SCHRODER EUROPEAN REAL ESTATE INVESTMENT TRUST PLC – Full Year Results For The Year Ended 30 September 2021 – SENS
Full Year Results for the year ended September 30, 2021
Schroder European Real Estate Investment
Trust plc
(Registered in England and Wales)
Registration number: 09382477
JSE share code: SCD
LSE ticker: SERE
ISIN number: GB00BY7R8K77
(‘SEREIT’ / the ‘company’ / ‘group’)
FULL YEAR RESULTS FOR THE YEAR ENDED SEPTEMBER 30, 2021
Schroder European Real Estate Investment Trust plc, the company that invests in European growth
Cities and Regions, today announces its full year results for the year ended September 30, 2021.
KEY FEATURES
Quarterly dividends at pre-Covid level and granting of a special dividend
• Continuation of the pre-Covid dividend of 1.85 euro cents per share (cps)
• An additional special dividend of 4.75 cents per second announced, with the intention of declaring a further special dividend
Dividend, which, in addition to the next interim results, is aiming for about 4.75 cents per second, which is what the
profitable sale and renovation of Boulogne-Billancourt (“Paris BB”)
Financial highlights: Well positioned with improved earnings and low loan-to-value with
Over 40 million euros investable firepower
• Net asset value (‘NAV’) of € 199.5 million or 149.2 CPs (September 30, 2020: € 201.8 million or.)
150.9 cps);
• NAV total return of 3.2% based on an IFRS profit of € 6.2 million (September 30, 2020: 16.2% /
€ 28.4 million), driven primarily by valuation increases in industrial and DIY store properties
with the German office portfolio, which was offset by the write-off of the Seville exposure
up to € zero;
• Underlying EPRA result of € 6.6 million (September 30, 2020: € 8.6 million), the
Increase with reallocation of Paris BB sales proceeds and with improvement in rental collection;
• Lending value of 16% net / 28% gross September 30, 2020: 24% net / 28%
before cash payment) with a weighted average total interest rate of 1.4% and a weighted average credit
Term of 2.9 years, earliest loan term 2023;
• Declared total dividends of 11.87 cps with 7.12 cps from ordinary dividends. Dividend coverage
of 69% for the ordinary dividend (September 30, 2020: 112%) with a share in net sales
Proceeds from the sale of Paris BB to cover the shortfall in
short term income
• Over € 40 million (excluding debt) available investment power and a strong pipeline of
Acquisition opportunities, positioning the company for future growth
Operational highlights: Success in asset management and weighting in high-growth sectors
Strengthening portfolio resilience
• 1.7% or € 3.5 million increase in the comparable portfolio value to € 215.7 million. Exclusively
the depreciation of the company’s only mall, the portfolio value
increased by € 10.2 million or 5.6%;
• Two acquisitions with a total volume of approx. € 10 million completed:
oa logistics investment in Nantes, France for € 6.2 million, which reflects a net initial return
of 5.5%; and
o an additional floor with a total of 1,050 m² in the Paris Saint-Cloud office investment
in Paris
• Conclusion of 11 new rental contracts and new equipment events with an annual turnover of approx. € 700,000
Contract rent with a weighted average lease term of four years. This contains
Hamburg’s remaining floors for rents are well above the rental value and rising
Utilization from 80% to 100%;
• Robust rental income of 93% for the period, including 95% for the final quarter;
• The renovation works in Paris Boulogne-Billancourt will start in the second quarter of 2022 and. delivered
within the cost, with the remaining 50% consideration for the renovation in
Rates over the renovation period;
• Maintaining the green GRESB 3-star rating with plant-specific sustainability initiatives that have been identified as
Improve rating.
Sir Julian Berney Bt., Chairman, commented:
“The company is still a unique and compelling proposition for investors and is doing well
to benefit from the accelerated trends caused by the pandemic. These include
Changes in user demand, providing operational excellence and ensuring sustainability
Priorities are anchored in the company’s investment process.
“We continue to work with the Investment Manager on moving capital into new ones
Investments and income-enhancing initiatives to further diversify the portfolio and the
Dividend coverage back to 100%. We will continue to be a very disciplined and patient one
approach.
The board does not believe that the current share price is the robust performance of the
Business and especially the attractive dividend yield, possibility of special
Dividends and the commitment in the winning cities and regions. “
Jeff O’Dwyer, Fund Manager for Schroder Real Estate Investment Management Limited,
added:
‘The ambition to further diversify the portfolio and drive the next phase of growth
The use of our local know-how to develop and acquire new opportunities remains unabated.
Fortunately, the portfolio once again demonstrated its attractive income and capital growth
Properties during another challenging time. With a sustained market
Uncertainty, the company’s exposure to cities and higher growth sectors, associated with its
a prudent gearing position, and the available investment power, means it is well positioned to
Deliver shareholder value. “
A virtual presentation for analysts and investors will take place today at 9:00 am GMT / 11:00 am SAST. to
To register please visit:
https://us02web.zoom.us/webinar/register/WN_8xsop-KDQ2eDZcJ8LLz8jA
Short notice
This short communication is the responsibility of the directors of the company. It contains
only a summary of the information in the full announcement (“Full Announcement”) and
does not contain complete or complete information. The full announcement can be found at:
https://senspdf.jse.co.za/documents/2021/JSE/ISSE/SCDE/SEREITFY21.pdf
Copies of the full announcement are also available on the company’s website at
www.schroders.co.uk/sereit or can be requested in person at the company’s registered office
or in the sponsor’s office during office hours for free.
All investment decisions by investors and / or shareholders should be based on
the full announcement as a whole.
These annual results have been reviewed by the company’s auditor, PricewaterhouseCoopers LLP
who has issued an unchanged audit opinion. The full auditor’s report contains details on
important examination matters. This auditor’s report is available together with the annual financial statements,
on the company’s website at www.schroders.co.uk/sereit.
The company has an initial listing on the London Stock Exchange and a secondary listing on the
JSE Limited.
London
December 7, 2021
sponsor
PSG capital
Date: 07-12-2021 09:00:00
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