Primary care property investor and developer Assura has announced pre-tax profit of £108.3 million for the year ending 31 March 2021, up 37% from £78.9 million reported for the previous fiscal year. Earnings per share was 4.1p (2020: 3.1p).
The company’s passing rent roll increased by 12% to £121.7 million, compared to £108.9 million a year ago and its weighted average unexpired lease term increased to 11.9 years from 11.7 years.
Adjusted European Public Real Estate (EPRA) earnings increased by 12% to £75.4 million (2020: £67.5 million), with adjusted EPRA EPS of 2.8p (2020: 2.8p)
Assura’s portfolio increased 15% to £2,453 million as at 31 March 2021 (March 2020: £2,139 million) and portfolio net initial yield was 4.58% (March 2020: 4.68%).
The portfolio comprises 609 properties (March 2020: 576), catering to 5.9 million people across the UK. Assura competed 12 developments during the period, compared to four in the prior fiscal year. A further 16 are on site at a total cost of £72 million.
The company completed 50 acquisitions during the reported period for a total of £230 million, with 29 disposals with proceeds of £26 million.
Total contracted rental income increased to £1.57 billion (March 2020: £1.43 billion)
In the pipeline Assura has immediate developments totalling £111 million; acquisitions in legal hands of £46 million, and asset enhancement capital projects of £15 million. A total of 39 lease re-gears covering £5 million of existing rent roll are in the current pipeline.
As at 31 March 2021 gross debt stood at £957 million on a fully unsecured basis and the company has undrawn facilities of £225 million and cash of £46.6 million.
It issued £10-year £300 million social bond with coupon of 1.5% last September and raised £185 million from an equity raise in April last year. It reported loan-to-value of 37% at 31 March 2021 and weighted average interest rate of 2.47%.
Assura’s chief executive Jonathan Murphy said: “Over the year we continued to build on our market-leading position, delivering a strong financial performance, a record number of new developments in local communities and significant progress on our social impact strategy, SixBySix.
“With an ageing population and challenges exacerbated by Covid-19, NHS services are under intense pressure. Well-designed and located community healthcare spaces that meet the ever-changing requirements of GPs and their patients will play an essential role in reducing this pressure on hospitals and the wider health service. With our largest-ever development pipeline and deep understanding of the NHS, we are well-placed to continue delivering such space and to support it through key emerging trends including digitalisation, the integration of healthcare systems and mental health support.
“The NHS is seeking to become the world’s first net zero carbon health system and we have set tough targets for ourselves, as we believe our contribution to improving health in communities must reach far beyond our buildings.
“After another successful year, we look forward with confidence to progressing our strategy and continuing to deliver value for our shareholders and wider stakeholders.”
Date published: May 18, 2021