31st Mar 2020 15:00
(Alliance News) - PRS REIT PLC on Tuesday reported a rise in interim profit, as it continued to grow its portfolio of private rented sector units, leading to a rise in rental income.
As at December 31, net asset value per share was 95.0 pence, down from 96.3p the same date the year before, following the payment of dividends since the launch of the trust.
Net assets also declined year-on-year to GBP470.4 million from GBP477.2 million.
However, the property investor's pretax profit rose by 47% to GBP11.0 million from GBP7.5 million the prior year, as rental income more than doubled to GBP5.6 million from GBP2.3 million.
The rise in profit and income was due to the enlarging of PRS REIT's portfolio during the period, which increased by 38% to 4,945 homes as at the end of December, with an estimated rental value of GBP47.6 million and a gross development cost of GBP771 million.
PRS REIT said its has paid dividend of 1.0p per ordinary share for the first and second quarter of its financial year, while the dividend for the third quarter will be deferred for review in the fourth quarter when the outlook is clearer.
"In light of the coronavirus situation, a decision regarding the payment of a dividend in respect of the third quarter will now be taken in the fourth quarter of the current financial year, when the outlook is likely to be clearer. Despite the current macro uncertainty, we continue to view long-term prospects with confidence as we meet the critical need for quality family houses in the UK," said Chair Steve Smith.
Shares in PRS REIT were up 1.2% at 75.89 pence on Tuesday in London.
By Dayo Laniyan; [email protected]
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