -------- -------- -------- --------
Net rental income 2,119 - 2,119 1,775 - 1,775 3,708 - 3,708
---------------------- ---- -------- -------- -------- -------- -------- -------- -------- -------- --------
Realised gains on
investment property 1 - 1 127 - 127 134 - 134
---------------------- ---- -------- -------- -------- -------- -------- -------- -------- -------- --------
Realised losses on
investment property - - - - - - - - -
---------------------- ---- -------- -------- -------- -------- -------- -------- -------- -------- --------
Net gain on disposal
of investment
property 1 - 1 127 - 127 134 - 134
---------------------- ---- -------- -------- -------- -------- -------- -------- -------- -------- --------
Valuation gains on
investment property - 1,337 1,337 - 778 778 - 2,509 2,509
---------------------- ---- -------- -------- -------- -------- -------- -------- -------- -------- --------
Valuation losses on
investment property - (316) (316) - (165) (165) - (1,536) (1,536)
---------------------- ---- -------- -------- -------- -------- -------- -------- -------- -------- --------
Net valuation gains
on investment
property - 1,021 1,021 - 613 613 - 973 973
---------------------- ---- -------- -------- -------- -------- -------- -------- -------- -------- --------
Dividend income 38 - 38 73 - 73 144 - 144
---------------------- ---- -------- -------- -------- -------- -------- -------- -------- -------- --------
Gains on investments 19 137 156 3 294 297 - 546 546
---------------------- ---- -------- -------- -------- -------- -------- -------- -------- -------- --------
Losses on investments (1) (68) (69) (16) (94) (110) - (58) (58)
---------------------- ---- -------- -------- -------- -------- -------- -------- -------- -------- --------
Net investment income 56 69 125 60 200 260 144 488 632
---------------------- ---- -------- -------- -------- -------- -------- -------- -------- -------- -------- Administrative expenses (339) - (339) (323) - (323) (651) - (651) ---------------------- ---- -------- -------- -------- -------- -------- -------- -------- -------- -------- Operating profit before net financing costs 1,837 1,090 2,927 1,639 813 2,452 3,335 1,461 4,796 ---------------------- ---- -------- -------- -------- -------- -------- -------- -------- -------- -------- Finance income 1 - 1 8 - 8 11 - 11 ---------------------- ---- -------- -------- -------- -------- -------- -------- -------- -------- -------- Finance expenses (295) - (295) (235) - (235) (506) - (506) ---------------------- ---- -------- -------- -------- -------- -------- -------- -------- -------- -------- Net finance costs (294) - (294) (227) - (227) (495) - (495) ---------------------- ---- -------- -------- -------- -------- -------- -------- -------- -------- -------- Profit before tax 1,543 1,090 2,633 1,412 813 2,225 2,840 1,461 4,301 ---------------------- ---- -------- -------- -------- -------- -------- -------- -------- -------- -------- Income tax credit 4 64 (4) 60 60 3 63 72 (30) 42 ---------------------- ---- -------- -------- -------- -------- -------- -------- -------- -------- -------- Total profit and comprehensive income for the financial period 1,607 1,086 2,693 1,472 816 2,288 2,912 1,431 4,343 ---------------------- ---- -------- -------- -------- -------- -------- -------- -------- -------- -------- Basic and diluted earnings per share 6 31.1p 21.0p 52.1p 28.4p 15.9p 44.3p 55.7p 28.3p 84.0p ---------------------- ---- -------- -------- -------- -------- -------- -------- -------- -------- --------
Condensed consolidated interim statement of financial position (unaudited)
as at 30 June 2017
Unaudited Unaudited Audited
30 June 30 June 31 December
2017 2016 2016
Note GBP'000 GBP'000 GBP'000
------------------------------- ---- --------- --------- ------------
Assets
------------------------------- ---- --------- --------- ------------
Investment property 7 74,819 57,240 65,997
------------------------------- ---- --------- --------- ------------
Equity investments 8 2,079 2,851 2,469
------------------------------- ---- --------- --------- ------------
Total non-current assets 76,898 60,091 68,466
------------------------------- ---- --------- --------- ------------
Current assets
------------------------------- ---- --------- --------- ------------
Trade and other receivables 831 723 631
------------------------------- ---- --------- --------- ------------
Cash at bank and in hand 657 6,706 3,369
------------------------------- ---- --------- --------- ------------
Total current assets 1,488 7,429 4,000
------------------------------- ---- --------- --------- ------------
Total assets 78,386 67,520 72,466
