abrdn Property Income Trust Limited - Interim Results for the period ended 30 June 2025
LEI: 549300HHFBWZRKC7RW84
(“API” or the “Company”)
INTERIM RESULTS FOR THE PERIOD ENDED
Today the Board of
PERFORMANCE SUMMARY
6 months to 6 months to
Earnings, Dividends & Costs 30 June 30 June
2025 2024
IFRS (Loss)/gain per share (p) (0.4) (3.0)
Dividends paid per ordinary share (p) - 2.0
Dividend Cover (%) ** - 36.4
Dividend Cover excluding non-recurring items - 77.3
(%) **
Ongoing Charges **
As a % of average net assets including direct 3.5 2.3
property costs
As a % of average net assets excluding direct 3.4 1.2
property costs
30 June 31 December Change
Capital Values & Gearing
2025 2024 %
Net assets (£million) 28.7 30.4 (6.4)
Net asset value per share (p) 7.5 8.0 (6.4)
Ordinary Share Price (p) 5.4 6.9 (21.7)
(Discount)/Premium to NAV (%) (27.6) (13.8)
* Calculated as profit for the period before tax (excluding capital items & derivative movements) divided by weighted average number of shares in issue in the period.
** As defined and calculated under API’s Alternative Performance Measures (as detailed in the full Interim Accounts which can be found via the following link: https://www.abrdnpit.co.uk/en-gb/literature)
Sources: Aberdeen
CHAIR’S STATEMENT
Review of 2025
The main focus for the Board and investment Manager continues to be progressing a liquidation of the Company as swiftly as possible.
The two primary activities in this are the conclusion of matters relating to the disposal of the Company’s subsidiaries to
Following completion of the sale of abrdn
The loss per share of 0.4p for the period reflects, primarily, the valuation reduction on Far Ralia of 0.6p. Company operating costs for the period have been funded by interest from the money market investment and a gain arising from the various handover processes referred to above on disposal of aPH. This gain is explained in note 8 to the accounts.
Far Ralia
The tree planting programme and associated works have been completed at Far Ralia, with a scheduled “beating up” exercise undertaken in August where failed saplings were replaced. Despite unfavourable weather conditions during the year, the failure rate was below expectations and well within the Company’s capital expenditure forecasts. We also expect to receive the £1.65m grant funding from Scottish Forestry (see Note 9). It had been anticipated that this would have been received before now, but the process to transfer the funding contracts following the sale of aPH has been frustratingly slow.
In the meantime, the Company has continued to market its interest in the land at Far Ralia. Originally acquired as a natural capital investment to aid the Company in offsetting its own carbon emissions, a disposal hadn’t been anticipated at this point in the asset life cycle. Forestry or natural capital buyers tend to prefer to acquire assets where the trees are more established as the risk of failure is reduced.
Additionally, the increased cost of capital, driven by higher, longer-term risk-free rates, has resulted in some buyers, particularly institutional investors, postponing purchases or not bidding with as much conviction as they might have 2 or 3 years ago. This, in addition to the early-stage nature of the investment, has meant that interest from potential buyers has been limited. The fall in the value of Far Ralia reflects these factors as well as the reduction over the period in carbon pricing
The Investment Manager continues to monitor the marketing process and is preparing to implement a change in strategy to reinvigorate market interest.
The Board will endeavour to keep shareholders updated on progress with the sale. However, given the sensitivity and confidentiality that usually surrounds corporate property transactions, the Board may be restricted on what can be announced and when.
REIT Status
The Company exited the REIT regime on completion of the sale of aPH in
Board Composition
Following the resignation of three Directors on
Financial Resources
The transaction with GoldenTree included the transfer of the Group’s debt facility with RBSI and the Company no longer has access to revolving credit facilities (“RCF”) or other borrowings.
The Board invested the residual cash proceeds from the sale into a shorter-term money market fund, the abrdn
At the period end the Company held £19.3m in cash and had net current assets excluding Far Ralia of £1.6m. No provision has been made for future operating costs.
Final Distributions and Outlook
The current NAV is 7.5p, of which 2.1p relates to Far Ralia. The timing and value of its eventual sale will impact future distributions. As previously explained, the Investment Manager’s sole focus, together with the Board, is to maximise the return of capital to shareholders as expeditiously as possible.
Shareholders are reminded that as soon as liquidators are appointed the Company’s shares will cease trading on the
The Board are cognisant of ensuring that the final distribution is as close as possible to the previously anticipated 64p per share as communicated following the shareholder vote on implementing the Managed Wind-Down. To date, a total of 56p per share has been distributed to shareholders (through a combination of Income Distributions and the redemption of bonus shares). The Board believe that the current NAV of 7.5p is still reflective of the initial projections (which excluded future operating costs) except for the fall in valuation of Far Ralia over the first 6 months of 2025.
