Real Estate Credit Investments (RECI) made a net profit of GBP0.5m in the quarter ended 31 December 2013, compared with GBP2.7m the previous quarter.
In the financial year to date the company has made a profit of GBP4.4m.
Between 30 September 2013 and 31 December 2013, RECI’s NAV decreased 2.6 per cent from GBP1.56 per share to GBP1.52 per share, following the capital raising in November.
Since year end NAV increased to GBP1.54 per share as at 31 January, while the board has declared a dividend of 2.3p per share in respect of RECI ordinary shares for the quarter ended 31 December 2013.
Since 30 September 2013 RECI has made GBP49.9m of new bond investments, limiting cash drag.
As at 31 January 2014 the bond portfolio’s market value was GBP94.9m and nominal value was GBP119.7m.
New loan commitments of GBP25.0m were made in the quarter ending 31 December 2013 and significant progress already made in investing the proceeds of the capital raise.
The loan portfolio has grown in absolute terms to a dirty fair value of GBP50.2m as at 31 January 2014 from GBP43.1m as at 30 September 2013. As at 31 December 2013, RECI’s loan portfolio accounted for 32.3 per cent of gross assets. As at 31 January 2014 RECI has undrawn loan commitments of GBP11.9m.