------------------------------- ---- --------- --------- ------------
Liabilities
------------------------------- ---- --------- --------- ------------
Current liabilities
------------------------------- ---- --------- --------- ------------
Current corporation tax 8 - 8
------------------------------- ---- --------- --------- ------------
Trade and other payables 1,988 1,613 1,858
------------------------------- ---- --------- --------- ------------
Total current liabilities 1,996 1,613 1,866
------------------------------- ---- --------- --------- ------------
Non-current liabilities
------------------------------- ---- --------- --------- ------------
Interest-bearing loans and
borrowings 9 19,400 11,500 14,900
------------------------------- ---- --------- --------- ------------
Deferred tax liabilities 315 362 375
------------------------------- ---- --------- --------- ------------
Total non-current liabilities 19,715 11,862 15,275
------------------------------- ---- --------- --------- ------------
Total liabilities 21,711 13,475 17,141
------------------------------- ---- --------- --------- ------------
Net assets 56,675 54,045 55,325
------------------------------- ---- --------- --------- ------------
Equity
------------------------------- ---- --------- --------- ------------
Issued share capital 1,292 1,292 1,292
------------------------------- ---- --------- --------- ------------
Revaluation reserve - property 15,855 15,392 14,276
------------------------------- ---- --------- --------- ------------
Revaluation reserve - other 423 465 659
------------------------------- ---- --------- --------- ------------
Capital redemption reserve 95 95 95
------------------------------- ---- --------- --------- ------------
Realised capital reserve 26,611 26,109 27,020
------------------------------- ---- --------- --------- ------------
Retained earnings 12,399 10,692 11,983
------------------------------- ---- --------- --------- ------------
Total equity 56,675 54,045 55,325
------------------------------- ---- --------- --------- ------------
Condensed consolidated interim statement of changes in equity
for the six months ended 30 June 2017
First half 2017 - Unaudited
Revaluation reserves
---------------------- -------- -------------------------- ----------- -------- --------- --------
Capital Realised Retained
Equity Property Other redemption capital earnings Total
GBP'000 GBP'000 GBP'000 GBP'000 GBP'000 GBP'000 GBP'000
---------------------- -------- ------------ ------------ ----------- -------- --------- --------
At 1 January 2017 1,292 14,276 659 95 27,020 11,983 55,325
---------------------- -------- ------------ ------------ ----------- -------- --------- --------
Dividends - - - - - (1,343) (1,343)
---------------------- -------- ------------ ------------ ----------- -------- --------- --------
Reserve transfers:
---------------------- -------- ------------ ------------ ----------- -------- --------- --------
Non-distributable
items recognised
in income statement:
---------------------- -------- ------------ ------------ ----------- -------- --------- --------
Revaluation gains - 1,021 69 - - (1,090) -
---------------------- -------- ------------ ------------ ----------- -------- --------- --------
Tax on revaluation
gains/(losses) - - - - - - -
---------------------- -------- ------------ ------------ ----------- -------- --------- --------
Realised gains - - - - 16 (16) -
---------------------- -------- ------------ ------------ ----------- -------- --------- --------
Surplus attributable
to assets sold - 734 (309) - (425) - -
---------------------- -------- ------------ ------------ ----------- -------- --------- --------
Excess of cost
over revalued amount
taken to retained
earnings - (176) 4 - - 172 -
---------------------- -------- ------------ ------------ ----------- -------- --------- --------
Transactions with
owners - 1,579 (236) - (409) (2,277) (1,343)
---------------------- -------- ------------ ------------ ----------- -------- --------- --------
Profit and total
comprehensive income
for the period - - - - - 2,693 2,693
---------------------- -------- ------------ ------------ ----------- -------- --------- --------
At 30 June 2017 1,292 15,855 423 95 26,611 12,399 56,675
---------------------- -------- ------------ ------------ ----------- -------- --------- --------
First half 2016 - Unaudited
Revaluation reserves
---------------------- -------- -------------------------- ----------- -------- --------- --------
Capital Realised Retained
Equity Property Other redemption capital earnings Total
GBP'000 GBP'000 GBP'000 GBP'000 GBP'000 GBP'000 GBP'000
---------------------- -------- ------------ ------------ ----------- -------- --------- --------
