An interim dividend of 13.75 pence per share was declared from 13 pence a year ago. Liberty International - the UK's third largest listed property company - owns Capital Shopping Centres (CSC), the premier UK regional shopping centre business, and Capital & Counties, a retail and commercial property investment and development company concentrating on Central London, non-shopping centre retail in the UK and in California in the US.
The group reported a rise in net rental income to stg 161.7 million from a previous stg 143.8 million.
Net assets increased to stg 3.249 billion from stg 2.933 billion and net assets per share (diluted, adjusted) increased to 1,268 pence from 1,188 pence, mostly as a result of the gains on revaluation and sale of investment properties arising during the period.
The group reported an operating profit of stg 404.8 million from a previous stg 326.9 million, while profit for the period attributable to equity shareholders rose to stg 352.1 million from stg 91.7 million.
Commenting on the results, Chairman Sir Robert Finch said the group had continued its dynamic track record of growth with an 8.1% total return in the six month period increasing net assets per share to 1,268 pence on the property industry standard measure, equivalent to 1,361 pence if adjusted for notional acquisition costs deducted from market values.
"The quality and resilience of our market-leading UK regional shopping centre business conducted through Capital Shopping Centres was demonstrated at our established centres by 7.3% growth in like-for-like net rental income and an occupancy level which improved in the period to an impressive 98.8%," he said.
The recently opened regional shopping centre developments, Chapelfield, Norwich, and the Northern Extension of Manchester Arndale, represent outstanding additions, he added.
"Our stg 1.2 billion development programme continues to gather momentum, with the three largest components, in Cardiff, Oxford and Newcastle, all in prime locations extending existing established high quality retail destinations," he added.
The group achieved stg 126 million of office disposals in the period at a surplus of stg 23 million over their 2005 market values thus freeing up financial resources for its development programme.
The disposals were in line with the group's overall strategy to focus on retail property which constitutes 94% of its business.
Looking ahead, Finch said the group's financial position is robust with a debt to assets ratio further reduced in the period to 39%. "We have a strong and experienced management team with immense enthusiasm to seize attractive opportunities to enhance our property activities.
"The sheer quality, the stability and the resilience of our assets is quite evident. These fundamentals will allow us in the years ahead to continue to deliver strong results to our shareholders," he concluded.
I-Net Bridge
Publisher: I-Net Bridge
Source: I-Net Bridge
