4 April 2011 – final results

The European care home real estate investment company has announced its results for the year to 31 December and these have revealed adjusted pre-tax profits of £8.0m (20o9 – £6.4m) for earnings per share of 8.62p (2009: 9.53p).  The fall in earnings per share is due to an increase in the number of shares in issue following the fund raising last April.  The total dividend for the year was raised to 7.0p (2009: 6.5p).   Adjusted net assets per share were 150.5p (2009: 195.8p).

These were excellent results in the circumstances although there are clearly short term pressures on care home ooperators.  However, in the UK, the company has a fully-let portfolio on long-term leases with well-established tenants whilst the care home market in Germany where the group also operates remains stable.  The group only has gearing of 52%, not high for a company of this nature, and with the shares standing at a steep discount to net asset value and offering a very attractive yield of 9.3% they look GOOD VALUE.