At 1 January 2016 1,292 14,764 667 95 25,586 10,619 53,023
---------------------- -------- ------------ ------------ ----------- -------- --------- --------
Dividends - - - - - (1,266) (1,266)
---------------------- -------- ------------ ------------ ----------- -------- --------- --------
Reserve transfers:
---------------------- -------- ------------ ------------ ----------- -------- --------- --------
Non-distributable
items recognised
in income statement:
---------------------- -------- ------------ ------------ ----------- -------- --------- --------
Revaluation gains - 613 200 - - (813) -
---------------------- -------- ------------ ------------ ----------- -------- --------- --------
Tax on revaluation
gains - - - - - - -
---------------------- -------- ------------ ------------ ----------- -------- --------- --------
Realised gains - - - - 116 (116) -
---------------------- -------- ------------ ------------ ----------- -------- --------- --------
Surplus attributable
to assets sold - - (407) - 407 - -
---------------------- -------- ------------ ------------ ----------- -------- --------- --------
Excess of cost
over revalued amount
taken to retained
earnings - 15 5 - - (20) -
---------------------- -------- ------------ ------------ ----------- -------- --------- --------
Transactions with
owners - 628 (202) - 523 (2,215) (1,266)
---------------------- -------- ------------ ------------ ----------- -------- --------- --------
Profit and total
comprehensive income
for the period - - - - - 2,288 2,288
---------------------- -------- ------------ ------------ ----------- -------- --------- --------
At 30 June 2016 1,292 15,392 465 95 26,109 10,692 54,045
---------------------- -------- ------------ ------------ ----------- -------- --------- --------
Condensed consolidated interim statement of
changes in equity for the six months ended 30 June 2017 (continued)
Full year 2016 - Audited
Revaluation
reserves
---------------------- -------- --------------------- ----------- -------- --------- --------
Capital Realised Retained
Equity Property Other redemption capital earnings Total
GBP'000 GBP'000 GBP'000 GBP'000 GBP'000 GBP'000 GBP'000
---------------------- -------- ---------- --------- ----------- -------- --------- --------
At 1 January 2016 1,292 14,764 667 95 25,586 10,619 53,023
---------------------- -------- ---------- --------- ----------- -------- --------- --------
Dividends - - - - - (2,041) (2,041)
---------------------- -------- ---------- --------- ----------- -------- --------- --------
Reserve transfers:
---------------------- -------- ---------- --------- ----------- -------- --------- --------
Non-distributable
items recognised
in income statement:
---------------------- -------- ---------- --------- ----------- -------- --------- --------
Revaluation gains - 973 467 - - (1,440) -
---------------------- -------- ---------- --------- ----------- -------- --------- --------
Tax on revaluation
gains - - (26) - - 26 -
---------------------- -------- ---------- --------- ----------- -------- --------- --------
Realised gains - - - - 149 (149) -
---------------------- -------- ---------- --------- ----------- -------- --------- --------
Surplus attributable
to assets sold - (836) (449) - 1,285 - -
---------------------- -------- ---------- --------- ----------- -------- --------- --------
Excess of cost
over revalued amount
taken to retained
earnings - (625) - - - 625 -
---------------------- -------- ---------- --------- ----------- -------- --------- --------
Transactions with
owners - (488) (8) - 1,434 (2,979) (2,041)
---------------------- -------- ---------- --------- ----------- -------- --------- --------
Profit and total
comprehensive income
for the period - - - - - 4,343 4,343
---------------------- -------- ---------- --------- ----------- -------- --------- --------
At 31 December
2016 1,292 14,276 659 95 27,020 11,983 55,325
---------------------- -------- ---------- --------- ----------- -------- --------- --------
Condensed consolidated interim statement of cash flows
for the six months ended 30 June 2017
Unaudited Unaudited Audited
First First Full
half half year
2017 2016 2016
GBP'000 GBP'000 GBP'000
---------------------------------------------------------- --------- --------- --------
Operating activities
---------------------------------------------------------- --------- --------- --------
Profit before tax for the period 2,633 2,225 4,301
---------------------------------------------------------- --------- --------- --------
Adjustments for:
---------------------------------------------------------- --------- --------- --------
