14th Jun 2018 15:54
LONDON (Alliance News) - South and east England-focused property investment company Wynnstay Properties PLC said on Thursday it saw an increase in property income in its recently ended financial year due to new acquisitions.
Pretax profit for the year ended March 25 dropped to GBP3.0 million from GBP3.2 million the year before due to a smaller movement in the fair value of investment properties at GBP1.6 million from GBP2.2 million.
Property income however, rose by 7.6% to GBP2.2 million from GBP2.0 million, due to the full contribution from the office premises in Surbiton where a significant rent increase was negotiated, along with the estates on Aylesford and Liphook.
Net asset value per share as at March 25 was 754 pence, up 12% from 674p on the same date the prior year.
Wynnstay proposed a dividend of 17.50 pence per share, up 11% from 15.75p the year before.
"After six successive years of capital, income and dividend growth and against a more uncertain political and economic background, we remain confident of Wynnstay's future as a niche property investment company. However, we feel that it is appropriate to be cautious, avoiding over-expansion or over-paying for acquisitions, and to take a measured approach in continuing to develop and build Wynnstay's portfolio," said Chairman Philip Collins.
"The continued growth of the UK domestic economy with its many successful small businesses is important to the commercial property market. Reform of the present system of business rates and the heavy costs of property transactions arising from recent increases in stamp duty are substantial impediments to the growth of small businesses and need to be addressed," Collins added.
Shares in Wynnstay Properties were untraded on Thursday, last quoted at 555.00 pence.
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