PRS REIT has doubled its revenue over the past year as profit rose by 170%.
The REIT made operating profit of £53.7m, up from £19.9m in 2020, as a result of an increase in completed and let units together with the rise in the portfolio valuation.
Over the reporting period 1,902 homes were added to the portfolio, bringing it to 3,984 homes, with an estimated rental value of £37.5m pa. A further 307 homes have been added since, taking the total to 4,291, with an ERV of £41m.
Chair Steve Smith said the company is “firmly on track to deliver a higher target of 5,700 homes” by mid-2022, with an ERV of £55m.
Revenue for the year to 30 June 2021 was £26.6m, up 106% from 2020’s £12.9m. PRS REIT earned £21.5m from rent, up 111% from 2020’s £10.2m. The gain from the fair value adjustment on investment property increased significantly from the prior year to £39m, up from 2020’s £15.8m, due to a combination of higher rents and yield compression.
The REIT declared a total dividend per share of 4p for the year.
Last month it raised £55.6m through an equity offer. PRS REIT said this would support the acquisition of five further sites and deliver around 500 homes with an ERV of £4.8m. Two of the sites have so far been bought.
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