Land Securities reports a broader £835 million of pre-tax loss in fiscal H1
- Land Securities reports a broader £835 million of pre-tax loss in fiscal H1.
- The British firm reports a 7.7% decline in the value of its combined portfolio.
- Land Securities' board declares 12 pence per share of dividend on Tuesday.
In a report on Tuesday, Land Securities Group plc (LON: LAND) said that it concluded the fiscal first half with a broader loss, attributed primarily to a drop in the value of its assets. The company, however, chose to reinstate dividend payments on Tuesday.
Shares of the company opened a little under 4% down in the stock market on Tuesday, but jumped more than 10% in the next hour. On a year to date basis, Land Securities is currently about 30% down, but has recovered roughly 40% since its year to date low in September. Trading stocks online is easier than you think. Here’s how you can buy shares online in 2020.
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Land Securities reports a 7.7% decline in the value of its assets
Land Securities said that its pre-tax loss in the six months that concluded on 30th September came in at £835 million. In comparison, it had posted a much lower £147 million of loss in the same period last year. Land Securities had previously reported £840 million of full-year pre-tax loss in May.
Revenue profit, the London-based firm added, registered a close to 50% decline in H1 to £115 million versus the year-ago figure of £225 million. Land Securities blamed the Coronavirus pandemic that resulted in higher credit loss provisions and reduced income in recent months for this decline.
The COVID-19 crisis has so far infected more than 1.2 million people in the United Kingdom and caused over 49 thousand deaths. Land Securities also highlighted a 7.7% decline in the value of its combined portfolio in the first half to £11.8 billion on Tuesday.
CEO Mark Allan’s comments on Tuesday
CEO Mark Allan of Land Securities commented on the financial report on Tuesday and said:
“The impact of COVID-19 has been felt throughout the period, and that will continue to be the case for the remainder of the financial year as evidenced by the recent introduction of a second national lockdown.”
Land Securities board decided in favour of declaring 12 pence per share of dividend on Tuesday for the fiscal first half. In comparison, the company had declared a higher 23.2 pence per share of dividend in the same period last year. In separate news from the United Kingdom, homebuilder Persimmon also declared another dividend of 70 pence per share on Tuesday.
At the time of writing, Land Securities is valued at £5.07 billion.