Raven Russia's (RUS) shares bounced 5 per cent on a strong set of half-year results. The company's portfolio of logistics sheds around Moscow is now virtually fully let, with annualised net operating income of $191m (£123m) if pre-let agreements and letters of intent are included. That equates to an occupancy rate of 97 per cent, bearing witness to the strength of Moscow consumerism.
The company will consequently increase its half-year distribution by a third to the equivalent of 2p (it makes tender offer buy backs rather than paying conventional dividends). House broker Singer is expecting a 3p final distribution, giving a yield of 7 per cent on the current share price.
The growth should continue as the company uses its spare cash to build more sheds on its substantial landbank. Chief executive Glyn Hirsch admits "finance is not easy", but the company has cash balances of $152m and gearing levels are modest.