Description Distribution (p per share) Target Distribution 64.0 Third Quarter PID, paidNov 24 (1.0) Capital Distribution, paidDec 24 (52.0) Interim Balancing PID, paidJan 25 (3.0) Change in Far Ralia Valuation (0.5) Variance to Target (0.0) Residual NAV 7.5
At this stage, the Board anticipate making a further Capital Distribution alongside the final PID referenced above in early November. It is the Board’s intention to distribute not less than 3.85p per share with the Capital portion being administered via the issue of further Bonus Shares. Further details of the exact split between Capital and PID will be provided closer to the time.
Shareholders are reminded that the NAV of 7.5p excludes any provision for future costs associated with the running of the Company through to liquidation. To date, these have largely been covered by the interest generated from the money market investment. The anticipated distributions will reduce interest income, hence, if everything stays the same, the NAV will fall over time.
The Board will continue to update shareholders regarding the sale of Far Ralia when pertinent, and its likely impact on the ultimate distribution they will receive.
Potential Delisting
The Board continues to seek to minimise the operating costs of the Company and in this regard is considering whether it would be in the best interests of shareholders to delist the Company’s shares from the
PRINCIPAL RISKS AND UNCERTAINTIES
The Company’s sole remaining asset is its interest in the land at Far Ralia and excess cash, following the sale of its subsidiaries in
The Board has carried out an assessment of the risk profile of the Company which concluded that the risks as at
Having reviewed the principal risks, the Directors believe that the Company has adequate resources to continue in operational existence throughout the sale of Far Ralia and liquidation process following the planned distributions.
Given there is a clear indication to place the group into liquidation at a point in the future, the financial statements to
STATEMENT OF DIRECTOR’S RESPONSIBILITIES CONDENSED
The Directors are responsible for preparing the Interim Report in accordance with the applicable law and regulations. The Directors confirm that to the best of their knowledge:
▸ The Unaudited Condensed Consolidated Financial Statements have been prepared in accordance with IAS 34; and;
▸ The Interim Report includes a fair review of the information required by 4.2.7R and 4.2.8R of the Financial Conduct Authority’s Disclosure Guidance and Transparency Rules; and
▸ In accordance with 4.2.9R of the Financial Conduct Authority’s Disclosure Guidance and Transparency Rules, it is confirmed that this publication has not been audited or reviewed by the Company’s auditors.
The Interim Report, for the six months ended
▸
the Unaudited Condensed Consolidated Financial Statements are prepared in accordance with IFRSs as adopted by the
▸ the Interim Report includes a fair review of the development and performance of the business and the position of the Group, together with a description of the principal risks and uncertainties faced.
For and on behalf of the Directors of
Approved by the Board on
Chair
UNAUDITED CONDENSED CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME For the period ended30 June 2025
01 Jan 25 01 Jan 24 01 Jan 24
to 30 Jun 25 To 30 Jun 24 to 31 Dec 24
Notes £ £ £
Rental income - 13,518,687 24,070,912
Service charge income 3 - 2,867,089 4,899,881
Service charge expenditure 3 - (3,372,243) (5,937,817)
Net Rental Income - 13,013,533 23,032,976
Administrative and other expenses
Investment management fee 3 (100,000) (1,080,365) (1,399,114)
Other direct property operating 3 - (1,030,686) (2,447,020)
expenses
Net Impairment gain/(loss) on trade 3 - 88,255 (110,725)
receivables
Fees associated with strategic 3 - (2,764,182) (2,800,223)
review and aborted merger
Fees associated with managed 3 - (245,098) (399,197)
wind-down and portfolio disposal
Other administration expenses 3 (412,016) (709,857) (1,505,185)
Total administrative and other (512,016) (5,741,933) (8,661,464)
expenses
Operating profit before changes in (512,016) 7,271,600 14,371,512
fair value of investment properties
Valuation loss from investment - (8,292,948) -
properties
Valuation gain/(loss) from land 6 (2,183,886) 1,334,755 475,876
Estimated costs arising from future 15 33,000 (6,690,173) (165,000)
disposal
Gain/(loss) on disposal of 8 549,839 (48,152,578)
subsidiaries
Loss on disposal of investment 4 - (453,768) (2,063,652)
properties
Operating (loss)/profit (2,113,063) (6,830,534) (35,533,842)
Finance income 450,559 52,081 649,889
Finance costs - (4,548,455) (7,955,137)
(Loss)/gain for the period before (1,662,504) (11,326,908) (42,839,090)
taxation
Taxation
Tax charge - - (55,110)
(Loss)/gain for the period, net of (1,662,504) (11,326,908) (42,894,200)
tax
Other comprehensive income/(loss)
Movement in fair value on interest - 356,278 98,784
rate cap
Total other comprehensive income/ - 356,278 98,784
(loss)
Total comprehensive (loss)/gain for (1,662,504) (10,970,630) (42,795,416)
the period, net of tax
(Loss)/earnings per share
Basic and diluted (loss)/earnings 7 (0.4) (3.0) (11.25)
per share
All items in the above Consolidated Statement of Comprehensive Income derive from discontinuing operations.
