Financial performance

The Group generated a surplus for the year of £2.9m (2018: £6.7m) at an operating margin of 43% (2018: 53%). The decline in the surplus is primarily due to a reduction in the amount generated from property sales, being £3m lower than in the previous year. In addition, there was a one-off charge of £0.5m in the year for fixed interest breakage costs that resulted from the redemption of a bank loan.

The Board had recognised the slowdown in the housing market and correspondingly limited its exposure to new build sales. The lower level of surplus first tranche and open market property sales generated in the year was as a result of a decision to scale back the Group’s development programme. At the year end, there was only one recently completed unsold property in stock.

At the year end the Group had committed debt funding of £277m. Available liquid resources of £62m (cash holdings of £24m and undrawn loan facilities of £38m) are sufficient to meet the Group’s committed expenditure. The Group’s drawn debt has limited refinancing risk with only 20% of the Group’s debt maturing within the next ten years.


Useful Documents:

Group Financial Statements 2018-19

Investor Presentation - September 2018

Shift Silver 2018 Investors in People Positive About Disabled People Passiv Haus Trust