Search Share Prices
First Property profits boosted by stronger euro
AIM-listed property fund manager First Property Group saw pre-tax profits hit a record high during the year ended 31 March, thanks to an improved performance from its fund management division and a stronger euro.
Pre-tax profits grew 0.98% to £9.23m as First Property's total assets under management moved ahead 31% to £626m, £454m of which was managed on behalf of third-party clients, a 45% increase year-on-year.
First Property's fund management unit, which generates revenues by charging third parties fees for property investment, saw revenues grow 42% to £2.92m.
Net assets expanded 21.8% to £52.92m as a result of the improved performance from its fund management division and a 4.8% strengthening of the euro against sterling.
Despite noting that it had suffered "a significant vacancy" in group property, First Property upped its final dividend by 2.6% to 1.18p per share.
Ben Habib, chief executive of First Property, said, "Both divisions are trading well and although we have had a significant vacancy in a Group property, Chalubinskiego 8 (previously known as Oxford Tower) in February 2018, we have already re-leased some 26% of this space and are experiencing healthy interest in the remaining space which we expect to re-let in due course."
"The growth of our fund management division continued apace with third-party assets under management increasing by some 45%," Habib added.
As of 1420 BST, First Property shares had lost 4.86% to 50.90p.