Cordiant Digital Infrastructure Ltd on Wednesday hailed growing demand for digital infrastructure as it declared a higher dividend and net asset value growth.
The UK-based investor is specialist digital infrastructure said half-year revenue rose 9.1% to £160.8 from £146.3 million the year prior.
Net asset value per share was 124.40 pence at September 30, up from 120.10p at March 31. Total NAV return was 5.4%, ahead of the company’s 9% annual target, and an improvement from 1.1% a year ago.
The company noted that shares ‘have continued to trade at a significant discount to NAV’ but that the discount had started to narrow in the past few months, standing at 30.55% on September 30 compared to 46.7% on March 31.
Cordiant Digital declared its interim dividend 2.10p, in line with the firm’s 4.20p full-year target and up 5.0% from 2.0p a year ago.
The firm is looking ahead to the financial year ‘with confidence’, it said, as demand for digital infrastructure continues to grow. The firm suggested that earnings growth reflected the ‘impact of inflation-linked revenues’.
Cordiant Digital also attributed the boost in performance to new contracts brought by recent acquisitions Emitel, a Polish telecommunications infrastructure provider, and CRA, a Czech data platform.
The results follow an October announcement that Cordiant Digital will acquire a 47.5% stake in Belgian Data Centre businesses DCU Invest and DCU Brussels. The deal is estimated to be worth €92.3 million and is expected to close early in the first quarter of 2025.
Cordiant Digital Chair Shonaid Jemett-Page commented: ‘We maintained our focus on efficient investment in the existing portfolio, through disciplined capex spend, coupled with bolt‑on acquisitions where appropriate’.
Jemett-Page added that the firm continued to seek opportunities ‘which reflect the current pricing environment, and which further diversify the portfolio by geography and asset class’.
Cordiant Digital shares were up 0.8% at 85.71p each on Wednesday morning in London.
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