The notes below are an integral part of these Consolidated Financial Statements.
UNAUDITED CONDENSED CONSOLIDATED STATEMENT OF FINANCIAL POSITION As at30 June 2024 30 Jun 25 30 Jun 24 31 Dec 24 Assets Notes £ £ £ Current assets Investment properties 4 - 342,733,133 - Investment properties held for 5 - 39,757,987 - sale Land 5,6 7,868,000 9,835,000 9,835,000 Trade and other receivables 9 2,616,459 15,572,608 2,171,092 Cash and cash equivalents 19,267,200 7,485,037 36,655,166 Interest rate cap - 1,350,870 - Total assets 29,751,659 416,734,635 48,661,258 Liabilities Current liabilities Trade and other payables 10 1,050,332 11,358,974 6,860,858 Dividends payable - - 11,436,569 Bank borrowings 14 - 123,410,970 - Obligation under finance leases - 2,481,258 - Total liabilities 1,050,332 137,251,202 18,297,427 Net assets 28,701,327 279,483,433 30,363,831 Equity Capital and reserves attributable to Company’s equity holders Share capital 11 228,383,857 228,383,857 228,383,857 Treasury share reserve 11 (18,400,876) (18,400,876) (18,400,876) Redeemable Bonus Share issue 11 (198,233,868) - (198,233,868) Retained Earnings - - - Capital reserves (50,623,304) (23,406,434) (49,022,257) Other distributable reserves 67,575,518 92,906,886 67,636,975 Total equity 28,701,327 279,483,433 30,363,831 2025 (p) 2024 (p) 2024 (p) NAV per share 7.53 73.3 7.96
UNAUDITED CONDENSED CONSOLIDATED STATEMENT OF CHANGES IN EQUITY
For the period ended 30 June 205
Share Treasury Redeemable Retained Capital Other Total
Notes Capital £ Shares £ Bonus Shares Earnings £ Reserves £ Distributable Equity £
£ Reserves £
Opening
balance 1 228,383,857 (18,400,876) (198,233,868) - (49,022,257) 67,636,975 30,363,831
January 2025
Loss for the - - - (1,662,504) - - (1,662,504)
period
Other
comprehensive - - - - - - -
income
Total
comprehensive - - - (1,662,504) - - (1,662,504)
loss for the
period
Valuation
loss from 6 - - - 2,183,886 (2,183,886) - -
land
Estimated
costs arising 15 - - - (33,000) 33,000 - -
from future
disposal
Gain on
disposal of 8 - - - (549,839) 549,839 - -
subsidiaries
Transfer from
Other - - - 61,457 - (61,457) -
distributable
reserves
Balance at 30 228,383,857 (18,400,876) (198,233,868) - (50,623,304) 67,575,518 28,701,327
June 2025
Opening balance 1 228,383,857 (18,400,876) - - (9,660,578) 97,756,040 298,078,443 January 2024 Loss for the - - - (11,326,908) - - (11,326,908) period Other comprehensive - - - - 356,278 - 356,278 income Total comprehensive - - - (11,326,908) 356,278 - (10,970,630) loss for the period Dividends 12 - - - (7,624,380) - - (7,624,380) paid Valuation loss from - - - 8,292,948 (8,292,948) - - investment properties Valuation gain from 6 - - - (1,334,755) 1,334,755 - - land Estimated costs arising 15 - - - 6,690,173 (6,690,173) - - from future disposal Loss on disposal of 4 - - - 453,768 (453,768) - - investment properties Transfer from Other - - - 4,849,154 - (4,849,154) - distributable reserves Balance at 30 228,383,857 (18,400,876) - - (23,406,434) 92,906,886 279,483,433 June 2024
Opening balance 1 228,383,857 (18,400,876) - - (9,660,578) 97,756,040 298,078,443 January 2024 Loss for the - - - (42,894,200) - - (42,894,200) year Other comprehensive - - - - 98,784 - 98,784 gain Total comprehensive - - - (42,894,200) 98,784 - (42,795,416) loss for the year Redeemable - - (198.233.868) - - - (198,233,868) Bonus Shares Dividends 12 - - - (15,248,759) - - (15,248,759) paid Dividends 12 - - - (11,436,569) - - (11,436,569) payable Valuation gain from 6 - - - (475,876) 475,876 - - land Reclassified from Other - - - 30,119,065 - (30,119,065) - distributable reserves Transfer from Other - - - (10,279,891) 10,279,891 - - distributable reserves Loss on disposal of 8 - - - 48,152,578 (48,152,578) - - subsidiaries Loss on disposal of 4 - - - 2,063,652 (2,063,652) - - investment properties Balance at 31 228,383,857 (18,400,876) (198,233,868) - (49,022,257) 67,636,975 30,363,831 December 2024
