Target Healthcare REIT PLC (THRL)

[idpickering]

Net Asset Value, Corporate Update & Dividend.

https://www.investegate.co.uk/target-h- ... 00046567O/

Ian (No holding).

[idpickering]

Notice of Half Year Results.

Target Healthcare (LSE: THRL), the UK listed specialist investor in modern, purpose-built care homes, will announce its half year results for the six months ended 31 December 2022 on Monday 27 March 2023.

A live webcast for investors and analysts will be held at 9.00 a.m. on the day of the results. For more details, please get in touch with FTI Consulting at targethealthcare@fticonsulting.com .

https://www.investegate.co.uk/target-h- ... 00069324T/

Ian (No holding).

[idpickering]

HALF-YEAR RESULTS FOR THE SIX MONTHS ENDED 31 DECEMBER 2022

Earnings growth and portfolio valuation supported by above carrying value property disposal post period end; with a rebasing of dividend to reflect the interest rate environment



Target Healthcare REIT plc (the "Company" or the "Group"), the UK listed specialist investor in modern, purpose-built care homes, is pleased to announce its results for the six months ended 31 December 2022.



Portfolio performance supported by inflation-linked rental uplifts

· Portfolio market value decreased by 4.8% to £867.7 million (June 2022: £911.6 million), primarily driven by a like-for-like portfolio valuation movement of -5.5% and net acquisitions of 0.7%. The like-for-like valuation movement consists of a decrease of 7.3%, reflecting the outward shift in yields, offset by a 1.8% increase from inflation-linked rental uplifts

· Contractual rent increased by 2.9% to £57.1 million (June 2022: £55.5 million), including like‑for-like rental growth of 1.8%

· Diversified tenant base, with 33 tenants across 100 properties (June 2022: 34 tenants and 101 properties)

· Underlying trading performance at the homes recovering towards pre-pandemic levels. Most recent resident occupancy and rent covers for the mature homes in the portfolio were 84% and 1.5 times, respectively

· Post period end £22 million disposal of four assets for above carrying value and June 2022 valuation, representing a full exit from Northern Ireland



Sustainable returns generated through portfolio management and inflation-linked characteristics of leases

· EPRA NTA per share decreased by 8.3% to 103.0 pence (June 2022: 112.3 pence)

· NAV total return(1) of -5.4% (2021: 3.4%)

· Portfolio total return on standing assets of -2.2% (2021: 4.8%)

· Rent collection of 96%

· Full recovery of rent outstanding from one tenant, of which £1.1 million had been provided for at 30 June 2022

· 99% of leases benefit from upwards only inflation-linked rent reviews; 1% fixed uplifts

· Weighted average unexpired lease term of 26.8 years (June 2022: 27.2 years)

· Weighted average cost of drawn debt at 3.8% (June 2022: 3.3%), with average term to maturity of 6.7 years (June 2022: 6.9 years) and interest rate hedged on 96% of drawn debt until expiry

· Net LTV increased to 25.1% (June 2022: 22.0%)



Rebasing of target dividend to sustainable level reflecting higher interest rate environment

· Dividend per share in respect of the period maintained at 3.38 pence (2021: 3.38 pence)

· Annual dividend target rebased to 5.60 pence per share, commencing with the third interim dividend payable in May 2023, providing a sustainable dividend level which will be fully covered by earnings whilst allowing for annual growth. This represents a reduction of 17%

· Adjusted EPRA Earnings per share(2) of 3.01 pence (2021: 2.36 pence)

· EPRA Earnings per share(2) of 3.89 pence (2021: 3.08 pence)

· Adjusted EPRA Cost Ratio of 18.7% (2021: 27.7%); EPRA Cost Ratio of 15.7% (2021: 23.3%)

https://www.investegate.co.uk/target-h- ... 00042294U/

I very nearly bought into this outfit recently. On reading the above I'm glad I didn't. The 17% reduction in the dividend is a huge red flag to me.

Ian.

