16th Sep 2019 11:57
(Alliance News) - UIL Ltd on Monday said it is cautious about the outlook for the market, given the global political and economic uncertainties, despite improved performance in its most recently-ended financial year.
The investment company reported NAV per share as at June 30 of 369.57 pence, up 27% from 291.79p recorded on the same day a year ago.
The share price total return for the year was 19%. UIL's share price at the end of the period stood at 199.00p, representing a 46% discount to NAV.
The company said it intends to narrow its discount to a level of 20%. To do this UIL will step up its marketing to investors, as well as continuing to buy back shares.
The stock was untraded on the day Monday, last closing at 241.04p each.
NAV total return for the year was 30%, outperforming the company's benchmark, the FTSE All-Share total return Index, which returned only 0.6%.
UIL maintained annual dividend at 7.50p.
"The world's economies are slowing as reported by the International Monetary Fund. In addition, trade friction is rising as America First, China 2025 and Brexit drive changes in global relationships. All this leaves the board cautious about the outlook for the markets," said Chair Peter Burrows.
He added: "Against the above backdrop, stock selection is of increasing importance. The investment managers' relentless bottom up approach to investment should benefit UIL's portfolio."
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