Strategy continues to deliver strong results. Chairman's report
Our FY20 results reflect the resilience of our business, premium nature of our assets, high quality client base and the dedication of our people and partners who support it.
Craig Stobo, Precinct Chairman
Precinct has continued to perform well during the 2020 financial year. It delivered consistent results amidst a challenging environment which has evolved over the last 6 months as a result of the COVID-19 pandemic.
Increase in dividend
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%.
FY20 Results Webcast.
Thursday, August 13, 2020, 10:00am NZT