1st Oct 2015 13:30
LONDON (Alliance News) - GCP Student Living PLC Thursday said it swung to a substantial pretax profit in the last financial year after the value of its investments rose and it reported a healthy rise in revenue.
The provider of student accommodation reported a a large GBP31.3 million pretax proftit in the year ended June 30, swinging from the GBP2.6 million loss a year earlier as its revenue of GBP11.5 million grew from GBP9.1 million.
However, the main cause for the profit was a GBP25.7 million gain from its investments, compared to nil a year ago.
Its net asset value per share rose to 125.51 pence from 102.64 pence and total shareholder return for the year was up to 26% from 11.5%. That compares to a full year target of only 8% to 10%.
As a result the company upped its full year dividend to 5.60 pence per share from 5.47 pence.
"The company's properties continue to benefit from the supply/demand imbalance for high-quality, modern student facilities in London, with all properties fully occupied and rental growth of 3.6% for the 2014/15 academic year," it said.
GCP shares were down 0.7% to 120.40 pence per share on Thursday.
By Joshua Warner; [email protected]; @JoshAlliance
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