Interim Management Statement

RNS Number : 9875J

Lowland Investment Co PLC

23 July 2013

 



LOWLAND INVESTMENT COMPANY PLC

HENDERSON GLOBAL INVESTORS

23 July 2013

LOWLAND INVESTMENT COMPANY PLC

Interim Management Statement
Review of the period from 1 April 2013 to 30 June 2013

The Directors of Lowland Investment Company plc hereby announce the following:

Portfolio:  The UK economy continues its recovery and this is helping companies to produce strong earnings growth.  The level of UK corporate debt has fallen further and dividend cover is high.  This means we will keep with our reasonable level of gearing.

Net Gearing: At the end of the quarter the Company's net gearing was 15.3% (at 31 March 2013: 15.4%).

Dividends:A second interim dividend of 8.5p per ordinary share will be paid on 31 July 2013 to shareholders on the register of members at the close of business on 5 July 2013. This, when added to the first interim dividend for 2013, is an increase of 10% as compared to the first half of last year.

Share Capital: During the period 1 April 2013 to 30 June 2013 there was no change in the issued share capital of the Company.

Ongoing Charges: Theongoing charges of the Company as at the 31 June 2013 excluding the accrued performance fee was 0.45% (2012: 0.52%) and including the accrued performance fee was 0.78% (2012: 0.79%). 

The directors are not aware of any other significant events or transactions up to the date of this report which would have a material impact on the financial position of the Company.  

PERFORMANCE AND FINANCIAL HIGHLIGHTS

Financial Position (excluding current financial year revenue items)

(Source: Henderson/Fact Sheet)	at 30 June  2013	at 31 March  2013
Ordinary share price	1190.0p	1164.0p
Premium / (Discount)	0.9%	(1.6)%
Gross total assets	£361m	£355m
Net asset value (cum income)	1179.3p	1182.8p
Net asset value (ex income)	1159.6p	1173.6p
Portfolio Gearing (net)	15.3%	15.4%
Yield	2.61%	2.75%

Performance at 30 June 2013 (total return % change)

	6 months	1 year	3 years	5 years	10 years
Net asset value #	14.2	29.7	93.8	86.7	228.1
Share price	20.0	39.5	112.4	104.3	238.0
Benchmark  (FTSE All-Share Index)	8.5	17.9	43.5	38.2	136.4
# the net asset values for the 10 year period is on a total return basis whereas the earlier periods are on a fair value cum income basis.   (Source: AIC/ Datastream / Morningstar Funddata)

THE PORTFOLIO (Source: Henderson/Fact Sheet)

Top 10 Investments at 30 June 2013			Top 10 Investments at 31 March 2013
	% of Total Assets			% of Total  Assets
Senior	4.3		Senior	4.5
Carclo	3.7		Carclo	4.0
Royal Dutch Shell	3.5		Royal Dutch Shell	3.6
GlaxoSmithKline	2.5		Interserve	2.7
FBD	2.4		GlaxoSmithKline	2.4
GKN	2.2		Hiscox	2.3
Hiscox	2.1		Phoenix	2.2
Interserve	2.1		Oxford Catalysts	2.1
Phoenix	2.1		BP	2.1
BP	2.0		FBD	2.0
	------			---------
Top 10 =	26.9		Top 10 =	27.9
	=====			=====

Sector Breakdown	% at 30 June 2013			% at 31 March 2013
Industrials	28.1		Industrials	28.3
Financials	24.4		Financials	24.9
Basic Materials	12.8		Basic Materials	14.4
Oil & Gas	8.4		Consumer Goods	8.2
Consumer Goods	8.1		Oil & Gas	7.9
Consumer Services	8.0		Consumer Services	6.9
Health Care	4.7		Health Care	4.4
Utilities	3.0		Utilities	3.2
Telecommunications	1.5		Telecommunications	1.6
Technology	1.0		Technology	0.1
Fixed Interest	-		Fixed Interest	0.1
	---------			---------
Total	100%		Total	100%
	=====			=====

Lowland Investment Company plc aims to give shareholders a higher than average return with growth of both capital and income over the medium to long term.

The Company's policy is to invest in a broad spread of predominantly UK companies of differing sizes with normally not more than half by value coming from the largest 100 UK companies and the balance from small and medium sized companies.

The Manager is Henderson Global Investors Limited. Further information on the Company, including an up to date NAV and share price information, can be found on the Manager's website at www.itshenderson.com or www.lowlandinvestment.com.

For further information, please contact:

James Henderson                                                      James de Sausmarez

Portfolio Manager                                                        Head of Investment Trusts

Lowland Investment Company plc                             Henderson Global Investors

Telephone: [phone]                                         Telephone: [phone]

Neither the contents of the Company's website nor the contents of any website accessible from hyperlinks on the Company's website (or any other website) is incorporated into, or forms part of, this announcement.

- ENDS -

 

END

 

 

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