Atleaf interim results August 2018
Revenue for the interim period increased to GBP13.4 million (2017: GBP12.0 million) and operating income was higher at GBP10.6 million (2017: GBP10.4 million). Profit for the period grew to GBP7.8 million (2017: GBP6.4 million). Furthermore, headline earnings per share came to GBP5.0 pence per share (2017: GBP4.96 pence per share).
The board is pleased to announce an interim dividend of GBP4.65 pence per share (2017/18: GBP4.50 pence per share), an increase of 3.3% over the prior corresponding period. This maintains the trend of increasing dividends to our shareholders at a rate above UK inflation.
Further information regarding the interim dividend, including salient dates and exchange rates, will be announced separately.
The second half of the financial year will be challenging for the Company. Revenue is under pressure as a result of the vacant Haydock property and the reduced rental paid by Homebase at Brecon. In addition, we are forecasting higher finance costs as a result of refinancing the Company's debt and extending our debt maturity profile.
We will be able to offset some of these events through asset management activities. Taking the above into account the Company is likely to achieve full year growth in distributions of 2%-3% which is in line with UK inflation. This revised forecast does not consider the impact of converting to a REIT. When factoring in the effect of converting to a REIT from November, a full year distribution of 9.5 GBP pence would be forecast, representing growth of approximately 5% which is in line with previous forecasts. This forecast statement and the forecasts underlying such statement are the responsibility of the Board and have not been reviewed or reported on by the Company's auditors.