Inland Homes (INL) performed much better than the headline figures for the year to June suggest. Adjusted net asset value (NAV) rose by 8 per cent to 91.5p a share, using Inland's preferred adjusted net asset value NAV measure, which includes the unrealised value in the land bank.
Profit was affected by the delay of 23 completions after a contractor ran into difficulties: Inland is already developing its own in-house capability to build houses rather than engaging outside contractors. A total of 168 homes were sold, down from 287 the previous year, although the prior number was boosted by a bulk sale of 59 units. The average selling price rose from £264,000 to £337,000.
As well as building houses, Inland also sells consented land to other housebuilders, and 425 units were sold during the year. The strategic land bank, which focuses on acquiring land next to existing settlements, where gaining planning consent is that much more likely, has been increased. Inland now has 17 options on over 330 acres capable of delivering over 1,600 plots. Some of these sites have been rented out for use as car parks or to filming companies, and rental income grew from £0.8m to £2.1m.
Prior to these results, analysts at Stifel forecasted adjusted net NAV at the June 2017 year-end of 107p a share.
| INLAND HOMES (INL) | ||||
|---|---|---|---|---|
| ORD PRICE: | 63.1p | MARKET VALUE: | £127m | |
| TOUCH: | 62.8-63.5p | 12-MONTH HIGH: | 89p | LOW: 46p |
| DIVIDEND YIELD: | 2.1% | PE RATIO: | 4 | |
| NET ASSET VALUE: | 86.6p* | NET DEBT: | 47% | |
| Year to 30 Jun | Turnover (£m) | Pre-tax profit (£m) | Earnings per share (p) | Dividend per share (p) |
|---|---|---|---|---|
| 2012 | 6.1 | 1.6 | 0.4 | 0.07 |
| 2013 | 31.1 | 5.2 | 2.0 | 0.3 |
| 2014 | 58.9 | 9.6 | 3.5 | 0.6 |
| 2015 | 114 | 34.0 | 14.7 | 1 |
| 2016 | 102 | 32.9 | 14.2 | 1.3 |
| % change | -11 | -3 | -3 | +30 |
Ex-div: 29 Dec Payment: 27 Jan *EPRA NAV | ||||
