On 10 August 2022, Malta Properties Company plc published its interim results covering the six-month period ended 30 June 2022.
Revenues increased by 5.7% to €1.95 million reflecting the additional income received from the lease of the newly acquired MIB Building located in Ta’ Xbiex which outweighed the decreases in rents for the Old Exchanges located in Marsa and B’Kara as these were vacated in H1 2022.
On the expenditure side, total operating costs eased by 1.2% to €0.55 million. As a result, operating profit climbed to €1.4 million compared to €1.29 million in H1 2021.
Meanwhile, MPC recorded lower gains arising from the revaluation of its investment properties which amounted to €1.07 million compared to €1.93 million in the first half of 2021. Elsewhere, net finance costs increased by 10.2% to €0.34 million reflecting the additional borrowings taken on for the acquisition of the MIB Building.
After accounting for a tax charge of €1.27 million, MPC reported a net profit of €0.86 million.
The Statement of Financial Position as at 30 June 2022, when compared to the corresponding figures as at 31 December 2021, shows that net assets contracted by 0.6% to €56.4 million which, in turn, translates into a net asset value per share of €0.556. Total assets expanded by 8.5% to €100.7 million whilst total liabilities increased by 22.8% to €44.3 million largely due to the higher level of indebtedness.
In their commentary, the Directors explained that MPC expects to significantly progress on its development projects this year. The Zejtun development is expected to be completed during 2022, whilst will boost MPC’s rental income. The company also started renovating the Spencer Hill building which is expected to be completed in early 2023. Meanwhile, MPC continues to explore various other acquisition opportunities as the company is in a solid position to grow further and continue to deliver positive results on the back of its high-quality property portfolio and strong tenant base.