15 August 2024
Publication of Annual Report and Financial
Statements for year ended 31 March 2024
Hastoe Capital plc announces the
publication of the Annual Report and Financial Statements for the
year ended 31 March 2024 of Hastoe Housing Association Limited (the
Group) and Hastoe Capital plc.
The Group generated a surplus for the
year of £3.9m (2023: £5.6m) at an operating margin of 40% (2023:
48%). The fall in the surplus for the year was as a result of
a material increase in expenditure on maintenance and management
costs. Excluding the gain on the disposal of properties, the
operating margin fell to 33% (2023: 41%). An increase in the
level of capitalised major repairs to £5.6m (2023: £3.1m) also
contributed to the decline in the level of EBITDA MRI interest
cover to 1.0 times (2023: 1.3 times). The Group does not have
any loan covenants that are based on EBITDA MRI.
Turnover from social housing lettings
rose 7% to £33.8m (2023: £31.5m), primarily due to inflation linked
rent increases. There was very little contribution from newly
built homes, as a consequence of the low levels of development
activity in the last few years. In contrast, operating costs
on social housing lettings increased by 20%, rising to £21.8m
(2023: £18.1m). Responsive maintenance costs increased to
£6.6m (2023: £4.6m), influenced by a significant investment in
rectifying damp & mould issues.
Turnover from first tranche sales was
£2.6m (2023: £1.3m) and generated a margin of 25% (2023:
32%). There were no open market sales in the year.
The Group's tightest interest cover
covenant requires an earnings before interest, tax, depreciation
and amortisation (EBITDA) measure to be a minimum of 120% of net
interest costs. Interest cover, on this measure, was
165% for the year
At the year end, the Group had
committed debt funding of £268m. Available liquid resources
of £46m (cash holdings of £9m and undrawn loan facilities of £37m)
are sufficient to meet the Group's committed expenditure. The
Group's drawn debt has limited refinancing risk with only around
20% of the Group's debt maturing within the next ten years.
The undrawn loan facility of £37m is committed until 2028. At the
year end, Hastoe Capital plc held £50m of retained
bonds.
A copy of both sets of accounts have
been submitted to the National Storage Mechanism and
are available for inspection.
For further information, please
contact:
Will Roberts
Company Secretary
17 Marina Place
Kingston Upon Thames
KT1 4BH
Telephone : 0300 123 2250
Email :
wroberts@hastoe.com