UNAUDITED CONDENSED CONSOLIDATED STATEMENT OF CASH FLOW For the period ended30 June 2025 01 Jan 25 01 Jan 24 01 Jan 24 to 30 Jun 25 to 30 Jun 24 to 31 Dec 24 Cash flows from operating Notes £ £ £ activities Loss for the year before taxation (1,662,504) (11,326,908) (42,839,090) Movement in lease incentives - (53,108) 96,128 Movement in trade and other (445,367) 353,512 3,055,794 receivables Movement in trade and other (17,247,095) (3,249,221) (2,023,484) payables Finance costs - 4,548,455 7,955,137 Finance income (450,559) (52,081) (649.889) Valuation loss from investment 4 - 8,292,948 - properties Valuation (gain)/loss from land 6 2,183,886 (1,334,755) (475,876) Estimated costs arising from 15 (33,000) 6,690,173 165,000 future disposal Loss on disposal of subsidiaries 8 (549,839) 48,152,578 Loss on disposal of investment 4 - 453,768 2,063,652 properties Net cash (outflow)/inflow from (18,204,478) 4,322,783 15,499,950 operating activities Cash flows from investing activities Finance income 450,559 52,081 649,889 Additions to land 6 (183,886) (415,245) (1,274,124) Capital expenditure on investment 4 - (2,369,803) - properties Net proceeds from disposal of 4 - 29,146,232 42,986,348 investment properties Net proceeds from disposal of 8 549,839 - 234,298,743 subsidiaries Net cash inflow from investing 816,512 26,413,265 276,660,856 activities Cash flows from financing activities Bonus share distribution in period 11 - - (198,233,868) Borrowing on RCF 14 - 10,300,000 13,300,000 Repayment of RCF 14 - (28,274,379) (41,874,379) Interest paid on bank borrowing - (4,816,402) (9,755,493) Receipts on Interest rate Cap - 544,080 1,123,358 Finance lease interest - (33,768) (33,768) Dividends payable to the Company’s 12 - - (11,436,569) shareholders Dividends paid to the Company’s 12 - (7,624,380) (15,248,759) shareholders Net cash outflow from financing - (29,904,849) (262,159,478) activities Net (decrease)/increase in cash (17,387,966) 831,199 30,001,328 and cash equivalents Cash and cash equivalents at 36,655,166 6,653,838 6,653,838 beginning of period Cash and cash equivalents at end 19,267,200 7,485,037 36,655,166 of period
Notes TO the consolidated financial statements
1. Accounting policies
Basis of preparation
The Unaudited Consolidated Financial Statements have been prepared in accordance with International Financial Reporting Standard (“IFRS”) IAS 34 ‘Interim Financial Reporting’ and, except as described below, the accounting policies set out in the statutory accounts of the Group for the year ended
Assessment of Going Concern
Following completion of the sale of its wholly owned subsidiaries to
As a result of adopting a basis other than that of going concern, the Board has deemed it appropriate to reduce the fair value of the land by the expected costs of disposal. No other costs of operation or liquidation have been recognised other than those committed or incurred at the balance sheet date.
Adjustments to going concern basis of accounting
In addition to assessing the Company’s significant accounting judgements, estimates and assumptions, the Board has also considered the following areas where it might be appropriate to apply adjustments to the ‘normal’ IFRS basis:
1) Measurement of Assets
It is appropriate to consider the need to write down assets to their net realisable value. Land and Financial Instruments are stated at fair value, while other assets including trade receivables are recognised at their recoverable amount already. The Board has assessed the basis for and measurement of Land and have decided to reduce fair value by the estimated cost of disposal. Further details can be found in note 15.
2) Liabilities
The Board recognise that it would be appropriate to accrue costs associated with potentially onerous contracts by applying guidance in IAS 37 ‘Provisions, Contingent Liabilities and Contingent Assets’. However, at the date of approval of the financial statement, no such contracts exist, and accordingly no provisions have been made.
3) Presentation and disclosure
The Board has assessed the classification of assets and liabilities between current and non-current. Assets that met the criteria to be classified as held for sale at
After careful consideration, the Board believes that it would not be meaningful to present the results of discontinued operations as a separate financial statement line item of income or loss (in accordance with IFRS 5) because this would not result in meaningful information in a situation where all of an entity’s operations will be discontinued.
Finally, the Board has assessed whether adoption of a basis other than going concern would have any material impact on comparatives and have concluded this not to be relevant as both the financial statements as at
2. Related Party Disclosure
Parties are considered to be related if one party has the ability to control the other party or exercise significant influence over the other party in making financial or operational decisions.
