Atleaf final results February 2018

Revenue for the year jumped to GBP26.9 million (GBP24.1 million) whilst operating income rose to GBP21.7 million (GBP20.6 million). Profit for the year dropped to GBP9.2 million (GBP17.0 million). In addition, headline earnings per share decreased to GBP9.18 pence per share (GBP9.34 pence per share).

Dividends declared
The Board announced a dividend of GBP4.65 pence per share for the six months ended 28 February 2019, which together with the dividend of GBP4.65 pence per share for the six months ended 31 August 2018 brings the total dividend for the year to GBP9.3 pence per share, an increase of 2.2% over the 2018 year.

Further information regarding the dividend, including salient dates and exchange rates, will be announced separately.

Results presentation
Management will be presenting the annual financial results at 10:00 CAT on Wednesday 24 April 2019 via live webcast which can be viewed on

Alternatively, the presentation may be accessed via the conference call numbers below:
South Africa: 011 535 3600
International: +27 11 535 3600

Company outlook
The trading conditions under which we operate are expected to remain challenging with the continued Brexit uncertainty.

Converting to a UK REIT has repositioned the Company in a more tax efficient manner which should assist in its strategy to raise new capital from South African and UK investors. The asset management strategy will focus on our lease management activity to ensure that income from assets is maximised. A further asset management strategy will be to change the asset mix to reduce our retail warehouse exposure (as evidenced by the sale of the DFS portfolio) and increase our exposure to industrial and logistics buildings, both single and multi-tenanted.

As a result of the debt refinance, finance costs will, going forward, increase by approximately GBP360 000 per annum. Following the REIT conversion, the 2019 financial year will be the last year in which Atlantic Leaf pays tax on rental business profits at the corporate level.

The Company is targeting distributions of at least GBP10 pence per share for the 2020 financial year. This forecast takes into account higher finance costs from the debt refinance, deployment of proceeds from expected asset sales, asset management activity during the year, including the letting of our Haydock asset, and no company-level tax charge as a result of being a REIT.

2019-04-23 15:17:05