Warehouse REIT PLC on Tuesday said it returned to profit after reporting a fair value gain on investments, compared to a chunky loss the year prior.

The London-based investor in real estate, with a focus on UK industrial warehouses, said in the year that ended March 31, it swung to £34.3 million pretax profit from a £182.9 million pretax loss the prior year.

Net property income declined 1.4% to £47.0 million from £47.4 million.

In contrast with last year, Warehouse REIT reported fair value gains on investment properties worth £15.1 million compared with a £193.4 million loss previously.

The final dividend was unchanged 1.60 pence per share and the total annual dividend was maintained at 6.4p.

It has continued to execute its disposal of non-core assets as part of a wider programme that began in November 2022. Since the start of April 2023, £110.5 million worth of assets have been sold.

Chair Neil Kirton said: ‘This strong progress provides us with the flexibility to undertake selective value accretive acquisitions, and today we are pleased to announce the acquisition of part of the Ventura Retail Park in Tamworth for £38.6 million, a retail warehousing asset which is highly complementary to our business and our skill set.’

Looking ahead, Warehouse REIT will begin rebuilding dividend coverage and look for further opportunities to make acquisitions of higher-yielding warehousing assets.

Warehouse REIT shares were up 0.2% to 80.64 pence each in London on Tuesday morning.

Copyright 2024 Alliance News Ltd. All Rights Reserved.