Directors’ remuneration
The Directors of the Company are deemed as key management personnel and received fees for their services. Total fees for the period ended
Investment manager
abrdn
3. Administrative and Other Expenses
6 months to 6 months to Year to
30 Jun 25 30 Jun 24 31 Dec 24
Notes £ £ £
Investment management fees 3a 100,000 1,080,365 1,399,114
Other direct property expenses
Vacant Costs (excluding void service - 449,622 1,263,429
charge)
Repairs and maintenance - 164,039 341,480
Letting fees - 211,037 377,364
Other costs - 205,988 464,747
Total Other direct property expenses - 1,030,686 2,447,020
Net Impairment gain on trade receivables - (88,255) 110,725
*
Fees associated with strategic review 3b - 2,764,182 2,800,223
and aborted merger*
Fees associated with managed wind down 3b - 245,098 399,197
and disposal*
Other administration expenses
Directors’ fees and subsistence 2 59,795 256,081 389,757
Valuer’s fees 6,000 35,248 57,835
Auditor’s fees 62,390 76,450 167,125
Marketing 42,000 76,425 118,425
Other administration costs 241,831 265,653 772,043
Total Other administration expenses 412,016 709,857 1,505,185
Total Administrative and other expenses 512,016 5,741,933 8,661,464
* In the prior period, fees associated with the managed wind down and disposal (£245,098) were included as part of the total amount discussed under the strategic review and aborted merger. These have now been separated for clarity.
6 months to 6 months to Year to
30 Jun 25 30 Jun 24 31 Dec 24
£ £ £
Total service charge billed to tenants - 2,714,494 4,244,088
Service charge due from tenants - 152,595 655,793
Service charge income - 2,867,089 4,899,881
Total service charge expenditure incurred - 2,867,089 4,899,881
Service charge incurred in respect of void - 505,154 1,037,936
units
Service charge expenditure - 3,372,243 5,937,817
3a. Investment management fees
From
As detailed further in Note 16, the Investment Manager receives an ‘Incentive Fee’ based on the cumulative Gross Disposal Proceeds relative to valuation of the portfolio as at
In addition, the Company paid the Investment Manager a sum of £35,000 excluding VAT (2024: £98,688 excluding VAT) to participate in the Managers marketing programme.
3b. Fees associated with strategic review and aborted merger
As described previously, the Board undertook a strategic review during the second half of 2023 after concerns over the Company’s size, liquidity, persistent discount to NAV and dividend cover. The outcome of this review, following interest from other listed REITs, was that the Board recommended to shareholders that they vote in favour of a proposed merger with Custodian REIT. The costs associated with the initial Rule 2.7 announcement (including advisor, due diligence and valuation fees) were £2,041,248. Since the end of 2023, further fees and costs of £3,199,420 were recognised in 2024 of which £399,197 relates to the Managed Wind-Down and portfolio disposal. These fees exclude transaction costs which are explained in note 15.
4. Investment Properties
The valuations were historically performed by
Valuation gains and losses from investment properties are recognised in the Consolidated Statement of Comprehensive Income for the period and are attributable to changes in unrealised gains or losses relating to investment properties held at the end of the reporting period.
In the condensed unaudited cash flow statement, loss from disposal of investment properties arises as follows:
30 Jun 25 30 Jun 24 31 Dec 24
£ £ £
Opening market value of disposals - 29,600,000 45,050,000
Loss on disposal - (453,768) (2,063,652)
Net proceeds from disposal of investment - 29,146,232 42,986,348
properties
Valuation Methodology
The fair value of completed investment properties were historically determined using the income capitalisation method and were all categorised as Level 3.
The income capitalisation method is based on capitalising the net income stream at an appropriate yield. In establishing the net income stream the valuers reflected the current rent (the gross rent) payable to lease expiry, at which point the valuer assumed that each unit would be re-let at their opinion of ERV. The valuers made allowances for voids where appropriate, as well as deducting non recoverable costs where applicable. The appropriate yield was selected on the basis of the location of the building, its quality, tenant credit quality and lease terms amongst other factors.
Descriptions and definitions
The tables below include the following descriptions and definitions relating to valuation techniques and key observable inputs made in determining the fair values.
Estimated rental value (ERV)
The rent at which space could be let in the market conditions prevailing at the date of valuation.
Equivalent yield
The equivalent yield is defined as the internal rate of return of the cash flow from the property, assuming a rise or fall to ERV at the next review or lease termination, but with no further rental change.
Initial yield
Initial yield is the annualised rents of a property expressed as a percentage of the property value.
Reversionary yield
Reversionary yield is the anticipated yield to which the initial yield will rise (or fall) once the rent reaches the ERV.
The table below shows the ERV per annum, area per square foot, average ERV per square foot, initial yield and reversionary yield as at the Balance Sheet date.
30 Jun 25 30 Jun 24 31 Dec 24
ERV p.a. £nil £32,550,144 £nil
Area sq.ft. - 3,341,499 -
Average ERV per sq.ft. £nil £9.74 £nil
Initial yield N/A 6.0% N/A
Reversionary yield N/A 7.5% N/A
The table below presents the sensitivity of the valuation to changes in the most significant assumptions underlying the valuation of completed investment property.
30 Jun 25 30 Jun 24 31 Dec 24
£ £ £
Increase in equivalent yield of 50 bps - (26,544,103) -
Decrease in rental rates of 5% (ERV) - (14,521,858) -
Below is a list of how the interrelationships in the sensitivity analysis above can be explained.
