29th Apr 2016 07:58
LONDON (Alliance News) - London & Associated Properties PLC on Friday reported full-year results largely in line with the previous year and said the "defensive qualities" of its major centres will help protect against the success of online retailing.
The company, which invests in UK shopping centres and retail property, and also holds an investment in London-listed Bisichi Mining, said its revenue came in at GBP32.7 million for the year ended December 31, down from GBP33.5 million a year earlier, but its pretax loss narrowed slightly to GBP2.1 million from GBP2.7 million. London & Associated Properties said the loss was mainly caused by finance costs amortisation, mine depreciation and exchange losses.
The company said its directly owned properties were valued at the end of 2015 at GBP104.4 million compared to GBP103.7 million a year before. Total property assets under management at the year-end including those of its joint venture partners amounted to GBP246.3 million, up from GBP244.4 million in 2014.
London & Associated Properties recommended a dividend of 0.16 pence per share for the year, up 3.0% from 0.156 pence for 2014, which it said "continues to reflect the group's confidence in its trading and future outlook".
"During the year the success of online retailing continued. It is now clear that retail landlords face a changed future as more sales migrate to the online format. However, we are not complacent and feel that going forward the defensive qualities of our major centres will be a positive factor," Chairman Michael Heller and Chief Executive John Heller said in a joint-statement.
"Investor demand for shopping centres and other retail property remained constant throughout 2015, particularly for those assets demonstrating resilient cash flow and tenant demand. However the market is likely to be more cautious over the next few months as macro-economic concerns and the June referendum on Britain's membership of the European Union cause investors to pause before committing further funds to the sector," the chairman and CEO added.
Shares in London & Associated Properties were up 6.8% at 27.50p on Friday morning.
By Hannah Boland; [email protected]; @Hannaheboland
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