18th Nov 2019 09:30
(Alliance News) - McKay Securities PLC on Monday said it is focusing of enhancing its portfolio growth following a profit fall in the first half of its current financial year.
The real estate investment trust said pretax profit for the six months to the end of September declined by 2.1% to GBP11.2 million from GBP11.4 million a year ago, due to a 65% increase in financial costs to GBP3.3 million from GBP2.0 million.
McKay Securities said its portfolio valuation stood at GBP492.1 million at the end of the first half, generating a 1.0% valuation surplus and outperforming the MSCI index, which fell by 1.1%.
Net rental income, meanwhile, grew by 23% to GBP11.3 million from GBP9.2 million year-on-year, while net asset value rose 2.1% to 333 pence from 326p as at the end of March.
The stock was trading 0.9% lower in London on Monday morning at 240.80p a share.
McKay declared an interim dividend of 2.8p a share, in line with the same period last year.
"Our consistent focus on our core office, industrial and logistics sectors across London and the South East, combined with successful development projects and the intensive in-house management of our portfolio, can be credited for the delivery of another positive set of results, with gains achieved across our key metrics," said Chief Executive Simon Perkins.
He added: "We remain wary of the political uncertainty affecting our operating environment and hope that some clarity will provide the basis for a more positive economic outlook. In the meantime, our focus on the strongest regions and sectors of the UK and their prospects to enhance our portfolio growth once confidence improves, provides us with an encouraging platform for the future."
By Evelina Grecenko; [email protected]
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