Sutton Harbour swings to first-half loss before tax

Sutton Harbour Group reported a first-half gross profit of £1.62m on Thursday, up from £1.415m year-on-year.

The AIM-traded firm recorded a loss before tax of £0.119m for the six months ended 30 September, swinging from profit before tax of £0.223m a year earlier.

Gross assets increased to £98.859m from £96.049m as of 31 March, while net assets also rose to £58.85m £56.067m.

The net asset value per share stood at 41.2p, down from 43.1p at the end of March.

Net debt increased slightly to £30.468m from £29.259m on 31 March, with gearing at 51.8%, compared to 52.2% six months earlier.

On the operational front, Sutton Harbour said the completion of Harbour Arch Quay and the sale of all 14 apartments were accomplished by early November.

Additionally, the newly refurbished Old Barbican Market achieved full occupancy.

The marinas operated by the company were near capacity, and looking ahead, the North Quay House redevelopment project was scheduled for delivery in 2024.

Sutton Harbour said its strategic plans included a focus on debt reduction.

The company intended to implement a debt reduction strategy plan in 2024 to alleviate its interest burden.

“In the period under review and into recent months, the company has delivered the construction work and full occupation of two major projects in Sutton Harbour, both which have already added to the quality of the local built environment and are the first significant developments in more than a decade around Sutton Harbour,” said executive chairman Philip Beinhaker.

“The company is committed to continuing with its development programme to ensure the future quality and sustainability of the area and delivery of medium to long term value for investors.”

Reporting by Josh White for Sharecast.com.