In both cases outlined in the sensitivity table the estimated Fair Value would increase (decrease) if:
-- The ERV is higher (lower)
-- Void periods were shorter (longer)
-- The occupancy rate was higher (lower)
-- Rent free periods were shorter (longer)
-- The capitalisation rates were lower (higher)
5. Assets Held for Sale
Following the sale of the subsidiaries on the
6. Land
6 months 6 months Year
to 30 Jun 25 to 30 Jun 24 to 31 Dec 24
£ £ £
Cost
Balance at the beginning of the year 10,869,679 9,595,555 9,595,555
Additions 183,886 1,053,052 2,300,154
Government Grant Income receivable - (637,807) (1,026,030)
Balance at the end of the year 11,053,565 10,010,800 10,869,679
Changes in fair value
Balance at the beginning of the year (869,679) (1,345,555) (1,345,555)
Valuation gain/(loss) from land (2,183,886) 1,334,755 475,876
Balance at the end of the year (3,053,565) (10,800) (869,679)
Land Impairment for projected sales costs (132,000) (165,000) (165,000)
(see note 13)
Carrying amount as at 31 December 7,868,000 9,835,000 9,835,000
Valuation methodology
The Land is held at fair value and is categorised as Level 3. The Group appoints suitable valuers (such appointment is reviewed on a periodic basis) to undertake a valuation of the land on a quarterly basis. The valuation is undertaken in accordance with the current RICS guidelines by
Additions represent costs associated with the reforestation and peatland restoration at Far Ralia.
Grants are receivable from the
As noted in more detail in note 1, the current condensed unaudited Interim Report & Accounts are not prepared on a going concern basis with the carrying value reduced by estimated costs of disposal of £132,000 has been recognised to write down the Land to its projected net realisable value. Further details are provided in note 15.
7. Earnings per share
Basic earnings per share amounts are calculated by dividing profit for the year net of tax attributable to ordinary equity holders by the weighted average number of ordinary shares outstanding during the year. As there are no dilutive instruments outstanding, basic and diluted earnings per share are identical.
The earnings per share for the year is set out in the table below.
Earnings for the period to
6 months to 6 months to Year to
30 Jun 25 30 Jun 24 31 Dec 24
£ £
Loss for the year net of tax (1,662,504) (11,326,908) (42,839,200)
Weighted average number of ordinary shares 381,218,977 381,218,977 381,218,977
outstanding during the year
Loss per ordinary share (pence) (0.4) (3.0) (11.25)
Profit for the year excluding capital (61,457) 2,775,226 7,011,154
items (£)
8. Investments in Limited Partnership and Subsidiaries
The Company historically owned 100 per cent of the issued ordinary share capital of abrdn
•
abrdn
•
abrdn (APIT) Limited Partnership, a property investment limited partnership established in
•
abrdn APIT (
•
abrdn (APIT Nominee) Limited, a company with limited liability incorporated and domiciled in
On
6 months to 30 Jun 6 months to 30 Jun 25 Year to 31 Dec 24
25
£ £ £
Disposal of abrdn
Property Holdings (4,814) - 234,298,743
Limited
Less: transaction
costs associated - - (5,237,261)
with the sale
Net Proceeds (4,814) - 229,061,482
Net Assets of
disposal Group at - - 276,614,616
date of sale (post
review)
Derecognition of Far
Ralia (transferred - - (10,000,000)
to Company)
Derecognition of
Accrued Grant Income - - (1,646,507)
for Far Ralia
Net settlement of
Service Charge post (10,803)
completion
Trade and Other
Receivables (543,850) - (505,296)
transferred to
Company
Adjusted Net Assets (554,653) - 264,462,813
of disposal Group
(Gain)/Loss on
Disposal of (549,839) - 35,401,331
Subsidiaries
Reclassification of
unrealised losses in - - 12,751,247
Investment Portfolio
to Realised Losses
Realised (Gain)/Loss
on Disposal of (549,839) - 48,152,578
Subsidiaries
The adjustment to the disposal price of abrdn
After a protracted negotiation period with the appointed agents, an agreement has been reached on the net settlement of service charges (£10,803 due to the Company).
In addition to the net settlement noted above, there has been a further £543,850 of trade and other receivables transferred to the Company following the sale, made up of:
-- £271,428 - Representing the return of forward funding on service
charges.
-- £228,715 - Following the period post completion, the appointed agents
for GoldenTree have received a further £228,715 from tenants relating to
the Company’s period of ownership. Under the terms of the sale, these
funds are due to the Company.
-- £43,707 - Net return of historic arrears (not included in the £228,715
transfer above) of £54,770, less an adjustment of £11,063 relating to
insurance credits.