[idpickering]

Disposal of four care homes in Northern Ireland

Target Healthcare (LSE: THRL) announces that it completed the disposal of four care homes in Northern Ireland on 24 March 2023. This disposal forms part of the Group's wider asset management activity and represents around 2.5% of the Group's overall portfolio value. The disposal price is supportive of the Group's valuations, being ahead of carrying value at both 30 June 2022 (the Group's last financial year-end) and 31 December 2022, and results in an annualised IRR in excess of 10% over the period of ownership.

Whilst these properties were originally acquired as long-term investments, the Group continually monitors the performance of its assets at an individual property level, updating its strategy as circumstances develop.

Scott Steven, Head of Asset Management at Target Fund Managers, commented:

"These care homes have been a successful investment for the Group, delivering strong returns. The disposal is part of our commitment to pro-actively manage the portfolio and provide an attractive and sustainable level of income, together with the potential for growth, from a diversified portfolio of modern, purpose built care homes."

https://www.investegate.co.uk/target-h- ... 00042295U/

Ian.

[idpickering]

Net Asset Value, update on corporate activity and dividend declaration

https://www.investegate.co.uk/announcement/7509655

Ian.

[idpickering]

Net Asset Value, Corporate Update & Dividend.

Target Healthcare (LSE: THRL), the UK listed specialist investor in modern, purpose-built care homes, announces its unaudited quarterly Net Asset Value ('NAV') as at 30 June 2023, together with an update on corporate activity, and declares its fourth interim dividend for the year ended 30 June 2023.

Corporate activity highlights

Strong portfolio performance; stable NTA and earnings, fully covered dividend; conservative LTV and fully hedged interest costs:

· EPRA Net Tangible Assets ('NTA') per share increased to 104.5 pence (31 March 2023: 103.4 pence), reflecting a like-for-like valuation uplift driven by inflation-linked rent reviews

· Portfolio EPRA "topped-up" net initial yield of 6.22% (31 March 2023: 6.21%)

· Adjusted EPRA EPS for the quarter of 1.5 pence per share, fully covering the dividend to be paid in respect of the quarter of 1.4 pence per share

· NAV total return of 2.4% for the quarter (based on EPRA NTA and including payment of dividend)

· Net Loan to Value of 24.7% (31 March 2023: 23.8%)

· Weighted average debt term of 6.2 years (31 March 2023: 6.5 years) with the earliest maturity being November 2025. Interest costs hedged on 100% of drawn debt to the relevant facility maturity date

· Total capital available of £43 million, net of the Group's commitments on five development assets, following the completion of a further development site acquisition subsequent to quarter-end, as detailed below.

And later;

Announcement of fourth interim dividend

The Company today declares its fourth interim dividend for the year ended 30 June 2023, in respect of the period from 1 April 2023 to 30 June 2023, of 1.40 pence per share as detailed in the schedule below:

Interim Property Income Distribution (PID): 1.19 pence per share

Interim ordinary dividend: 0.21 pence per share

Ex-Dividend Date:

10 August 2023

Record Date:

11 August 2023

Payment Date:

25 August 2023

https://www.investegate.co.uk/announcem ... d-/7669945

Ian (No holding, although I've been tempted to buy to be honest).

[idpickering]

Edison issues update on Target Healthcare REIT.

Target Healthcare REIT's Q423 shows a second consecutive quarter of NAV growth, as property yields stabilise and indexed rent uplifts drive valuation growth. Rental growth and near-full rent collection are supporting earnings and delivering full dividend cover. Audited full year results will be published in early October.

The current, rebased annualised rate of quarterly DPS through H223 (5.6p), fully covered on a run-rate basis, reflects an attractive prospective yield of 7.7% and is a base from which to grow. We forecast 3.6% growth in FY24. Meanwhile, the discount to end-FY23 NAV is c 30%.

https://www.investegate.co.uk/announcem ... it/7690547

Click here to view the full report.

https://www.investegate.co.uk/announcem ... it/7690547

Ian (No holding).

[idpickering]

ANNUAL RESULTS FOR THE YEAR ENDED 30 JUNE 2023.

Target Healthcare REIT plc (the "Company" or the "Group"), the listed specialist investor in modern, purpose-built UK care homes, is pleased to announce its annual results for the year ended 30 June 2023.

