Hammerson has announced its unaudited half year results for the six months to 30 June 2003. Net rental income has increased with 16.8% to ÃÂ£ 97.5 mln. compared to the same period in 2002, also the profit before tax increased to ÃÂ£ 47.4 mln (27.1% increase).
- Strong rental growth with a 9.5% like-for-like increase.
- Retail portfolio value, representing 69% of the total portfolio, increased by 2.8%, more than offsetting a decline of 3.5% in the office portfolio value.
- Bullring shopping centre, Birmingham opening on 4 September 2003, with over 95% of expected retail rental income secured.
- Grantchester successfully integrated and several development projects advanced.
- Disposals contracted since 30 June 2003 total ÃÂ£200 million.
The Chairman, Ronald Spinney, said today: 'Hammerson demonstrated continued progress in the first six months of the year, with good increases in both net rental income and earnings. The recently acquired retail park portfolio showed a strong performance.
Despite slowing retail sales growth in the UK and France, demand for space from retailers in Hammerson´s centres has been good and the outlook remains encouraging. In contrast, demand for office space in central London and Paris remained subdued, although there has been a recent increase in the level of enquiries from prospective occupiers.
Hammerson is a resilient business with a strong balance sheet and substantial financial resources. Steps taken over the last few years to improve the quality of the portfolio, both through developments and the recycling of capital into assets providing good returns, mean that the group now has a robust income stream offering further growth potential.'