2nd Aug 2023 12:15
(Alliance News) - Alternative Income REIT PLC on Wednesday said its net asset value increased slightly in the fourth quarter, and that it had exceeded its target dividend thanks to an extra one-time payout.
The London-based investor, which specialises in alternative and specialist real estate sectors such as hotels and healthcare, said its NAV at June 30 was 84.2 pence per share, up 0.7% from 83.5p on March 31.
At midday on Wednesday in London, the stock was up 1.6% at 63.40p.
The company's NAV total return meanwhile increased to positive 2.4% during the quarter ended June 30, from positive 0.7% in the previous quarter.
EPRA earnings per share increased 8.2% to 1.7p from 1.6p, while adjusted earnings increased to 1.6p per share from 1.5p.
Alternative Income declared a quarterly dividend of 1.92p per share, up from 1.375p for the previous three months. It will also distribute an additional 0.345p dividend in respect of non-rental income which the company said follows "the successful settlement of a historical legal case."
This brought its total payout for the year ended June 30 to 6.045p per share, up 9.9% from 5.50p the year before and 6.1% higher than its target dividend of 5.70p.
At June 30 the group's property portfolio had increased 0.3% in value to GBP107.0 million with 19 assets, from GBP106.7 million at March 31.
Chair Simon Bennett commented: "We continue to actively manage the portfolio, and this quarter we successfully completed a lease renewal with Pets at Home at the Droitwich Retail Park, three rent reviews and two fixed rental uplifts."
Meanwhile, the company said: "The repricing of the property investment market in the latter half of 2022 has given way to a period of relative stability in the first half of 2023, although transactional activity remains limited." It added that the repricing was mirrored by an increase in the cost of debt, but that its portfolio "is relatively insulated from this movement."
Looking ahead, Bennett continued: "The board remains confident that the company is well-positioned for the future, with a resilient portfolio well-placed to continue to provide secure, inflation-linked income with the potential for capital growth."
By Emma Curzon, Alliance News reporter
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