Harworth Group has reported a “strong” set of final year results with net asset value rising by 22.2% to £409.3m.
The brownfield land and property developer and investor, which delivers residential and commercial schemes in the Midlands and the North of England, reported the increase in net assets in its accounts for the year to 31 December 2017.
Harworth said the increase was as result of operating profit and joint ventures of £43.8m, a March 2017 equity capital raise of £27.1m, a tax credit of £7.8m, less interest costs of £2.3m and dividends of £2.7m plus other movements of £0.7m.
EPRA NNNAV grew by 12.5% per share to 128.9p.
However, operating profit before exceptional items and including joint ventures was down 4.4% to £43.8m from £45.8m.
The group sold 622 residential plots during the year across six parcels, achieving profit on sale of £3.8m. More than 850,000 sq ft of commercial land sold across five parcels for £22.7m, delivering a profit on sale of £4.3m. More than 360,000 sq ft of long-term lettings were also completed on five new commercial buildings.
Owen Michaelson, Harworth Group chief executive, said the figures represented “another strong set of results”.
“Our focus, on the ‘beds and sheds’ sectors in the North of England and the Midlands, is firmly underpinned by strong economic and consumer trends in the regions, and reinforced by supportive government policy,” he said.
“This favourable backdrop coupled with active management has been reflected in 2017’s planning successes and the sales and lettings achieved at our major developments such as Waverley and Logistics North.
“Whilst our existing sites continue to perform well and have plenty of future potential, we are also pleased with the progress of the five new acquisitions to our strategic landbank, which were acquired with the cash proceeds from new equity raised last March.”
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