Half Year Results for the period to 30 September 2023
Walls & Futures REIT plc (“WAFR”) the Ethical Housing Investor and developer, is pleased to announce its unaudited interim results for the six months to 30 September 2023.
Highlights
- Net Asset Value (NAV) down 2% to 87p per share (31 March 2023 – 89p per share)
- Property assets increased by 2.4% (£60,000)
- Profit of £45,508 (30 September 2022 – Loss of £36,749)
- 100% of Specialist Supported Housing rents collected
Chief Executive’s Statement
“I am pleased with the overall performance of our property portfolio, with 100% of rents being collected along with a slight increase in value due to inflation-linked rent increases.
The management team have been working with Vengrove to finalise the restructuring process and raise fresh capital. We had hoped to conclude a significant transaction before Christmas. The stabilised, income-producing portfolio with an estimated value of £10m would have increased our scale significantly and enabled us to move quickly to paying a dividend. Unfortunately, the final due diligence process raised issues we could not overcome.
During 2024, we intend to raise an initial £10m, which will be invested into a portfolio of Social Infrastructure Assets to ensure a dividend can be paid. The medium-term plan is to strengthen the existing board of directors in preparation for an institutional fundraise of £200m and a move to the main market.
Our investment strategy will be focused on foundational assets that support the quality of life in regional and local communities. We consider the key pillars to be;
- Affordable Housing – Affordable rent & shared ownership
- Education – Children’s nurseries, special education needs & schools
- Roadside & Transport – EV charging hubs, car parks& bus depots
- Civic, Community & Justice – Libraries, community hubs, law courts & recycling facilities
Our long-term goal is to grow Social Infrastructure REIT into a £1bn plus market-leading public vehicle providing critical community infrastructure, long-term sustainable inflation-linked income, and strong liquidity with defence cashflow from a diversified tenant base.”
Joe McTaggart
Chief Executive
Consolidated Income Statement
For the Six-Month Period to 30 September 2022
|
|
6 Months to 30 September |
6 Months to 30 September 2022 |
Year ended 31 March 2023 |
||
|
|
|
£ |
|
£ |
£ |
|
Rent received |
62,407 |
57,699 |
115,398 |
||
|
Cost of sales |
– |
– |
– |
||
|
Gross Profit |
62,407 |
57,699 |
115,398 |
||
|
|
|
|
|
||
|
Increase in property values |
60,000 |
– |
(250,000) |
||
|
Other Income |
3,569 |
332 |
– |
||
|
Administrative Expenses |
(79,485) |
(94,334) |
(239,033) |
||
|
Depreciation |
– |
– |
– |
||
|
____________ |
____________ |
____________ |
|||
|
OPERATING PROFIT/(LOSS) |
46,491 |
(36,303) |
(373,635) |
||
|
Exceptional item |
– |
– |
– |
||
|
Interest receivable and similar income |
– |
– |
1,749 |
||
|
Interest payable |
(305) |
(383) |
(558) |
||
|
____________ |
____________ |
____________ |
|||
|
PROFIT/(LOSS) BEFORE TAXATION |
46,186 |
(36,686) |
(472,443) |
||
|
Taxation |
678 |
63 |
332 |
||
|
|
|
|
|
||
|
Loss on disposal of fixed assets & depreciation |
– |
– |
– |
||
|
____________ |
____________ |
____________ |
|||
|
PROFIT/(LOSS) FOR THE FINANCIAL PERIOD |
