back Half Year Results for the six months to 30 September 2012

Financial Highlights:

  • Profit before tax of £5.2m (2011: £4.1m) –up 27%
  • Group’s share of net rental income of £12.2m (2011: £11.0m) –up 11%
  • Development profits of £4.7m (2011: £1.8m) –up 161%
  • Diluted EPRA earnings per share of 4.4p (2011: 4.1p) –up 7%
  • Diluted EPRA net assets per share at 252p (31 March 2012: 250p)
  • Group’s share of property portfolio £582m (31 March 2012: £573m)
  • Ratio of net borrowings to property portfolio of 46% (31 March 2012: 49%)
  • Cash and unused bank facilities of over £85m
  • Reduction in effective rate of interest to 3.8% (31 March 2012: 4.2%)
  • Interim dividend increased to 1.85p per share (2011: 1.75p) –up 6%

Operational Highlights:

Development Programme

  • Conditional planning consent granted post the period end at Barts Square, London EC1, for a 425,000 sq ft mixed use scheme
  • Planning application submitted at Brickfields, White City, London W12 for a c. 1.5m sq ft mixed use scheme
  • Fulham Wharf, London SW6 sold during the period crystallising our additional development management fee
  • 74,000 sq ft under offer at 200 Aldersgate, London EC1
  • Helical appointed as development partners to build a new 220,000 sq ft headquarters for Scottish Power in Glasgow
  • Sales of £24m of non-income producing development sites, including Milton retirement village site (£6.9m) and part of the Exeter retirement village site (£7.6m)

Investment Portfolio

  • Investment portfolio valuations up 0.1% including capex, sales and purchases (0.2% on a like-for-like basis) during the six months, comparing favourably to the IPD monthly index which fell 2.35% over the same period
  • Like for like rents up 0.9% (£249,000). Increase driven by new lettings (£885,000) and rental increases (£409,000), more than compensating for losses from administrations and breaks / expiries
  • 32 new leases signed in the period, with 68.3% of rent retained at lease expiries and 78.4% retained at breaks
  • Vacancy by ERV fell to 10.4% from 11.5% in March 2012

Commenting on the results, Michael Slade, Chief Executive said:

“Returns are hard to find in a market where only a few asset classes in very specific locations show any rental or capital growth. We see three ways to make profits for our business: by buying well, proactively managing surplus cash flow and creating value through repositioning and development. Our focus remains very much on those three areas.

Overseas equity continues to drive the prime end of the investment market which may, in time, become over-bought. We anticipate a move to more investment in good quality secondary property. Development will remain the realm of the experienced and well-funded and we, with our partners, feel particularly well placed to capitalise on these opportunities.’

For further information, please contact:

Helical Bar plc 020 7629 0113
Michael Slade (Chief Executive)  
Tim Murphy (Finance Director)  

Address: 11-15 Farm Street, London W1J 5RS
Fax: 020 7408 1666

FTI Consulting 020 7831 3113
Stephanie Highett/Dido Laurimore/Daniel O’Donnell

Half Year Results for the six months to 30 September 2012 (in pdf format).