Net valuation gains on investment
property (1,021) (613) (973)
---------------------------------------------------------- --------- --------- --------
Gain on disposal of investment property (1) (127) (134)
---------------------------------------------------------- --------- --------- --------
Net gains on investments (87) (187) (488)
---------------------------------------------------------- --------- --------- --------
Finance income (1) (8) (11)
---------------------------------------------------------- --------- --------- --------
Finance expense 295 235 506
---------------------------------------------------------- --------- --------- --------
Operating cash flow before changes
in working capital and provisions 1,818 1,525 3,201
---------------------------------------------------------- --------- --------- --------
Increase in trade and other receivables (200) (82) 10
---------------------------------------------------------- --------- --------- --------
Increase/(decrease) in trade and
other payables 129 (50) 193
---------------------------------------------------------- --------- --------- --------
Cash generated from operations 1,747 1,393 3,404
---------------------------------------------------------- --------- --------- --------
Finance income 1 8 11
---------------------------------------------------------- --------- --------- --------
Finance expense (295) (235) (506)
---------------------------------------------------------- --------- --------- --------
Income tax paid - - -
---------------------------------------------------------- --------- --------- --------
Net cash flows from operating activities 1,453 1,166 2,909
---------------------------------------------------------- --------- --------- --------
Investing activities
---------------------------------------------------------- --------- --------- --------
Purchase of fixed assets - investment
property (10,058) - (9,896)
---------------------------------------------------------- --------- --------- --------
- equity investments - (3) (3)
---------------------------------------------------------- --------- --------- --------
Sale of fixed assets - investment
property 2,258 1,464 2,972
---------------------------------------------------------- --------- --------- --------
- equity investments 477 493 1,176
---------------------------------------------------------- --------- --------- --------
Net cash flows from investing activities (7,323) 1,954 (5,751)
---------------------------------------------------------- --------- --------- --------
Financing activities
---------------------------------------------------------- --------- --------- --------
New bank borrowings 4,500 - 3,400
---------------------------------------------------------- --------- --------- --------
Dividends paid (1,343) (1,266) (2,041)
---------------------------------------------------------- --------- --------- --------
Net cash flows from financing activities 3,157 (1,266) 1,359
---------------------------------------------------------- --------- --------- --------
Net (decrease)/increase in cash
and cash equivalents (2,712) 1,854 (1,483)
---------------------------------------------------------- --------- --------- --------
Cash and cash equivalents at 1 January 3,369 4,852 4,852
---------------------------------------------------------- --------- --------- --------
Cash and cash equivalents at period
end 657 6,706 3,369
---------------------------------------------------------- --------- --------- --------
Notes (Unaudited)
for the six months ended 30 June 2017
1. Nature of operations and general information
Highcroft Investments PLC ('Highcroft') and its subsidiaries' (together 'the group') principal activity is investment in property and equities. It is incorporated and domiciled in Great Britain. The address of Highcroft's registered office, which is also its principal place of business, is Thomas House, Langford Locks, Kidlington, OX5 1HR. Highcroft's condensed consolidated interim financial statements are presented in Pounds Sterling (GBP), which is also the functional currency of the group. These condensed consolidated interim financial statements have been approved for issue by the directors on 27 July 2017. The financial information for the period ended 30 June 2017 set out in this interim report does not constitute statutory accounts as defined in Section 404 of the Companies Act 2006. The group's statutory financial statements for the year ended 31 December 2016 have been filed with the Registrar of Companies. The auditor's report on those financial statements was unqualified and did not contain statements under Section 498(2) or Section 498(5) of the Companies Act 2006.
