20th Nov 2019 11:02
(Alliance News) - U & I Group PLC on Wednesday reported deteriorated earnings in the first half of its current financial year amid challenges.
The real estate developer said its loss widened in the six months to the end of September to GBP23.9 million from GBP4.2 million a year prior, as revenue declined to GBP46.0 million from GBP54.0 million.
U & I said it has incurred additional costs of GBP6.5 million in relation to a forward-funded development, where construction has now completed and it is in the process of being sold. However, the company said it anticipates recovering these costs in the future, which will be treated as a reversal of impairment when received.
Investment portfolio capital value down declined by 3.2% on a like-for-like basis, the company noted, reflecting the market decline in retail sector.
U & I maintained its interim payout at 2.4 pence a share.
"In terms of market outlook we, like many other businesses, continue to experience challenges," said Chief Executive Matthew Weiner. "Unsurprisingly, the political and economic uncertainties are delaying decision making, particularly within government and local authorities, with the general election the latest event to impact on market activity at a core time of the transactional year.
He added: "We will continue to deliver our valuable public private partnership pipeline and trading activities, while operating more efficiently, both to maximise returns for shareholders and to benefit in the long term those communities in which we work."
U & I shares were trading 1.8% higher in London on Wednesday morning at 145.00p each.
By Evelina Grecenko; [email protected]
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