HENDERSON INVESTMENT FUNDS LIMITED
THE HENDERSON SMALLER COMPANIES INVESTMENT TRUST PLC
[9 OCTOBER 2014]
THE HENDERSON SMALLER COMPANIES INVESTMENT TRUST PLC
INTERIM MANAGEMENT STATEMENT
The objective of The Henderson Smaller Companies Investment Trust plc is to maximise shareholders' total returns by investing in smaller companies that are quoted in the United Kingdom. The benchmark is the Numis Smaller Companies Index (excluding investment companies). The Manager is Henderson Global Investors Limited. Information about the Company can be found on the Manager's website www.hendersoninvestmenttrusts.com or www.hendersonsmallercompanies.com .
Review of the period from 1 June 2014 to 31 August 2014
In accordance with the Alternative Investment Fund Managers Directive, the Company appointed Henderson Investment Funds Limited as its Alternative Investment Fund Manager with effect from 22 July 2014. HSBC Bank plc was appointed as Depositary with effect from 22 July 2014.
Between 1 June 2014 and 31 August 2014 the net asset value per share (including current financial year revenue items) increased by 0.22%, while the Company's benchmark decreased by 1.27% on a total return basis. The Company has maintained a modest level of gearing. As at 31 August 2014 the Company had total borrowings of £42.3 million, representing gearing of 8.9%.
The share price at 31 August 2014 was 538.5p, giving the Company a market capitalisation of £402.3 million. Since 1 June 2014 the Company has not bought back any of its ordinary shares. The number of ordinary shares in issue is currently 74,701,796.
Dividend
The Company announced its annual results for the year ended 31 May 2014 on 1 September 2014. The final dividend of 8.0p per ordinary share, which was approved at the Annual General Meeting held on 3 October 2014, will be paid on 10 October 2014 to shareholders on the register of members at the close of business on 19 September 2014.
The 8.0p final dividend, in conjunction with the interim dividend of 3.0p paid on 7 March 2014, provides a dividend yield of 2.04% based on the share price of 538.5p as at 31 August 2014.
Net Asset Value (NAV)
As at close of business on 31 August 2014, the unaudited net asset value per share, calculated in accordance with the AIC (Association of Investment Companies) formula, including current financial year revenue items, was 636.79p. The unaudited net asset value per share, including current financial year revenue items but calculated by valuing the Company's debenture stock at market value, was 633.59p.
Performance
The Company's performance, on a total return basis, in the periods of one month, three months, one year and three years to 31 August 2014 was as follows:
|
1 month |
3 months |
1 year |
3 years |
NAV per share¹ |
3.77 |
0.22 |
12.51 |
94.07 |
Share price |
5.38 |
-1.55 |
10.09 |
106.78 |
Benchmark² |
1.64 |
-1.27 |
11.29 |
70.10 |
Sources: Henderson Global Investors, Morningstar, Datastream
1 The net asset value total return figures are calculated on the basis that the Company's issue of Debenture Stock is included at its par value, as in the financial statements.
2 The benchmark is the Numis Smaller Companies Index (excluding investment companies).
Largest Investments
The top twenty holdings as at 31 August 2014 are:
|
Company |
Valuation £ |
% of portfolio |
1. |
BELLWAY |
14,842,800 |
2.87 |
2. |
TAYLOR WIMPEY |
13,465,500 |
2.60 |
3. |
INTERSERVE |
12,766,902 |
2.47 |
4. |
WS ATKINS |
11,144,000 |
2.15 |
5. |
INFORMA |
11,032,931 |
2.13 |
6. |
PARAGON |
10,864,350 |
2.10 |
7. |
E2V TECHNOLOGIES |
10,734,971 |
2.07 |
8. |
HOWDEN JOINERY |
10,160,250 |
1.96 |
9. |
SENIOR |
10,006,500 |
1.93 |
10. |
SPECTRIS |
9,735,000 |
1.88 |
11. |
AA |
9,582,146 |
1.85 |
12. |
VICTREX |
9,385,200 |
1.81 |
13. |
INTERMEDIATE CAPITAL |
8,874,000 |
1.72 |
14. |
NORTHGATE |
8,500,300 |
1.64 |
15. |
GRAINGER |
8,375,718 |
1.62 |
16. |
PLAYTECH |
8,100,000 |
1.57 |
17. |
RESTAURANT GROUP |
7,692,599 |
1.49 |
18. |
OXFORD INSTRUMENTS |
7,586,547 |
1.47 |
19. |
ROTORK |
7,579,000 |
1.46 |
20. |
ESSENTRA |
7,541,600 |
1.46 |
|
Totals |
197,970,314 |
38.26 |
For further information, please contact:
Neil Hermon
Fund Manager
The Henderson Smaller Companies Investment Trust plc
Telephone: 020 7818 4351
James de Sausmarez
Director and Head of Investment Trusts
Henderson Global Investors
Telephone: 020 7818 3349
- ENDS -