Daejan Holdings Plc - Preliminary Results

DAEJAN HOLDINGS PLC

UNAUDITED PRELIMINARY RESULTS ANNOUNCEMENT for the year ended 31 March 2019

 

The Chairman, Mr B S E Freshwater, today announced Preliminary Results for the year to 31 March 2019.

 

The financial highlights for the year ended 31 March 2019 are as follows:

                                                                                                                                               

 

2019

 

2018

 

 

£000

 

£000

 

 

 

 

 

 

 

 

Investment property

2,532,518

 

2,373,184

 

Properties held for sale

70,997

 

-

 

Net rental and related income from investment property

76,581

 

66,478

     

Profit before taxation

137,832

 

201,262

 

Income tax

Profit for the year

Total equity

(17,853)

119,979

1,940,521

 

1,696

202,958

1,812,993

 

Equity shareholders' funds per share

£119.07

 

£111.25

 

Earnings per share

£7.36

 

£12.45

 

 

 

 

 

 

 

 

 

 

 

 

·   The revaluation of the investment property portfolio at the year end has resulted in a net valuation surplus for the year of £83,928,000 (2018 - £146,438,000).

 

·    Rental and related income from investment property has increased in the year by 9.3% (2018 - 1.5%) The increase has principally been driven in the UK by the completion of the Travelodge hotel and other developments. In the USA the main factor has been the acquisition of three new residential properties at a total cost of $98 million.

 

·    The Board has recommended a final dividend of 71p per share in respect of the year ended 31 March 2019 payable on 1 November 2019 to shareholders on the register on 4 October 2019. This will make a total dividend for the year of 106p (2018 - 103p).

 

·   Earnings per share is calculated by reference to profit on ordinary activities after taxation attributable to equity holders of the parent of £119,893,000 (2018 - £202,889,000) and 16,295,357 (2018 - 16,295,357) ordinary shares being the weighted average number of ordinary shares in issue during the year. Equity shareholders' funds per share is calculated by reference to total equity attributable to equity holders of the parent of £1,940,354,000 (2018 - £1,812,902,000) and the ordinary shares detailed above.

 

 

DAEJAN HOLDINGS PLC

CONSOLIDATED INCOME STATEMENT

FOR THE YEAR ENDED 31 MARCH 2019

 

 

Year

 

Year

 

ended

 

ended

 

31 March

 

31 March

 

2019

 

2018

 

£000

 

£000

 

 

 

 

 

 

 

 

Gross rental income

142,364

 

131,323

Service charge income

13,797

 

11,562

Total rental and related income from investment property

156,161

 

142,885

 

 

 

 

Property operating expenses

(79,580)

 

(76,407)

Net rental and related income from investment property

76,581

 

66,478

 

 

 

 

Profit on disposal of investment property

12,203

 

11,893

Net valuation gains on investment property

83,928

 

146,438

Administrative expenses

(13,904)

 

(13,263)

Net operating profit before net financing costs

158,808

 

211,546

 

 

 

 

Fair value (losses)/gains on derivative financial instruments

(167)

 

 1,923

Fair value (losses)/gains on current investments

(5)

 

6

Other financial income

1,048

 

581

Financial expenses

(21,852)

 

(12,794)

Net financing costs

(20,976)

 

(10,284)

 

 

 

 

Profit before taxation

137,832

 

201,262

Income tax

(17,853)

 

1,696

Profit for the year

119,979

 

202,958

 

 

 

 

Attributable to:-

 

 

 

Equity holders of the parent

119,893

 

202,889

Non-controlling interest

86

 

69

Profit for the year

119,979

 

202,958

 

 

 

 

Basic and diluted earnings per share

£7.36

 

£12.45

 

 

DAEJAN HOLDINGS PLC

CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME

FOR THE YEAR ENDED 31 MARCH 2019

 

 

Year ended

Year ended

 

31 March

31 March

 

2019

2018

 

£000

£000

 

 

 

 

 

 

Profit for the year

119,979

202,958

Foreign exchange translation differences

24,350

(29,759)

Total comprehensive income for the year

144,329

173,199

 

 

 

Attributable to:

 

 

Equity holders of the parent

144,236

173,156

Non-controlling interest

93

43

Total comprehensive income for the year

144,329

173,199

DAEJAN HOLDINGS PLC

CONSOLIDATED STATEMENT OF CHANGES IN EQUITY

FOR THE YEAR ENDED 31 MARCH 2019

 

 

