Following URF? URF Full Year Results 2015
Revenue was up 62.7% in FY15 on the pcp, largely as a result of significantly improved rental income of $22m, up 58.6% on the pcp and slightly above our forecast rental income of $21.3m. The Fund reported an increase in the book value of properties of $40.8m, a 28.8% increase on the previous year book value uplift. The valuation uplift and the improved rental income assisted the Fund in generating a profit before tax of $25.4m, a 121% uplift on the pcp and a small net profit of $63,986, after the $3.9m loss reported in FY14. The Fund continues to have a negative operating cashflow, with the Fund currently spending more on renovating properties than the rental income being generated. Valuation: IIR have revised their base case value for URF up to $2.41 per unit. The Fund currently has 33% of its portfolio (based on value) in the renovation phase. As such, we do not see the Fund making a significant number of acquisitions over 2016. For a more detailed insight, see the IIR report attached.
York Wealth Management is a full service brokerage firm with strategic relationships with major financial institutions throughout Australia. Our core business is to build wealth for high net worth individuals by providing access to industry...
No areas of expertise