Interim figures from Inland Homes don’t tell the whole story because the property development and housebuilder has completed a number of deals since the half-year end, notably the sale of 88 apartment plots for £5.75m at Drayton Garden Village (DGV) and £1.8m from the sale of a plot of land for an 80-bed nursing home. So with the benefit of a lowly geared balance sheet, the board now expects to pay a final dividend.
There were no land sales completed in the first half, and of total revenue of £3.7m, some £2.5m came from development service fees provided to DGV. But the second half should see much greater activity, including 28 residential plots due to complete at DGV.
Inland has also been busy adding to the land bank, buying the equivalent of 152 potential plots in West Drayton and a chunk of the old St John’s Hospital in Chelmsford. And there has been solid progress towards obtaining planning permission for a development in Poole for around 268 houses and 100,000 sq ft of commercial space.
Housebroker finnCap forecasts flat full-year adjusted pre-tax profits of £3.4m.
| INLAND HOMES (INL) | ||||
|---|---|---|---|---|
| ORD PRICE: | 20.5p | MARKET VALUE: | £37m | |
| TOUCH: | 20-21p | 12-MONTH HIGH: | 23p | LOW: 14.75p |
| DIVIDEND YIELD: | nil | TRADING STOCK: | £26.6m | |
| DISCOUNT TO NAV: | 25% | |||
| INVEST PROPERTIES: | £8.8m | NET DEBT: | 3% | |
| Half year to 31 Dec | Net asset value (p) | Pre-tax profit (£m) | Earnings per share (p) | Dividend per share (p) |
|---|---|---|---|---|
| 2010 | 24.9 | 0.90 | 0.51 | nil |
| 2011 | 27.0 | 1.08 | 0.43 | nil |
| % change | +9 | +20 | -16 | - |
