Ace Liberty and Stone plc

(''Ace'' or "the Company'')

INTERIM RESULTS FOR SIX MONTHS TO 31 OCTOBER 2019

SOLID PROGRESS AND STRONG INCOME GENERATION

Ace Liberty and Stone plc, the active property investment company, capitalising on commercial property investment opportunities across the UK, is delighted to announce Interim Results for the period from 1 May 2019 to 31 October 2019. 

Highlights:

·      Turnover increased by 65% from £1,945,858 (H1: 2018) to £3,215,817 (H1: 2019)

·      Turnover for full year expected to be significantly increased compared to last year's full year figures.

·      Although profit before tax has dropped marginally from £334,299 to £305,060, total comprehensive income for the current period increased by 47% from £270,782 to £396,684.

·      Dividend of 0.83 pence per share paid

Ismail Ghandour, Chief Executive Officer, commented:

"During the reported period the Board adopted a conservative and prudent approach to its portfolio management, which we felt was necessary given the unstable political and financial environment.  This has been vindicated by the results we have achieved which show a substantial increase in both revenue and total comprehensive income.

"Following this period of consolidation, which enabled us to capitalise on the substantial investment made in the portfolio in 2018, the Board now has plans for further investment in suitable properties, but only when the right opportunities arise.

"Ace remains one of the few NEX-listed companies with a stable dividend policy. The Company's strong visibility on income has enabled it (subject only to adequate profitability and cashflow in the future) to increase both the frequency and amount of dividends paid. The Board appreciates the support given by shareholders and will continue to work to provide good returns on their investment."

Chairman's statement

It is with great pleasure that I present the results for Ace Liberty & Stone plc for the period from 1 May 2019 to 31 October 2019. 

As a result of the substantial investment in the portfolio made in the year ended 30 April 2019, turnover in the period under review, at £3,215,817 shows an increase of 65% over the comparable 2018 value of £1,945,858 and the Company is set to improve on last year's full year figures.

I am pleased to report that total comprehensive income for the period, at £396,684, shows a substantial increase, of 46%, over the result for the comparable period.

The company continues to follow a conservative approach to its portfolio management as shown by the following statistics at 31 October 2019:

a)     Portfolio Loan to Value is 54% (H1 2018: 55%)

b)    Weighted Average Unexpired Lease to Break is 8.08 years (H1 2018: 9.6 years)

c)     All properties are fully let

d)    58% of tenants are government bodies (H1 2018: 51%); 41% are triple-A commercial (H1 2018:45%)

e)    No rental defaults

Based on this solid progress, the Board has plans for further investment in suitable properties when the right opportunities arise.

As noted previously, the Company now pays its dividend to shareholders in three instalments each year resulting in earlier and larger payouts than previously. This is the second year of such a policy, following continuous growth since 2014, over which period the dividend payout has increased eleven-fold. The Board appreciates the support given by shareholders and will continue to work to provide good returns on their investment.

I am pleased to note that, as notified in regular announcements, the conversion of the 5% CLN issued in January 2018 into Ordinary Shares has been substantially completed with just £1,425,000 out of the original issue of £5,263,700 being temporarily rolled over at 31 December 2019 to give more time for holders to make their decisions. Over the same period warrants issued in connection with the 5% CLN and the 7% Loan have been exercised resulting in the issue of 3,908,250 new Ordinary Shares. The £10,000,000 CLN which expired on 28 June 2019 was also rolled over for two years.

The directors believe the Company is making excellent progress and will be continually on the lookout for opportunities to maximise the return from the existing portfolio and seek new investment properties to continue the portfolio growth.

We face the future with confidence and expect to continue to report improving results.

Unaudited group statement of comprehensive income

for the six months ended 31 October 2019

Unaudited group statement of retained earnings

for the six months ended 31 October 2019

Unaudited Group cash flow statement

for the six months ended 31 October 2019

The interim financial information set out herein does not constitute full financial statements within the meaning of Section 240 of the Companies Act 2006. The unaudited Group results have been prepared under the historical cost convention, in accordance with the Companies Act 2006 and applicable accounting standards in the United Kingdom.

The interim report has been prepared using accounting policies consistent with those set out in the Company's Annual Report and Accounts for the period to 30 April 2019. Those financial statements were prepared on a going concern basis.

The interim report for the six months to 31 October 2019 was approved by the Board on 16 January 2020

The Directors of Ace Liberty & Stone Plc accept responsibility for this announcement.

Notes to Editors

Ace Liberty & Stone Plc is a property investment company with a diverse portfolio of properties located across the UK, currently including Leeds, Sunderland, Plymouth, Leicester, Barnstaple, and Manchester. The Company locates commercial properties with Triple-A tenants which have the potential for an increase in value.  Ace has maintained a track record of generating strong profits at disposal of properties and achieving better-than-average returns on capital which are in turn utilised to underwrite an increasing dividend flow to shareholders. With strong support from shareholders and mortgage lenders, the Company is currently seeking further investment opportunities in the UK to create value for existing and new investors.

Ace is run by a board with extensive property experience, an excellent network of contacts and relevant professional qualifications. This sector expertise allied to a flexible decision-making process has allowed the Board to identify promising opportunities and act promptly to secure investments.

For more information on the Company please visit www.acelibertyandstone.com

For further information, please contact:

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