Final Results

RNS Number : 4266I

Ground Rents Income Fund PLC

09 December 2015

 

9 December 2015

Ground Rents Income Fund plc

("GRIF" or the "Company)

FULL YEAR RESULTS

For the twelve months to 30 September 2015

Ground Rents Income Fund plc (LSE: GRIO), a listed real estate investment trust (REIT) investing in UK ground rents, announces its audited results for the year ended 30 September 2015. 

Highlights

·     Portfolio value of  £104 million (30 September 2014: £67 million)

·     Net assets of £106.2 million (30 September 2014: £88.2 million)

·     NAV per ordinary share increased  9.5% to 114.2 pence (30 September 2014: 104.3  pence)

·     Profit before tax (including £9.19 million valuation gain) of £12.5 million (FY 2014: £4.7 million, including £2.62 million valuation gain)

·     Basic earnings per share of 13.82 pence (FY 2014: 7.58 pence)

·     Diluted earnings per share of 13.70 pence (FY 2014:  5.97 pence)

·     Dividends paid of 3.538 pence per share, a gross yield (based on issue price) of 3.44%. (FY 2014: 3.868 pence; 3.8%)

·     Acquired £27.8 million of ground rent assets; further £6 million committed

Chairman Malcolm Naish said: "We have seen pricing move up significantly with RPI reviewable rents being in demand particularly. The traditional 25 year reviews with rents doubling have also seen a significant yield shift from around 6% in March 2012 to around 4% today.

We feel the prospects for GRIF are positive. The trend of increasing market values coupled with a growing income each year, it is hoped, will have the intended effect of a growing net asset value."

James Agar, Investment Director of Brooks Macdonald Funds, Investment Adviser to GRIF, said: "Ground rents remain in demand from investors seeking long-term, low-risk, inflation-linked income which is putting downward pressure on valuation yields. Ground rents have enjoyed contractual rental increases, as is the nature of the underlying asset base, but most of the rise in underlying asset values is a result of the undersupply and strong demand which continues in this niche sector."

A copy of the Annual Report and financial Statements, for the year ended 30 September 2015, can be accessed in the link below:

 http://www.rns-pdf.londonstockexchange.com/rns/4266I_-2015-12-8.pdf

FOR FURTHER INFORMATION CONTACT:

Brooks Macdonald Funds: Simon Wombwell / James Agar	[phone]
N+1 Singer (Broker): James Maxwell / Gillian Martin	[phone]
Tavistock (Media/Analysts): James Whitmore/Jeremy Carey	[phone]
Appleby Securities (Channel Islands) Limited (Sponsor): Kate Storey	[phone]

 

END

 

 

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