Delivering on strategy underpins strong operating result.

Precinct Properties New Zealand Limited (Precinct) (NZX: PCT) reported its financial results for the 12 months ended 30 June 2020 today. The impacts of COVID-19 on valuations contributed to total comprehensive income after tax reducing to $35.1 million, offsetting a strong operating result. This result compared with $190.4 million in the previous period. The difference is mainly attributable to a strong FY19 revaluation and a devaluation for this period of certain development assets within the portfolio.

Adjusted funds from operations (AFFO), which adjusts for several non-cash items increased by 11.8% to $82.7 million (June 2019: $74.0 million) or 6.29cps. This strong result reflects the successful execution of the long-term strategy combined with the stable and secure income our portfolio generates through its high-quality clients and asset base. Reflecting this, Precinct received 91% of its rent during lockdown levels 3 and 4 while also being able to support those occupiers who needed assistance.

Full year dividends paid to shareholders and attributed to the 2020 financial year totalled 6.30 cps, representing a year on year increase of 5.0% and an AFFO dividend payout ratio of 100%.