2. Basis of preparation
These condensed consolidated interim financial statements are for the six months ended 30 June 2017. They have been prepared in accordance with IAS 34, Interim Financial Reporting. They do not include all of the information required for full annual financial statements, and should be read in conjunction with the consolidated financial statements of the group for the year ended 31 December 2016.
These condensed consolidated interim financial statements have been prepared under the historical cost convention, as modified by the revaluation of investment properties and the measurement of equity investments at fair value. These condensed consolidated interim financial statements have been prepared in accordance with the accounting policies adopted in the last annual financial statements for the year to 31 December 2016.
The accounting policies have been applied consistently throughout the group for the purposes of preparation of these condensed consolidated interim financial statements.
The financial statements are drawn up on a going concern basis. The directors have a reasonable expectation that the group has adequate resources to continue in operational existence for the foreseeable future, and consider that there are no material uncertainties that lead to significant doubt upon the group's ability to continue as a going concern. Cash flow forecasts are prepared annually as part of the planning and budgeting process and are monitored and reworked regularly. The group has fixed-term non amortising borrowing and has additional headroom available. In addition the group has relatively liquid assets in the form of listed equity investments on which it can draw if necessary.
3. Segment reporting
Segmental information is presented in the condensed consolidated interim financial statements in respect of the group's business segments. The business segment reporting format reflects the group's management and internal reporting structure. Segment results include items directly attributable to a segment as well as those that can be allocated on a reasonable basis. All gross income is from external tenants or external investments.
The group is comprised of the following main business segments:
-- Commercial property comprising retail outlets, offices, warehouses and retail warehouses in England and Wales
-- Residential property comprising flats in England -- Financial assets comprising exchange-traded equity investments.
3. Segment reporting (continued)
First First Full
half half year
2017 2016 2016
GBP'000 GBP'000 GBP'000
----------------------------- -------- -------- --------
Commercial property
----------------------------- -------- -------- --------
Gross income 2,230 1,855 3,886
----------------------------- -------- -------- --------
Profit for the period 2,562 1,844 3,221
----------------------------- -------- -------- --------
Assets 75,718 64,287 67,858
----------------------------- -------- -------- --------
Liabilities 21,057 12,798 16,378
----------------------------- -------- -------- --------
Residential property
----------------------------- -------- -------- --------
Gross income 8 12 20
----------------------------- -------- -------- --------
(Loss)/profit for the period (49) 133 473
----------------------------- -------- -------- --------
Assets 584 375 584
----------------------------- -------- -------- --------
Liabilities 1 - -
----------------------------- -------- -------- --------
Financial assets
----------------------------- -------- -------- --------
Gross income 38 73 144
----------------------------- -------- -------- --------
Profit for the period 180 311 649
----------------------------- -------- -------- --------
Assets 2,084 2,858 4,024
----------------------------- -------- -------- --------
Liabilities 653 677 763
----------------------------- -------- -------- --------
Total
----------------------------- -------- -------- --------
Gross income 2,276 1,940 4,050
----------------------------- -------- -------- --------
Profit for the period 2,693 2,288 4,343
----------------------------- -------- -------- --------
Assets 78,386 67,520 72,466
----------------------------- -------- -------- --------
Liabilities 21,711 13,475 17,141
----------------------------- -------- -------- --------
In 2017 the largest tenant represented 9% (2016 10%) and the second largest tenant represented 7% (2016 9%) of gross commercial property income for the period.