Issued share capital

Share premium

Translation reserve

  Retained earnings

Equity shareholders' funds

Minority interest

Total equity

 

£000

£000

£000

£000

£000

£000

£000

 

 

 

 

 

 

 

 

Balance at 1 April 2017

4,074

555

61,117

1,589,969 

1,655,715

240

1,655,955

Profit for the year

-

-

-

202,889

202,889

69

202,958

Foreign exchange translation differences

-

-

 (29,733)

-

(29,733)

(26)

(29,759)

Distributions to minority interest

-

-

-

-

-

 (192)

(192)

Dividends to equity shareholders

-

-

-

(15,969)

(15,969)

-

(15,969)

Balance at 31 March 2018

     4,074

555

31,384

1,776,889

91

1,812,993

Profit for the year

-

-

-

119,893

119,893

86

119,979

Foreign exchange translation differences

-

-

24,343

-

24,343

7

24,350

Distributions to minority interest

-

-

-

-

-

(17)

(17)

Dividends to equity shareholders

-

-

-

(16,784)

(16,784)

-

(16,784)

Balance at 31 March 2019

     4,074

555

55,727

1,879,998

1,940,354

167

1,940,521

DAEJAN HOLDINGS PLC

CONSOLIDATED BALANCE SHEET AS AT 31 MARCH 2019

 

 

31 March

 

31 March

 

2019

 

2018

 

£000

 

£000

 

 

 

 

Assets

 

 

 

Investment property

2,532,518

 

2,373,184

Deferred tax assets

226

 

197

Total non-current assets

2,532,744

 

2,373,381

 

 

 

 

Trade and other receivables

66,716

 

62,714

Current investments

151

 

158

Cash and cash equivalents

95,895

 

98,752

Properties held for sale

70,997

 

-

Total current assets

233,759

 

161,624

Total assets

2,766,503

 

2,535,005

 

 

 

 

Equity

 

 

 

Share capital

4,074

 

4,074

Share premium

555

 

555

Translation reserve

55,727

 

31,384

Retained earnings

1,879,998

 

1,776,889

Total equity attributable to equity holders of the parent

1,940,354

 

1,812,902

Non-controlling interest

167

 

91

Total equity

1,940,521

 

1,812,993

 

 

 

 

Liabilities

 

 

 

Loans and borrowings

418,069

 

296,501

Deferred tax liabilities

293,431

 

271,807

Total non-current liabilities

711,500

 

568,308

 

 

 

 

 

 

 

 

Loans and borrowings

12,685

 

53,958

Trade and other payables

58,677

 

52,489

Current taxation

43,120

 

47,257

Total current liabilities

114,482

 

153,704

Total liabilities

825,982

 

722,012

Total equity and liabilities

2,766,503

 

2,535,005

 

 

 

DAEJAN HOLDINGS PLC

CONSOLIDATED STATEMENT OF CASH FLOWS

FOR THE YEAR ENDED 31 MARCH 2019

 

 

Year

Year

 

ended

ended

 

31 March

31 March

 

2019

2018

 

 

£000

£000

£000

£000

Cash flows from operating activities

 

 

 

 

Cash generated from operations

61,506

 

56,480

 

Interest received

1,048

 

581

 

Interest paid

(15,486)

 

(12,592)

 

Tax paid

(8,855)

 

(8,967)

 

Net cash from operating activities

 

38,213

 

35,502

 

 

 

 

 

Cash flows from investing activities

 

 

 

 

Acquisition and development of investment property

(108,463)

 

(39,424)

 

Proceeds from sale of investment property

16,098

 

16,085

 

Net cash absorbed by investing activities

 

(92,365)

 

(23,339)

 

 

 

 

 

Cash flows from financing activities

 

 

 

 

Repayment of bank loans                                     

(59,603)

 

(2,509)

 

New bank loans                                                                                                  

60,000

       

15,000

 

Repayment of mortgages

(40,063)

 

(58,398)

 

New mortgages

102,814

 

70,216

 

Dividends paid to equity holders of the parent

Payments to non-controlling interest

(16,784)

(17)

 

(15,969)

(192)

 

Net cash generated by financing activities

 

46,347

 

8,148

 

 

 

 

 

Net (decrease)/increase in cash and cash equivalents

 

(7,805)

 

20,311

Cash and cash equivalents brought forward

 

98,752

 

84,283

Effect of exchange rate fluctuations on cash held

 

 

4,948

 

 

 

(5,842)

Cash and cash equivalents

 

95,895

 

98,752