Continued earnings growth; EPRA NTA and valuation growth in the second half of the financial year; clear path for sustainable dividend

· NAV total return(1) of -1.2% (2022: 8.1%), with valuation uplifts of 1.5% in the second half of the financial year predominantly reflecting inflation-linked leases.

· EPRA NTA per share decreased 6.9% to 104.5 pence (2022: 112.3 pence)

· Group specific adjusted EPRA earnings per share increased 18.8% to 6.00 pence per share (2022: 5.05 pence)

· Dividend decreased by 8.6% to 6.18 pence in respect of the year (2022: 6.76 pence), following the reduction in Q1 2023

· Intention to increase the quarterly dividend in respect of the year ending 30 June 2024 by 2.0% to 1.428 pence per share, representing an annual total dividend of 5.712 pence

· Dividends in respect of the period were 97% covered by adjusted EPRA earnings, with full cover for dividends paid in respect of the periods from January 2023 onwards. Under the widely-used EPRA earnings metric the annual dividend was 124% covered

· Net loan-to-value ("LTV") of 24.7% as at 30 June 2023, with an average cost of drawn debt, inclusive of the amortisation of loan arrangement costs, of 3.70% and weighted average term to maturity of 6.2 years. £230 million of debt, being 100% of total drawn debt at 30 June 2023, fully hedged to maturity against further interest rate increases

https://www.investegate.co.uk/announcem ... ts/7806279

Ian (No holding).

[idpickering]

Net Asset Value, Corporate Update & Dividend.

Target Healthcare (LSE: THRL), the UK listed specialist investor in modern, purpose-built care homes, announces its unaudited quarterly Net Asset Value ('NAV') as at 30 September 2023, an update on corporate activity and first interim dividend for the year ending 30 June 2024.

https://www.investegate.co.uk/announcem ... nd/7851868

Ian (No holding).

[idpickering]

Edison issues outlook on Target Healthcare REIT (THRL): DPS growth from a sustainable base.

Target Healthcare REIT’s mid-year rebasing of DPS sought to establish a base for growth on a fully covered basis. With FY23 results in line with previous indications, and progress continuing, the company has increased the quarterly rate of DPS by 2% from Q124. With rent collection restored, we expect rental growth, development completions and fixed debt costs to support continued, progressive, fully covered dividend growth.

The 5.71p FY24 DPS target represents an attractive yield of 7.1% and we expect further growth on a fully covered basis. Property values have recently stabilised, yet the discount to the Q124 NAV per share of 105.6p is 24%.

https://www.investegate.co.uk/announcem ... e-/7865309

Ian.

[idpickering]

Result of AGM.

Target Healthcare REIT plc announces that, at the Annual General Meeting held on 29 November 2023, all resolutions proposed were duly passed.

https://www.investegate.co.uk/announcem ... gm/7911618

Ian (No holding).

[idpickering]

Net Asset Value, Corporate Update & Dividend

https://www.investegate.co.uk/announcem ... nd/8016231

Ian.

[idpickering]

Half-year Report

Target Healthcare REIT plc (the "Company" or the "Group"), the UK listed specialist investor in modern, purpose-built care homes, announces its results for the six months ended 31 December 2023.

NTA growth and strong total return performance; robust balance sheet supported by long-term fixed rate debt; fully covered and growing dividend

· EPRA NTA per share increased 2.1% to 106.7 pence (June 2023: 104.5 pence)

· NAV total return(1) of +4.9% (2022: -5.4%)

· Adjusted EPRA Earnings per share(2) increased 1.3% to 3.05 pence (2022: 3.01 pence)

· Dividend per share in respect of the period of 2.856 pence, 107% covered on adjusted EPRA earnings(3), with quarterly rate increased by 2% compared to six months to 30 June 2023

· Net loan-to-value ("LTV") of 25.8% (June 2023: 24.7%), with a weighted average cost of drawn debt at 4.0% (June 2023: 3.7%), an average term to maturity of 5.7 years (June 2023: 6.2 years) and interest rate hedged on 91% of drawn debt until expiry

https://www.investegate.co.uk/announcem ... rt/8082182

Ian (No holding).