Tritax Big Box Reit Share Discussion Threads

[gswredland] 09/8/2018 15:17

Probably a bit further to fall but I would like to add!

[skinny] 09/8/2018 14:49

Liberum Capital Hold 152.45 165.00 - Reiterates

[angusf77] 09/8/2018 14:24

Sounds like business as usual although the tone is maybe a bit more cautious e.g. "We feel that Brexit does not yet appear to be affecting occupier demand for Big Box space significantly...". Previous results perhaps seemed more confident about demand outlook and talked about Brexit silver linings

[speedsgh] 09/8/2018 12:11

@jonwig - In most cases I find companies' share price movements on the day of results releases illogical/arbitrary/meaningless. I see nothing in today's BBOX results out of the ordinary & therefore will not be lingering over them for too long. Expect another fundraising round before year end, nothing new there.

[jonwig] 09/8/2018 11:59

Following my request, FT Markets Live:


Tritax Big Box Reit PLC (BBOX:LSE): Last: 152.60, down 2.4 (-1.55%), High: 155.00, Low: 152.55, Volume: 587.76k

11:48 am
DM
Liberum, holders

11:48 am
DM
H1 results confirm a modest half year for Tritax with NAV +3% to 146p, in line with of our forecast and the dividend +5%, also in line and fully covered by earnings. Management continue to deploy capital following the recent ~£160m raise with a focus on forward funded development and current commitments expected to take the LTV back to the target 35%. Tritax’s long let income, backed by significant tenant investment and a strong structural tailwind is attractive at a marginal discount to industrial peers, but less exposure to the faster growing South is now more visible. The shares trade on a CY18E P/NAV of 1.03x vs the UK Real Estate sector on 0.90x and yield 4.3%.

11:48 am
DM
Industrial boxes a great business

11:49 am
DM
But the market knows that

In other words, nothing to give an upward shove.

[jonwig] 09/8/2018 11:54

@ speedsgh - well, I can't find anything in these results to explain why it should underperform the sector and the wider market today. High street woes are pretty irrelevant I think.

Brexit? They once said they would benefit! Weaker sterling might deter e-commerce in general, as consumers feel stretched.

[tyranosaurus] 09/8/2018 11:19

The market is not impressed as the shares are currently down 2p.
The dividend has just about been covered.
Admin expenses have risen sharply and there is no breakdown in the accounts (that I could see)
I continue to hold for the dividends and this is still a very safe stock.

[speedsgh] 09/8/2018 08:40

Interim Results cont'd...

Richard Jewson, Chairman of Tritax Big Box REIT plc, commented:

"The Group has an exceptional portfolio and is well positioned to take advantage of the changing dynamics in the logistics market, in particular technical innovation in the form of e-commerce. This is affecting fortunes on the high street with a number of well-publicised retailers having succumbed to a challenging trading environment.

Despite the depreciation of Sterling having made imports more expensive, we feel that Brexit does not yet appear to be affecting occupier demand for Big Box space significantly. We expect to see continued healthy occupier requirements for well-located logistics buildings which enable occupiers to remain competitive by delivering economies of scale benefits, cost savings and improved operational efficiencies.

Market rental growth remains ahead of underlying inflation and we believe that trend will continue in the near term. This supports the continued strong investment demand for UK logistics assets which produced further yield compression in the first half of this year.

We are well capitalised and this will allow us to continue to add high-quality assets to the portfolio selectively. We expect to continue to do so at attractive prices. Our pipeline of identified investments, forward funded developments and land is strong. We have under offer opportunities which, assuming they proceed to completion, would see our last equity raise fully invested on a geared basis.

Our high-quality income is now well matched against longer-term fixed or hedged debt which provides further comfort to our ambition to grow our dividend. The Company is well placed to continue to benefit from its strong position in the market and deliver attractive returns to our Shareholders."

[speedsgh] 09/8/2018 08:37

Interim Results for six months ended 30 June 2018 -

Financial highlights

· Fully covered dividends declared for the six-month period of 3.35 pence per share, putting the Company on track to hit its full-year target of 6.70 pence1.
· Adjusted earnings per share for the six-month period of 3.38 pence per share2, an increase of 5.3% over H1 2017.
· EPRA net asset value ("NAV") per share increased by 3.98 pence or 2.8% to 146.22 pence as at 30 June 2018 (31 December 2017: 142.24 pence).
· Total return for the period was 5.10%, comparing well against the Company's medium-term target of at least 9% per annum.
· Portfolio independently valued at £2.90 billion3 as at 30 June 2018 (31 December 2017: £2.61 billion), including all forward funded development commitments. This reflected a like-for-like valuation uplift during the six-month period of 1.9%.
· Operating profit before changes in fair value of investment properties has increased by 34.7% to £57.42 million (30 June 2017: £42.64 million).
· Contracted annual rent roll increased to £139.36 million (31 December 2017: £125.95 million), including all forward funded development commitments.
· At the period end, the Group's independent valuer, CBRE, assessed the portfolio's headline Estimated Rental Value (ERV) 5.6% above contracted annual rent, at £147.19 million pa.
· EPRA cost ratio maintained at 13.7%, when compared to the first half of last year (30 June 2017: 13.7%).
· At 30 June 2018, the Group had a loan to value (LTV) ratio of 25% (31 December 2017: 27%). This compares with our medium-term target of up to 40% when fully invested and geared. The Group has a largely unsecured debt platform which provides the flexibility to raise further liquidity across multiple debt markets.
· As a consequence of its fixed-rate debt and hedging policy, the Group has a capped cost of debt of 2.66% and an all-in running cost of borrowing of 2.44% at the period end.