9. Trade and other receivables
30 Jun 25 30 Jun 24 31 Dec 24
£ £ £
Trade receivables 363,405 3,066,105 189,460
Less: provision for impairment of trade (134,691) (491,188) (189,460)
receivables
Trade receivables (net) 228,714 2,574,917 -
Rental deposits held on behalf of tenants - 1,202,344 -
Lease incentives - 8,929,966 -
Accrued grant income (see Note 6) 1,646,507 1,258,284 1,646,507
Prepaid Expenditure 16,281 44,969 19,289
Net service charge settlement following disposal 10,803 - -
Forward funding 271,428 - -
Other receivables 442,726 1,562,128 505,296
Total trade and other receivables 2,616,459 15,572,608 2,171,092
The estimated fair values of receivables are the discounted amount of the estimated future cash flows expected to be received and approximate their carrying amounts. Amounts are considered impaired when it becomes unlikely that the full value of a receivable will be recovered.
Following final negotiations as part of the disposal of abrdn
Other receivables as of
10. Trade and other payables
30 Jun 25 30 Jun 24 31 Dec 24
£ £ £
Trade and other payables - 474,309 516,907
Accruals 1,050,332 2,453,096 6,343,951
VAT payable - 1,401,601 -
Deferred rental income - 5,827,624 -
Rental deposits due to tenants - 1,202,344 -
Total trade and other payables 1,050,332 11,358,974 6,860,858
11. Share capital
Under the Company’s Articles of Incorporation, the Company may issue an unlimited number of ordinary shares of
Allotted, called up and fully paid: 30 Jun 25 31 Dec 24 30 Jun 24
£ £
Opening balance 228,383,857 228,383,857 228,383,857
Shares issued - - -
Closing balance 228,383,857 228,383,857 228,383857
Redeemable Bonus Shares
Following the disposal of the Group's subsidiaries on
Allotted, called up and fully paid: 30 Jun 25 31 Dec 24 30 Jun 24
£ £
Opening balance 198,233,868 - -
Shares redeemed during the year - 198,233,868 -
Closing balance 198,233,868 198,233,868 -
Treasury Shares
30 Jun 25 31 Dec 24 30 Jun 24
£ £ £
Opening balance 18,400,876 18,400,876 18,400,876
Bought back during the year - - -
Closing balance 18,400,876 18,400,876 18,400,876
The number of shares in issue on 30 Jun 2025 and 2024 are as follows
30 Jun 25 31 Dec 24 30 Jun 24
Number of shares Number of shares Number of shares
Opening balance 381,218,977 381,218,977 381,218,977
Issue of Redeemable Bonus - 381,218,977 -
Share
Redemption / cancellation of - (381,218,977) -
Redeemable Bonus Shares
Closing balance 381,218,977 381,218,977 381,218,977
12. Dividends and Property Income Distributions Gross of Income Tax
PID Non-PID Total PID Non-PID
Dividends 12 months to Dec 24
pence pence Pence £ £
Quarter to 31 December of 0.3980 0.6020 1.0000 1,517,252 2,294,938
prior year (paid in February)
Quarter to 31 March (paid in 1.0000 - 1.0000 3,812,190 -
May)
Total dividends paid 1.3980 0.6020 2.0000 5,329,442 2,294,938
Quarter to 30 June (paid in 0.4500 0.5500 1.0000 1,715,485 2,096,705
August)
Quarter to 30 September (paid 0.3000 0.7000 1.0000 1,143,657 2,668,533
in November)
Total dividends paid 2.1480 1.8520 4.0000 8,188,584 7,060,176
Quarter to 31 December of
current year (paid after year 3.0000 - 3.0000 11,436,569 -
end)
Prior period dividends (per (0.3980) (0.6020) (1.0000) (1,517,252) (2,294,938)
above)
Total dividends paid 4.7500 1.2500 6.0000 18,107,901 4,765,238
13. Financial Instruments
Fair Values
Set out below is a comparison by class of the carrying amounts and fair value of the Group’s financial instruments that are carried in the financial statements at amortised cost.
Carrying amount Fair Value
30 Jun 25 31 Dec 24 30 Jun 25 31 Dec 24
Financial Assets £ £ £ £
Cash and cash equivalents 19,267,200 36,655,166 19,267,200 36,655,166
Trade and other receivables 2,616,459 2,171,092 2,616,459 2,171,092
Financial liabilities
Trade and other payables 1,050,332 18,297,427 1,050,332 18,297,427
The fair value of the financial assets and liabilities are included at an estimate of the price that would be received to sell a financial asset or paid to transfer a financial liability in an orderly transaction between market participants at the measurement date. The following methods and assumptions were used to estimate the fair value:
• Cash and cash equivalents, trade and other receivables and trade and other payables are the same as fair value due to the short-term maturities of these instruments. Trade and other receivables/payables are measured in reference to contractual amounts due to/from the Group. These contractual amounts are directly observable.
The table below shows an analysis of the fair values of financial assets and liabilities recognised in the Balance Sheet by the level of the fair value hierarchy:
Level 1 – Quoted (unadjusted) market prices in active markets for identical assets or liabilities.
Level 2 – Valuation techniques for which the lowest level input that is significant to the fair value measurement is directly or indirectly observable.
