Lok'nStore improves FY pre-tax profit

Lok'nStore has hiked its full-year pretax profit to £5.5m from £2.7m a year earlier, and said its rapid-development programme can be financed from cash flow and existing banking facilities.

Adjusted net asset value per share rose 27.6% to 386p, from 302p. Annual dividend was 9p a share, up 12.5% from 8p a share.

Its net debt was down to £23.5m, from £25.2m, while its loan-to-value ratio was now 20.8%, from 25.8%.

Chief executive Andrew Jacobs said 2016 was an exciting year for Lok'nStore, with the company executing on all of its strategic objectives.

"Our adjusted net asset value per share has increased by 28% this year as a result of strong trading in existing stores, in combination with new store openings and the market's increasing appetite for well-located landmark self-storage centres," he said in a statement.

"Our new store development programme continues to change the balance of our store portfolio with new and purpose built stores accounting for around 63% of the portfolio. During the year we opened three new stores which are all trading well and acquired sites for four further new landmark stores which will increase space a further 14%.

"Lok'nStore's low level of debt, our new banking facility on significantly improved terms and the strong growth of the business means that this rapid development programme can be financed from cash flow and existing bank facilities, while increasing the dividend by 12.5%."