| Item | Result (12 mo to 31 Mar 2015) | % change y-on-y |
|---|---|---|
| Profit before tax | £54m | 158 |
| Earnings per share | 11.3p | 99 |
| NAV per share (31 March 2015) | 57.7p | 18.7 |
| NAV per share (31 June 2015) | 59.1 | 2.4 (quarterly rise) |
| Item | Result (12 mo to 31 March 2015) |
|---|---|
| Dividend per share | 2.48p |
| Total return | 20.80% |
| Receipts from sales | £73.8m |
Schroder Real Estate Investment Trust has announced a hike in profits before tax from £20.9m last year to £54m in the 12 months to 31 March 2015, a 158% rise.
Earning per share also rose from 5.7p per share in the year to 31 March 2013, to 11.3p this year.
NAV per share jumped by 18.7%, to 57.7 pence per share, owing predominantly to a 13.2% increase in the value of the underlying portfolio.
The firm said its portfolio delivered a total return of 20.8%, against the IPD Benchmark Index of 17.1%.
Schroder paid a 2.48p per share dividend for the 12-month period.
As of 30 June, NAV stood at 59.1 pence per share, a quarterly increase of 2.4%.
The firm converted to an onshore REIT in 2014, reducing its UK tax burden and increasing profitability.
Some £67.2m of new equity has also been raised through the placing programme over the year to 31 March 2015, which along with disposal proceeds have been invested into seven acquisitions totalling £124.5m at an average initial yield of 6.1%.
Over the period 10 assets were sold, including one that has exchanged, producing £73.8m in receipts.
Chairman of the board Lorraine Baldry said: “Against the backdrop of a growing UK economy, continued strong demand for commercial property and an improving occupational market, the potential returns available from the UK commercial property market remain attractive. The potential for tightening monetary policy and rising yields means that rental growth will be an increasingly important driver of property returns, requiring a strong focus on good stock selection and proactive asset management.
“The company is well positioned in this environment with recent acquisitions and initiatives within the portfolio providing significant opportunities to increase income and generate attractive total returns. While there may also be opportunities to further enhance returns from raising new equity, the board will ensure a disciplined approach to any further investment and remains vigilant to changing market conditions.”