45,508 |
(36,749) |
(472,775) |
||
|
|
|
|
|
||
|
Other comprehensive income |
– |
– |
– |
||
|
TOTAL COMPREHENSIVE INCOME FOR THE PERIOD |
45,508 |
(36,749) |
(472,775) |
||
Consolidated Balance Sheet
30 September 2022
|
|
30 September 2023 |
30 September 2022 |
31 March 2023 |
||||||
|
|
£ |
£ |
£ |
£ |
£ |
£ |
|
||
|
|
|
|
|
|
|
|
|
||
|
FIXED ASSETS |
|
|
|
|
|
|
|
||
|
Investment Property |
|
2,560,000 |
|
2,750,000 |
|
2,500,000 |
|
||
|
Investments |
|
1 |
|
– |
|
– |
|
||
|
|
|
|
|
|
|
|
|
||
|
CURRENT ASSETS |
|
|
|
|
|
|
|
||
|
Cash at Bank |
753,335 |
|
829,352 |
|
756,524 |
|
|
||
|
Debtors and Prepayments |
5,642 |
|
117,350 |
|
13,493 |
|
|
||
|
|
|
|
|
|
|
|
|
||
|
CREDITORS |
|
|
|
|
|
|
|
||
|
Amounts falling due within one year |
(39,062) |
|
(20,248) |
|
(31,592) |
|
|
||
|
|
|
|
|
|
|
|
|
||
|
NET CURRENT ASSETS |
|
737,425 |
|
926,454 |
|
737,425 |
|
||
|
TOTAL ASSETS LESS CURRENT LIABILITIES |
|
3,237,426 |
|
3,676,454 |
|
3,237,426 |
|
||
|
|
|
|
|
|
|
|
|
||
|
Provision for Liabilities |
|
– |
|
– |
|
– |
|
||
|
|
|
|
|
|
|
|
|
||
|
Amounts falling due over one year |
|
(10,000) |
|
(16,000) |
|
(13,000) |
|
||
|
|
|
|
|
|
|
|
|
||
|
NET ASSETS |
|
3,269,936 |
|
3,660,454 |
|
3,224,426 |
|
||
|
|
|
|
|
|
|
|
|
||
|
CAPITAL AND RESERVES |
|
|
|
|
|
|
|
||
|
Called up share capital |
|
187,754 |
|
187,754 |
|
187,754 |
|
||
|
Share Premium |
|
3,505,154 |
|
3,505,154 |
|
3,505,154 |
|
||
|
Fair Value Reserve |
|
1,226,019 |
|
1,416,019 |
|
1,166,019 |
|
||
|
Retained Earnings |
|
(1,648,992) |
|
(1,448,473) |
|
(1,634,501) |
|
||
|
|
|
3,269,936 |
|
3,660,454 |
|
3,224,426 |
|
||
Consolidated Cash Flows
For the Six-Month Period to 30 September 2023
|
|
30 September 2023 |
30 September 2022 |
31 March 2023 |
|
|
£ |
£ |
£ |
|
Cash flows from operating activities |
|
|
|
|
Cash generated from operations |
(3,516) |
(116,928) |
(64,682) |
|
Interest paid |
(224) |
(301) |
(558) |
|
Tax paid |
– |
– |
– |
|
Net cash from operating activities |
(3,740) |
(117,229) |
(65,240) |
|
|
|||
|
Cash flows from investing activities |
|
|
|
|
Purchase of investment property |
– |
– |
– |
|
Sale of tangible fixed assets |
– |
– |
– |
|
Sale of fixed asset investments |
– |
– |
– |
|
Sale of investment property Development costs recognized in c/year |
– – |
– – |
– (123,324) |
|
Interest received |
3,569 |
332 |
1,749 |
|
Net cash from investing activities |
5,569 |
332 |
(121,485) |
|
|
|||
|
Cash flows from financing activities |
|
|
|
|
New loans in year |
– |
– |
– |
|
Loan repayments in year |
(3,000) |
(3,000) |
(6,000) |
|
Share issue |
– |
– |
– |
|
Share buyback |
– |
– |
– |
|
Net cash from financing activities |
(3,000) |
(3,000) |
(6,000) |
|
|
|
|
|
|
Increase/(decrease) in cash and cash equivalents |
(3,171) |
(119,897) |
(192,725) |
|
Cash and cash equivalents at beginning of period |
756,524 |
949,249 |
949,249 |
|
Cash and cash equivalents at end of period |
753,353 |
829,352 |
756,524 |
The above figures have not been reviewed by the Company’s auditors.
The Directors of the issuer accept responsibility for the contents of this announcement.
For further information, contact:
Walls & Futures REIT PLC 0333 700 7171
Joe McTaggart, Chief Executive
Allenby Capital Limited (Corporate Adviser)
Nick Harriss/James Reeve 020 3328 5656