25 May 2012

Wynnstay Properties

NO RECOMMENDATION

27/11/2002

Industrial property-focused Wynnstay impressed again with its interim results which showed pre-tax profits up 23% to £316,000 for the period to September (excluding a £100,000 profit on the disposal of some offices in Colchester). Rental income from the fully let portfolio was up 8% to £772,000 because of a full six months contribution from an industrial site in Crawley. Stated net asset value moved on 8% to 259p though the company is keen to emphasise that there is considerable potential for making disposals far in excess of book value on certain sites (the Colchester offices made a 645 profit on booked net asset value). Given the shares' 24% discount to stated NAV, and likely pre-tax profits of around £750,000 for the year, the shares look a solid addition to a portfolio. It also currently yields 3.4%.

Sector: General Financial

Companies: Wynnstay Properties

Market cap: £6.2m

Share price: 197.5p

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