LONDON (ShareCast) - (Sharecast News) - Tritax Eurobox declared a dividend for the second quarter as the company posted higher asset values and predicted the Covid-19 crisis would increase demand for its large logistics real estate sites.
The company's portfolio value increased 18.5% to €816.3m (£731m) at the end of March from six months earlier helped by acquisitions. Like-for-like asset value rose 2.6%. Net asset value per share increased 2.7% to €1.16.

Tritax Eurobox declared a dividend of 1.10 euro cents a share for the second quarter. The payout will take the dividend for the first half to 2.20 cents, up from 0.40 cents in the previous six month period.

The company, whose tenants include Amazon and Castorama, said it intended to increase the dividend steadily when the effects of the coronavirus crisis were clearer.

Tritax Eurobox shares rose 5.3% to 83.4p at 11:00 BST.

After buying two sites for €104m in the first half the company has 12 assets with an average size of almost 76,000 sq m, which it said was the biggest in the sector. The company seeks to gain from demand for very large warehouses and automated logistics as trading moves online.

Tritax Eurobox predicted the Covid-19 crisis would accelerate the adoption of ecommerce platforms in continental Europe as consumers shop more online. The crisis has highlighted the need for businesses to have solid supply chains operating from well-located buildings, it said.

Robert Orr, Tritax EuroBox's chairman, said: "The company had a positive six months, notwithstanding the outbreak of the COVID-19 pandemic in Europe in the final weeks of the period. We believe that the long-term structural trends that are driving demand for logistics space remain compelling, and that changes in consumer and corporate behaviour as a result of the pandemic should further support occupier demand for large logistics assets."

All rent due at the end of March has been collected, the company said. Since then it has allowed four tenants to defer payments but all of it will be repaid. The amount deferred beyond the current financial year is 3.9% of the annual total with short-term payment delays representing 2.9%.

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