Landesc reports widening half-year losses

British shopping centre operator Landsec has reported losses of 835 million pounds for the first half of the year, compared to 147 million pounds last year, as the business grapples with the impact of Covid-19.

In the six months to 30 September, the company’s revenue profit fell 48.9 percent to 115 million pounds, while its like-for-like net rental income, excluding provisions for bad and doubtful debts, decreased 10.3 percent to 31 million pounds.

The company announced it would be selling off 4 billion pounds worth of assets - roughly a third of its portfolio - in the next four to five years and reinvesting it in other areas with more potential.

“While today’s results clearly show the impact of the pandemic on our business, Landsec remains in a fundamentally strong position,” chief executive Mark Allan said in a statement

“Together, the high quality of our portfolio and low leverage of our balance sheet provide a solid foundation for executing our growth strategy and creating value for all stakeholders. This strength also means we have been able to take a proactive and responsible approach to the challenges of Covid-19, supporting our communities and customers.

“As we begin to look beyond Covid-19, I am confident the business is well placed to capitalise on opportunities as they emerge. The investment market for high-quality London office assets, such as those owned by Landsec, has remained robust throughout the pandemic and there is little sign of that interest waning.”

Photo: Bluewater. Photo credit: Landsec