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TR Property Investment Trust PLC on Monday reported a rise in its interim net asset value, with the return surpassing its benchmark index, despite a drop in profit. The London-based investment trust offers exposure to companies involved with UK and European commercial real estate. NAV per share rose 7.4% to 351.36 pence at September 30, from 327.16p at March 31. NAV total return for the six months to September 30 was 10.6%, compared to 10.9% a year ago. Its benchmark, the FTSE EPRA/NAREIT Developed Europe Capped Net Total Return Index, returned 9.6% in the period. Pretax profit fell 6.7% to £111.7 million from £119.7 million. This was mainly driven by a 24% drop in investments held at fair value to £64.5 million from £67.3 million. Revenue earnings per share rose 23% to 10.07p from 8.16p in the same period a year ago. The company said its real estate investments from the last financial year ‘produced a meaningful increase in net rental income.’ TR Property declared an interim dividend of 5.75p per share, up 1.8% from 5.65p a year ago. The company said it is ‘confident’ the annual dividend return will be covered. Looking ahead to the rest of the financial year, the company said it expects earnings to be ahead of the previous full year. It does not anticipate a ‘significant increase’ in income, as it noted it is weighted towards the first half of the year. ‘Whilst it is pleasing to report a shareholder total return of +12.4% for the first six months of the financial year, the ongoing lack of enthusiasm for the sector by generalist investors has resulted in only a modest narrowing of discounts and this, in our view, presents further upside from here, particularly if the cost of borrowing continues to fall,’ said Marcus Phayre-Mudge, the fund manager. Chair Kate Bolsover said: ‘This half year marks a genuine turn in the income story.’ ‘Income momentum is rebuilding and it is good to see our direct property assets contributing meaningfully once again. After several years in which uncertainty has overshadowed fundamentals, it is encouraging to see full dividend cover move back into sight - complementing healthy share price and net asset value returns,’ Bolsover added. Shares in TR Property fell 0.5% to 324.44p on Monday morning in London. Copyright 2025 Alliance News Ltd. All Rights Reserved.
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