Capital & Regional (CAL)

Sector:

Real Estate

Index:

FTSE Small Cap

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25.00p
   
  • Change Today:
    -0.75p
  • 52 Week High: 56.90p
  • 52 Week Low: 24.58p
  • Currency: UK Pounds
  • Shares Issued: 726.39m
  • Volume: 1,904,585
  • Market Cap: £181.60m
  • RiskGrade: 262
  • Beta: 0.03

Capital & Regional portfolio value drops but FY profit seen in line

By Michele Maatouk

Date: Thursday 24 Jan 2019

LONDON (ShareCast) - (Sharecast News) - Property investment company Capital & Regional said on Thursday that its net rental income for 2018 was expected to be flat and adjusted profit should be in line with market expectations, but the valuation of its portfolio declined amid negative sentiment towards retail assets.
In an update for the second half of 2018, the group said net rental income is expected to be in line with 2017 despite 20 CVAs and retailer restructurings, which have dented NRI by around £1.5m over the year.

Capital & Regional completed 87 leasing transactions in the year, comprising 42 new lettings and 45 renewals. Meanwhile, its occupancy increased from 96.9% across the portfolio at 30 June to 97% at 31 December.

Footfall was up 0.7% in the second half, outperforming the national index, which was down 3.7%. Footfall for the year as whole was up 1.2% on a like-for-like basis, compared to the national index decline of 3.5%.

The valuation of the company's portfolio fell by 4.5% in the second half to £855.3m. This was attributed to negative sentiment towards retail assets. Centres outside London saw a drop of 10.1%, while the group's three London assets saw their value rise by 1.1%, driven by income growth.

Capital & Regional also said it was in ongoing discussions with struggling department store chain Debenhams and is "advancing plans for the right sizing of some stores".

Debenhams pays an average rent of £8.65 per square foot on units in three of the company's seven wholly-owned assets, a total of around 340,000 sqft, representing 5.8% of total income.

Peel Hunt said that from an operational perspective, the trading statement is "undoubtedly positive" in what is a difficult market for retail. However, the broker's anticipated valuation falls have been confirmed.

"With that said the London assets have held up well with an unprecedented 1.1% valuation increase. The shares trade on a 52% discount to NAV and a 13% dividend yield," it said.

At 1330 GMT, the shares were down 4.4% to 27.20p.

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Note 1: Prices and trades are provided by Digital Look Corporate Solutions and are delayed by at least 15 minutes.

Note 2: RiskGrade figures are provided by RiskMetrics.

 

CAL Market Data

Currency UK Pounds
Share Price 25.00p
Change Today -0.75p
% Change -2.91 %
52 Week High 56.90p
52 Week Low 24.58p
Volume 1,904,585
Shares Issued 726.39m
Market Cap £181.60m
Beta 0.03
RiskGrade 262

CAL Star Ratings

Compare performance with the sector and the market.
more star ratings
Key: vs Market vs Sector
Value
82.72% above the market average82.72% above the market average82.72% above the market average82.72% above the market average82.72% above the market average
83.61% above the sector average83.61% above the sector average83.61% above the sector average83.61% above the sector average83.61% above the sector average
Price Trend
80.91% below the market average80.91% below the market average80.91% below the market average80.91% below the market average80.91% below the market average
84.13% below the sector average84.13% below the sector average84.13% below the sector average84.13% below the sector average84.13% below the sector average
Income
98.23% above the market average98.23% above the market average98.23% above the market average98.23% above the market average98.23% above the market average
100.00% above the sector average100.00% above the sector average100.00% above the sector average100.00% above the sector average100.00% above the sector average
Growth
40.43% below the market average40.43% below the market average40.43% below the market average40.43% below the market average40.43% below the market average
29.03% below the sector average29.03% below the sector average29.03% below the sector average29.03% below the sector average29.03% below the sector average

What The Brokers Say

Strong Buy 1
Buy 0
Neutral 3
Sell 1
Strong Sell 0
Total 5
neutral
Broker recommendations should not be taken as investment advice, and are provided by the authorised brokers listed on this page.

CAL Dividends

  Latest Previous
  Final Interim
Ex-Div 04-Apr-19 04-Oct-18
Paid 23-May-19 25-Oct-18
Amount 0.60p 1.82p

Trades for 22-Mar-2019

Time Volume / Share Price
14:56 3,000 @ 25.00p
14:48 8,000 @ 25.00p
14:37 25,000 @ 25.00p
14:37 2,000 @ 25.05p
14:37 1,500 @ 25.05p

CAL Key Personnel

Chair Hugh Scott-Barrett
CEO Lawrence Hutchings

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