4. Income tax (credit)/expense
First First Full
half half year
2017 2016 2016
GBP'000 GBP'000 GBP'000
=================== ======== ======== ========
Current tax:
------------------- -------- -------- --------
On revenue profits (64) (60) 12
------------------- -------- -------- --------
On capital profits 4 (3) (80)
------------------- -------- -------- --------
(60) (63) (68)
------------------- -------- -------- --------
Deferred tax - - 26
=================== ======== ======== ========
(60) (63) (42)
=================== ======== ======== ========
The taxation charge has been based on the estimated effective tax rate for the full year. As a Real Estate Investment Trust the group does not pay corporation tax on its profits and gains from its commercial and residential property activities.
5. Dividends
On 27 July 2017, the directors declared a property income distribution of 16.25p per share (2016 15.0p per share) payable on 13 October 2017 to shareholders registered at 15 September 2017.
The following property income distributions have been paid by the company:
First First Full
half half year
2017 2016 2016
GBP'000 GBP'000 GBP'000
================================= ======== ======== ========
2016 final: 26.0p per ordinary
share (2015 final 24.5p) 1,343 1,266 1,266
--------------------------------- -------- -------- --------
2016 interim: 15.0p per ordinary
share - - 775
================================= ======== ======== ========
1,343 1,266 2,041
================================= ======== ======== ========
6. Earnings per share
The calculation of earnings per share is based on the profit for the period of GBP2,693,000 (2016 GBP2,288,000) and on 5,167,240 shares (2016 5,167,240) which is the weighted average number of shares in issue during the period ended 30 June 2017 and throughout the period since 1 January 2016.
In order to draw attention to the impact of valuation gains and losses which are included in the income statement but not available for distribution under the company's articles of association, an adjusted earnings per share based on the profit available for distribution of GBP1,607,000 (2016 GBP1,472,000) has been calculated.
First First Full
half half year
2017 2016 2016
GBP'000 GBP'000 GBP'000
==================================== ======== ======== ========
Earnings:
------------------------------------ -------- -------- --------
Basic earnings 2,693 2,288 4,343
------------------------------------ -------- -------- --------
Adjustments for:
------------------------------------ -------- -------- --------
Net valuation profits on investment
property (1,021) (613) (974)
------------------------------------ -------- -------- --------
Gains and losses on investments (69) (200) (488)
------------------------------------ -------- -------- --------
Income tax on gains and losses 4 (3) (4)
==================================== ======== ======== ========
Adjusted earnings 1,607 1,472 2,877
==================================== ======== ======== ========
Per share amount:
------------------------------------ -------- -------- --------
Basic earnings per share 52.1p 44.3p 84.0p
------------------------------------ -------- -------- --------
Adjustments for:
------------------------------------ -------- -------- --------
Net valuation gains on investment
property (19.8p) (11.9p) (18.9p)
------------------------------------ -------- -------- --------
Gains and losses on investments (1.3p) (3.9p) 9.4p
------------------------------------ -------- -------- --------
Income tax on gains and losses 0.1p (0.1p) -
==================================== ======== ======== ========
Adjusted earnings per share 31.1p 28.4p 55.7p
==================================== ======== ======== ========
7. Investment property
First First Full
half half year
2017 2016 2016
GBP'000 GBP'000 GBP'000
======================== ======== ======== ========
Valuation at 1 January 65,997 57,964 57,964
------------------------ -------- -------- --------
Additions 10,058 - 9,896
------------------------ -------- -------- --------
Disposals (2,257) (1,337) (2,836)
------------------------ -------- -------- --------
Gain on revaluation 1,021 613 973
======================== ======== ======== ========
Valuation at period end 74,819 57,240 65,997
======================== ======== ======== ========
The directors have used an external independent valuation of properties at 30 June 2017 which has been carried out consistently with the annual valuation.
