Revenue increased by 12% and property expenses by 11%. The property expense to rental income ratio of 25.31% (25.75%) reflects an improvement over 2007. The ratio for the overall portfolio reduced from 24.6% in 2007 to 21.0% in 2008 due to the nature of the leases acquired. Ambit's distribution for the half year to 30 September 2008 has increased by 11.0% to 19.20cpu (17.30cpu). The total distribution for the year is 36.50cpu (32.60cpu) representing an increase of 12.0% over 2007. The net asset value, before making provision for the debenture interest payable but after providing for deferred taxation, is 434cpu, an increase of 7.2% on 2007 (405 cpu).
Prospects
Given the turbulent times, management confirms their commitment to four broad objectives, namely:
* Focus on the basics. Let the space, collect the rent, all administration up to-date, maintain the properties and retain tenants.
* Extract maximum value from the assets. Look for opportunities to add value to existing properties by means of "out of the box thinking".
* Buy value. Assess every offer that comes management's way and take advantage of the "buyer's market".
* Limit risk. Proactively manage property, tenant, interest rate, credit and liquidity risks.
The board believes that this four pronged strategy will result in security of income, increased distributions and improved net asset value for the benefit of unitholders.
Profile Group (Pty) Ltd. has taken care in preparing all information on this website, but does not accept any liability for errors or out-of-date information.