Level 3 – Valuation techniques for which the lowest level input that is significant to the fair value measurement is unobservable.
Year ended 30 June 2025 Level 1 Level 2 Level 3 Total fair value
Financial assets
Trade and other receivables - 2,616,459 - 2,616,459
Cash and cash equivalents 19,267,200 - - 19,267,200
19,267,200 2,616,459 - 21,601,427
Financial liabilities
Trade and other payables - 1,050,332 - 1,050,332
- 1,050,332 - 1,050,332
Year ended 31 December 2024 Level 1 Level 2 Level 3 Total fair value
Financial assets
Trade and other receivables - 2,171,092 - 2,171,092
Cash and cash equivalents 36,655,166 - - 36,655,166
36,655,166 2,171,092 - 38,826,258
Financial liabilities
Trade and other payables - 18,297,427 - 18,297,427
- 18,297,427 - 18,297,427
14. Bank borrowings
30 Jun 25 30 Jun 24 31 Dec 24
£ £ £
Loan facility (including Rolling Credit - 165,000,000 -
Facility)
Drawn down outstanding balance - 123,900,000 -
The Groups £165m debt facility with
30 Jun 25 30 Jun 24 31 Dec 24
£ £ £
Opening carrying value of expired facility - 141,251,910 141,251,910
as at 1 January
Borrowings drawn down - 10,300,000 13,300,000
Repayments - (28,274,379) (41,874,379)
Elimination on sale - - (113,300,000)
Elimination of residual unamortised - - 377,952
arrangement costs on sale
Amortisation of arrangement costs - 133,439 244,517
Closing carrying value - 123,410,970 -
15. Non-Going Concern adjustment for estimated costs of disposal of property portfolio
As explained in note 1 the Group’s financial statements are no longer prepared on a going concern basis. The Board have assessed the consequences of this and the decision made in
30 June 25 31 Dec 24
£ £
Fair Value of Land 8,000,000 10,000,000
Assumed average sales costs of 1.25% (100,000) (125,000)
abrdn disposal fee (32,000) (40,000)
Estimated disposal costs (132,000) (165,000)
Carrying Value 7,868,000 9,835,000
The assumed rate of 1.25% in the table above represents the best estimate of a reasonable average for the sales costs across the portfolio – taking into consideration that such costs could vary between asset to asset depending on level of complexity. The abrdn disposal fee has been calculated in accordance with the terms of the revised IMA as explained in note 3a.
16. Commitments and Contingent Liabilities
The Company had no contracted capital commitments as at
As discussed in note 3a, following the Shareholder vote to place the Group into a Managed Wind-Down, a new agreement with the Investment Manager was signed effective
Following the sale of the Group’s subsidiaries on 29th November, the cumulative Gross Disposal Proceeds (which excludes Far Ralia) was £364,775,000. Hence, if Far Ralia is sold prior to
Threshold Valuation
£ £
Cumulative Gross Disposal Proceeds (to date) 364,775,000 364,775,000
Theoretical Gross Disposal Proceeds of Far Ralia 1,876,000 8,000,000
Theoretical Gross Disposal Proceeds of May 2024 366,651,000 372,775,000
Portfolio
Incentive Fee Incentive Fee
£ £
Sold after 28 November 2025 (0.00%) - -
Sold prior to 28 November 2025 (0.05%) 183,326 186,388
As detailed further in note 3a, the Investment Manager receives a Disposal fee of 0.4% of the Gross Disposal Price.
The Incentive Fee has not been accrued in the results as at
17. Reconciliation to Unaudited Published NAV
30 Jun 25 31 Dec 24
Number of ordinary shares at the reporting date 381,218,977 381,218,977
30 Jun 25 31 Dec 24
£ £
Total equity 28,701,327 30,363,831
NAV per share (p) 7.53 7.96*
Published NAV per share (p) 7.45 7.96*
* Previously published rounded to 8.0p per share.
The variance between the unaudited published NAV and Interim Accounts of 0.08p per share represents the recognition of the anticipated final Service Charge settlement (see Note 8, £10,803 and £271,428) following final negotiations as part of the disposal of abrdn
18. Events after the balance sheet date
There are no events after the reporting date which have an impact on the Company, and which are required to be disclosed.
Please note that past performance is not necessarily a guide to the future and that the value of investments and the income from them may fall as well as rise. Investors may not get back the amount they originally invested.
The information contained within this announcement is deemed by the Company to constitute inside information as stipulated under the Market Abuse Regulations (EU) No. 596/2014.
Upon the publication of this announcement via
All enquiries to:
The Company Secretary
Trafalgar Court
Les Banques
GY1 3QL
Tel: 01481 745001
Fax: 01481 745051
Tel: 07801039463 or jason.baggaley@aberdeenplc.com
Tel: 07703695490 or mark.blyth@aberdeenplc.com
Tel: 01313729392 or craig.gregor@aberdeenplc.com
