Announcement

INTERIM: IPL: Investore Property Limited Interim Results HY20 08:31a.m. 
IPL  
13/11/2019 08:31  
INTERIM  
PRICE SENSITIVE  
REL: 0831 HRS Investore Property Limited (NS)  
 
INTERIM: IPL: Investore Property Limited Interim Results HY20  
 
Investore Property Limited (Investore) is pleased to announce its interim  
results for the six months ended 30 September 2019 (HY20).  
 
During HY20 Investore has been focussing on its four key strategic  
principles, which are designed to deliver shareholder returns, and this has  
resulted in a sound result for HY20. Investore's efforts on developing each  
of these strategic principles - active portfolio management, targeted growth,  
continued optimisation of the portfolio and proactive capital management -  
supports the company's commitment to maximise and deliver attractive and  
stable returns to investors and this is reflected in the interim results.  
 
Highlights for HY20 include:  
 
Financial Performance (for six months ended 30 September 2019):  
 
o $11.0 million profit after income tax, up $1.0 million on HY19, largely due  
to movement in net change in fair value of investment properties over  
comparative periods of $1.8 million, partially offset by performance fees of  
$1 million incurred in the current period to the manager, Stride Investment  
Management Limited, as a result of shareholder returns of 53.6% over the two  
year performance period to 30 September 2019  
 
o $9.7 million distributable profit (note 1) after current income tax, down  
$1.1 million on HY19, largely as a result of performance fees incurred  
 
o Cash dividend guidance for FY20 of 7.60 cents per share. 1.90 cents per  
share cash dividend for quarter ended 30 September 2019, to be paid on 27  
November 2019  
 
Portfolio (as at 30 September 2019):  
 
o Property portfolio value (note 2) - $750.6 million, down $10.5 million from  
31 March 2019 due to divestment of Countdown Dunedin South ($19.0 million net  
sale price after disposal costs), partially offset by acquisition of  
Countdown New Brighton ($5.75 million acquisition price) and gross valuation  
gain of $2.3 million (or 0.3%)  
 
o 11.9 years weighted average lease term (WALT)  
 
o 99.7% occupancy  
 
o 40.6% loan to value ratio, down from 41.8% as at 31 March 2019  
 
o $1.70 net tangible assets per share, consistent with 31 March 2019  
 
o Sale of Countdown Dunedin South settled on 1 April 2019, at 5.6% premium to  
book value as at 31 March 2018  
 
o Countdown New Brighton, Christchurch, purchased for $5.75 million, at an  
initial yield of 7.2%  
 
o All major lease expiries for FY20 renewed  
 
Proactive Capital Management:  
 
o $35 million bank refinancing completed, extending tenor to 2021  
 
o No debt maturing until FY22  
 
o Share buyback programme concluded, at an average cost of $1.53 per share,  
compared to share price as at 30 September 2019 of $1.90 and net tangible  
assets per share as at 30 September 2019 of $1.70  
 
Investore's strategy continues to be to invest in quality, large format  
retail properties throughout New Zealand and actively manage shareholders'  
capital to maximise distributions and total returns over the medium to long  
term. Investore confirms that the focus for the 2020 financial year is  
firmly on targeting yield growth, executed in a disciplined manner, aimed at  
enhancing returns to shareholders.  
 
Notes:  
1. Distributable profit is a non-GAAP measure and consists of net  
profit/(loss) before income tax, adjusted for determined non-recurring and/or  
non-cash items (including non-recurring adjustments for incentives payable to  
anchor tenants for lease extensions) and current tax.  
2. Excludes land lease liability of $7.6 million.  
 
Ends  
 
Attachments provided to NZX:  
o Investore Property Limited - Interim Results Announcement 131119  
o Investore Property Limited - Interim Report HY20 131119  
o Investore Property Limited - Interim Update HY20 131119  
o Investore Property Limited - NZX Results Announcement HY20 131119  
o Investore Property Limited - NZX Distribution Notice FY20 Q2 131119  
 
For further information please contact:  
 
Mike Allen, Chairman, Investore Property Limited  
Mobile: 021 606 134 - Email: mike.allen@investoreproperty.co.nz  
 
Philip Littlewood, Chief Executive Officer, Stride Investment Management  
Limited as manager of Investore  
Mobile: 021 230 3026 - Email: philip.littlewood@strideproperty.co.nz  
 
Jennifer Whooley, Chief Financial Officer, Stride Investment Management  
Limited as manager of Investore  
Mobile: 021 536 406 - Email: jennifer.whooley@strideproperty.co.nz  
 
Louise Hill, General Manager Corporate Services, Stride Investment Management  
Limited as manager of Investore  
Mobile: 0275 580 033- Email: louise.hill@strideproperty.co.nz  
End CA:00344182 For:IPL Type:INTERIM Time:2019-11-13 08:31:16  

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