Operational highlights

· At 30 June 2018, the weighted average unexpired lease term ("WAULT")5 6 was 14.1 years.
· Average net initial yield of the property portfolio at acquisition is 5.6%5, against our period end valuation of 4.6% net initial yield5.
· Acquired four Big Boxes off market with an aggregate purchase price of £221.60 million, a WAULT of 23 years and adding two new Customers to the portfolio.
o Three of the assets acquired in the period were forward funded pre-let developments with an average unexpired lease term of 26 years. These three assets will add a total of approximately 1.8 million sq ft of new Big Box logistics space to the portfolio and increase the rent roll by £9.44 million pa.
o +7.6%7 valuation increase over aggregate purchase price of the four assets acquired in the period.
· At the period end, the portfolio comprised 50 assets, which are well diversified by building size, geography and Customer and covering more than 24.9 million sq ft of logistics space5.
· The portfolio was fully let, or pre-let and income producing, during the period5.
· Raised £155.57 million of equity in April 2018, through a substantially oversubscribed placing.
· Good progress with our strategic land at Littlebrook, Dartford, within the M25, where demolition and site preparation continue to plan.

Post Balance Sheet Highlights

· On 3 July 2018, the Company completed on a new forward funded development of a new logistics facility pre-let to Amazon UK Services Limited for an investment price of £120.70 million.
· Assets under offer, in exclusivity and in solicitors' hands totalling approximately £160 million. We expect to exchange contracts on these opportunities over the coming months.

[gswredland] 26/7/2018 10:37

Fund raising to be announced on 9th hence current weakness?

[aishah] 20/7/2018 09:01

Liberium retains HOLD. Ups tp to 165p from 152p

[skinny] 16/7/2018 07:21

Tritax Big Box REIT plc (ticker: BBOX), the only real estate investment trust dedicated to investing in very large logistics warehouse assets in the UK, will announce its half year results for the six months ended 30 June 2018 on Thursday, 9 August 2018.

A Company presentation for analysts and investors will be held at 9.30am on the day at the offices of Newgate, Sky Light City Tower, 50 Basinghall Street, EC2V 5DE. The presentation will also be accessible via a live conference call and on-demand via the Company website:

Those wishing to attend the presentation or access the live conference call are kindly asked to contact Newgate on [e-mail] or by telephone on [phone].

[norland1] 09/7/2018 15:31

I think some investors are hedging their bets here and selling some of their holding and transferring to ebox

[norland1] 29/6/2018 20:30

Thanks. Wont find a more secure tenant.

[speedsgh] 29/6/2018 20:01

Amazon set to launch £120m fulfilment centre in North East, creating thousands of jobs -

[jonwig] 29/6/2018 16:53

I think it's Amazon. Can't post link on my mobile.

[norland1] 29/6/2018 15:45

Anyone know who the new occupier of the Link 66 development is. Contracts have been exchanged so should be no problem divulging.

[stonesfan] 29/6/2018 15:40

Disagree chuckol. jonwig is one of the most knowledgable and helpful posters on ADVFN.

[tyranosaurus] 29/6/2018 13:12

DAVEOFDEVON

New thread was set up days ago.
Ticker EBOX

[jhan66] 29/6/2018 11:51

Chuckol, Quite wrong I think. Jonwig needs no defence from me but from 20 years lurking on various sites, I would place him in the top 3 people I’d most trust.
Not sycophantic, just appreciate his contribution. Moving on now.

[chuckol] 29/6/2018 11:19

jonwig does not have the slightest clue about anything. He likes to act superior, but he's pretty unintelligent and unprincipled.

[daveofdevon] 29/6/2018 10:40

Norland - Many thanks for your excellent guidance on how to apply for EBOX shares through H-L (post 844). Placed my order last night using your method, no problem, no fee and no stamp duty.

Only hope somebody more skilled than I can open a new thread next week so that we can stop using this one.

[rhubarbcrumble] 28/6/2018 12:40

When I rang AJ Bell they said that they were not offering the IPO.

Hargreaves Lansdown do, and there seems to be no charge.

[belgraviaboy] 26/6/2018 09:07

Phoned AJ Bell they will place an order, but £100 fee to do so