Consensus forecasts from analysts predict the group, which moved from the junior AIM Market to the Main Market of the London Stock Exchange last month, will make a profit before tax of around £8.3m for the year. The Palace’s board is confident of exceeding those expectations.
The company also revealed it has an annual rent roll of £18.1m and annual net rental income of £16.88m, after the deduction of £1.22m in respect of empty rates, service charge shortfalls, and head rents.
Following its recent £40m, five-year, loan agreement with Barclays, the group said it had considerable firepower to make “significant acquisitions” and to boost its returns, and that it is in talks on a number of schemes.
Palace has debt facilities of £115m of which £101m had been drawn as at 31 March 2018 giving a loan to value ratio net of cash of 31% based on 30 September 2017 values. The average debt maturity is 4.7 years at an average interest cost of 3.4% of which 70% is hedged.
Neil Sinclair, chief executive of Palace said: “I continue to be positive not only about securing the right opportunities outside London but also our prospects for the existing portfolio.”
The group intends to announce its results for the year to 31 March on 11 June.