Walls & Futures REIT PLC: Half year results for the 6 months to 30 September 2023

THIS ANNOUNCEMENT CONTAINS INSIDE INFORMATION FOR THE PURPOSES OF REGULATION 11 OF THE MARKET ABUSE (AMENDMENT) (EU EXIT) REGULATIONS 2019/310.

 

22 December 2023

WALLS & FUTURES REIT PLC

 

 (“Walls & Futures” or the “Company”)

 

Half Year Results for the period to 30 September 2023

 

Walls & Futures REIT plc (“WAFR”) the Ethical Housing Investor and developer, is pleased to announce its unaudited interim results for the six months to 30 September 2023.

 

Highlights

 

• Net Asset Value (NAV) down 2% to 87p per share (31 March 2023 - 89p per share)
• Property assets increased by 2.4% (£60,000)
• Profit of £45,508 (30 September 2022 - Loss of £36,749)
• 100% of Specialist Supported Housing rents collected

 

Chief Executive’s Statement

 

“I am pleased with the overall performance of our property portfolio, with 100% of rents being collected along with a slight increase in value due to inflation-linked rent increases.

 

The management team have been working with Vengrove to finalise the restructuring process and raise fresh capital. We had hoped to conclude a significant transaction before Christmas. The stabilised, income-producing portfolio with an estimated value of £10m would have increased our scale significantly and enabled us to move quickly to paying a dividend. Unfortunately, the final due diligence process raised issues we could not overcome.

 

During 2024, we intend to raise an initial £10m, which will be invested into a portfolio of Social Infrastructure Assets to ensure a dividend can be paid. The medium-term plan is to strengthen the existing board of directors in preparation for an institutional fundraise of £200m and a move to the main market.

 

Our investment strategy will be focused on foundational assets that support the quality of life in regional and local communities. We consider the key pillars to be:

 

1. Affordable Housing – Affordable rent & shared ownership
2. Education - Children's nurseries, special education needs & schools
3. Roadside & Transport – EV charging hubs, car parks& bus depots
4. Civic, Community & Justice – Libraries, community hubs, law courts & recycling facilities

 

Our long-term goal is to grow Social Infrastructure REIT into a £1bn plus market-leading public vehicle providing critical community infrastructure, long-term sustainable inflation-linked income, and strong liquidity with defence cashflow from a diversified tenant base.”

 

 

Joe McTaggart

Chief Executive

 

 

 

 

 

 

 

Consolidated Income Statement

For the Six-Month Period to 30 September 2022

 

	6 Months to 30 September 2023		6 Months to 30 September 2022		Year ended 31 March 2023
		£		£	£
Rent received	62,407		57,699		115,398
Cost of sales	-		-		-
Gross Profit	62,407		57,699		115,398
Increase in property values	60,000		-		(250,000)
Other Income	3,569		332		-
Administrative Expenses	(79,485)		(94,334)		(239,033)
Depreciation	-		-		-
	____________		____________		____________
OPERATING PROFIT/(LOSS)	46,491		(36,303)		(373,635)
Exceptional item	-		-		-
Interest receivable and similar income	-		-		1,749
Interest payable	(305)		(383)		(558)
	____________		____________		____________
PROFIT/(LOSS) BEFORE TAXATION	46,186		(36,686)		(472,443)
Taxation	678		63		332
Loss on disposal of fixed assets & depreciation	-		-		-
	____________		____________		____________
PROFIT/(LOSS) FOR THE FINANCIAL PERIOD	45,508		(36,749)		(472,775)
Other comprehensive income	-		-		-
TOTAL COMPREHENSIVE INCOME FOR THE PERIOD	45,508		(36,749)		(472,775)

 

 

Consolidated Balance Sheet

30 September 2022

	30 September 2023			30 September 2022			31 March 2023
	£	£	£		£	£		£
FIXED ASSETS
Investment Property		2,560,000			2,750,000			2,500,000
Investments		1			-			-
CURRENT ASSETS
Cash at Bank	753,335		829,352			756,524
Debtors and Prepayments	5,642		117,350			13,493
CREDITORS
Amounts falling due within one year	(39,062)		(20,248)			(31,592)
NET CURRENT ASSETS		737,425			926,454			737,425
TOTAL ASSETS LESS CURRENT LIABILITIES		3,237,426			3,676,454			3,237,426
Provision for Liabilities		-			-			-
Amounts falling due over one year		(10,000)			(16,000)			(13,000)
NET ASSETS		3,269,936			3,660,454			3,224,426
CAPITAL AND RESERVES
Called up share capital		187,754			187,754			187,754
Share Premium		3,505,154			3,505,154			3,505,154
Fair Value Reserve		1,226,019			1,416,019			1,166,019
Retained Earnings		(1,648,992)			(1,448,473)			(1,634,501)
		3,269,936			3,660,454			3,224,426

 

Consolidated Cash Flows

For the Six-Month Period to 30 September 2023

	30 September 2023	30 September 2022	31 March 2023
	£	£	£
Cash flows from operating activities
Cash generated from operations	(3,516)	(116,928)	(64,682)
Interest paid	(224)	(301)	(558)
Tax paid	-	-	-
Net cash from operating activities	(3,740)	(117,229)	(65,240)
Cash flows from investing activities
Purchase of investment property	-	-	-
Sale of tangible fixed assets	-	-	-
Sale of fixed asset investments	-	-	-
Sale of investment property Development costs recognized in c/year	- -	- -	- (123,324)
Interest received	3,569	332	1,749
Net cash from investing activities	5,569	332	(121,485)
Cash flows from financing activities
New loans in year	-	-	-
Loan repayments in year	(3,000)	(3,000)	(6,000)
Share issue	-	-	-
Share buyback	-	-	-
Net cash from financing activities	(3,000)	(3,000)	(6,000)
Increase/(decrease) in cash and cash equivalents	(3,171)	(119,897)	(192,725)
Cash and cash equivalents at beginning of period	756,524	949,249	949,249
Cash and cash equivalents at end of period	753,353	829,352	756,524

 

 

The above figures have not been reviewed by the Company’s auditors.

 

The Directors of the issuer accept responsibility for the contents of this announcement.

 

For further information, contact:

Walls & Futures REIT PLC                                                 0333 700 7171     

Joe McTaggart, Chief Executive

Website www.wallsandfutures.com

 

Allenby Capital Limited (Corporate Adviser)                               

Nick Harriss/James Reeve     020 3328 5656