8. Equity investments
First First Full
half half year
2017 2016 2016
GBP'000 GBP'000 GBP'000
================================= ======== ======== ========
Valuation at 1 January 2,469 3,155 3,155
--------------------------------- -------- -------- --------
Additions - 3 3
--------------------------------- -------- -------- --------
Disposals (459) (507) (1,159)
--------------------------------- -------- -------- --------
Surplus on revaluation in excess
of cost 72 206 467
--------------------------------- -------- -------- --------
Revaluation decrease below cost (3) (32) (11)
--------------------------------- -------- -------- --------
Revaluation increase still below
cost - 26 14
================================= ======== ======== ========
Valuation at period end 2,079 2,851 2,469
================================= ======== ======== ========
9. Interest bearing loans
First First Full
half half year
2017 2016 2016
GBP'000 GBP'000 GBP'000
==================================== ======== ======== ========
Medium term loans 19,400 11,500 14,900
==================================== ======== ======== ========
The medium term bank loans comprise
amounts falling due as follows:
------------------------------------ -------- -------- --------
Between two and five years 11,500 4,000 4,000
==================================== ======== ======== ========
Over five years 7,900 7,500 10,900
==================================== ======== ======== ========
The debt is secured on certain assets within the group's property portfolio.
10. Related party transactions
Kingerlee Holdings Limited owns, through its wholly owned subsidiaries, 27.2% (2016 27.2%) of the company's shares and D H Kingerlee is a director of both the company and Kingerlee Holdings Limited.
During the period, the group made purchases from Kingerlee Limited a subsidiary of Kingerlee Holdings Limited, being a service charge in relation to services at Thomas House, Kidlington of GBP7,000 (2016 GBP7,000) and a recharge of costs of GBP180 (2016 GBPnil). The amount owed at 30 June 2017 was GBPnil (2016 GBPnil). All transactions were undertaken on an arm's length basis.
11. Net assets per share
First First Full
half half year
2017 2016 2016
=========================== ============= ============= =============
Net assets GBP56,675,000 GBP54,045,000 GBP55,325,000
--------------------------- ------------- ------------- -------------
Ordinary shares in issue 5,167,240 5,167,240 5,167,240
--------------------------- ------------- ------------- -------------
Basic net assets per share 1097p 1046p 1071p
=========================== ============= ============= =============
Statement of directors' responsibilities
The directors confirm that, to the best of their knowledge, this condensed consolidated set of half-year financial statements has been prepared in accordance with IAS 34. The half-year management report includes a fair review of the information required by 4.2.7 and 4.2.8 of the Disclosure and Transparency Rules of the United Kingdom's Financial Conduct Authority, namely:
-- an indication of the important events that have occurred during the first six months of the financial year ending 31 December 2017 and their impact on the condensed consolidated set of half-year financial statements, and a description of the principal risks and uncertainties for the remaining six months of the financial year; and
-- disclosure of material related party transactions in the first six months of the financial year, and any material changes in the related party transactions described in the last annual report.
A list of current directors is maintained on the Highcroft Investments PLC website: www.highcroftplc.com.
By order of the board
John Hewitt
Chairman
27 July 2017
This information is provided by RNS
The company news service from the London Stock Exchange
END
IR LLFERDIIDFID
(END) Dow Jones Newswires
July 28, 2017 02:00 ET (06:00 GMT)
1 Year Highcroft Investments Chart |
1 Month Highcroft Investments Chart |
It looks like you are not logged in. Click the button below to log in and keep track of your recent history.
Support: +44 (0) 203 8794 460 | support@advfn.com
By accessing the services available at ADVFN you are agreeing to be bound by ADVFN's Terms & Conditions
