Compco Holdings, the property investment, trading and development group, remained confident today despite a fall in profits, as its year-end results revealed a 32% rise in net asset value (NAV).
The group, which has expanded its property portfolio significantly this year in EC1 and E1, announced pre-tax profits of £7.3m for the year ending 24 March, down 27% from £9.58m in the previous period. Earnings per share were also down, 10.6% to 14.39p. The NAV per share, however, was up to 491p, with the dividend up12.5% to 6.75p.
Company chairman Kenneth Rubens said the fall in profits was mainly due to lower contributions from property sales and higher interest charges from expenditure on property acquisitions and building works.
Rubens said that the future strategy of the company would be to continue its focus on the London office market. “We continue to believe that London offers the most vibrant economy of any major UK city and the depth of the property market in London gives it liquidity. We will continue therefore to deploy our strategy of identifying undervalued opportunities.”
Last month, Compco bought 20 Hanover Square, W1 for £7.71m, and last week paid £12.15m for The Astoria theatre, 157/165 Charing Cross Road, WC2, as revealed in Estates Gazette.
EGi News 11/06/01
