26th Nov 2019 13:21
(Alliance News) - Conygar Investment Co made "good" progress in its just-ended financial year, despite posting a significantly wider loss.
The London-based property firm's net asset value per share at September 30, the end of its year, was 178.2p, down 11% a year before. Conygar's pretax loss widened to GBP13.9 million from GBP3.8 million.
Rental income rose 31% to GBP1.7 million, helping revenue climb 20% to GBP1.8 million.
The main reason for the wider loss, Conygar said, was due to a GBP18.6 million write-down of a development at Haverfordwest, Anglesey, which was booked in the first half. Demand from major housebuilders and potential homeowners has been "much lower" than expected.
"The disposals of the assets at Parc Cybi, Anglesey, and Ashby-de-la-Zouch, Leicestershire, and the conditional sale of our property at Selly Oak, Birmingham, emphasise the group's desire to realise value when opportunities arise. Funds raised from these disposals will be recycled into our other projects," said Chief Executive Robert Ware.
"In spite of the current political uncertainty, the group is well placed to deliver the existing developments and to take advantage of any market volatility we could see in the coming months, with cash of GBP39.9 million and no borrowings."
Conygar shares were 2.6% higher on Tuesday afternoon in London at 140.00 pence each.
By George Collard; [email protected]
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