PHP posts 19% rise in FY earnings, sees no direct Brexit impact

Healthcare property investor Primary Healthcare Properties reported an 18.7% increase in EPRA earnings to £36.8m in 2018, helped by property acquisitions in 2017 and 2018 and continued and increasing organic rental growth.

The Group's portfolio was valued at £1.503bn for the full year of 2018, an increase of 2.5% on 2017. This would rise to £2.3bn following the completion of its all-share merger with peer MedicX, expected in late-March.

Rental income, meanwhile, rose 7% to £76.4m in 2018 while the annual dividend was 2.9% higher at 5.40p.

"We have selectively and successfully invested the proceeds from the over-subscribed equity raise in April 2018 and further strengthened the balance sheet," said Harry Hyman, Managing Director of PHP.

Looking forward, Chairman Steven Owen said that whatever the final outcome and consequences of Brexit for the UK it is "unlikely to have a direct impact" on the primary health centres the company invests in.

Further, demand for its properties was driven by demographics and, in particular, populations that are growing, ageing and suffering from more instances of chronic illness, he added.

At 10:01am: (LON:PHP) Primary Health Properties Plc share price was -0.3p at 116.9p