Empiric Student Property Plc Releases Its Half Year Results

Posted by Richard Ward in

Image courtesy of Flickr, Creative Commons

Empiric Student Property has released its results for the six months ending 30 June 2017, reporting a 13.4% increase in its property valuation to £817.9m.

The student property owner-operator saw its revenue during the past six months increase by 27.3% to £24.5m, while the company's operating profit remained flat at £20.2m.

EPRA earnings per share declined 24.3% to 0.29p, meanwhile the company reported a loan to value (LTV) ratio at 30 June 2017 of 36.0%, with a weighted average term to maturity of 7.1 years.

At the end of the six-month period Empiric had 90 assets in its portfolio, across 30 university towns and cities, of which 75 were operational. In total 6,833 beds were operational with a further 758 due to come online for the 2017-18 academic year. The company also has an additional 1,171 beds in its pipeline.

On the operational side, Empiric's Hello Student platform increased the number of assets under management from 20 to 56 during the period. For the 2017-18 academic year Hello Student will be marketing and or managing 61 buildings in total.

The company achieved an average valuation yield of 5.8% during the period and an acquisition yield of 6.9% for the operating properties.

Commenting on the results, Empiric's chairman said: "The student accommodation market remains highly attractive and we have the strategy, pipeline, financial resources, management team and people to continue to grow the business successfully in the second half of the year and into the future. In summary, we are optimistic about Empiric's prospects in the remainder of 2017 and beyond."