Shares of Safestore Holdings Plc dropped about 9 percent Wednesday after the self-storage space provider reported a loss for the first half, reflecting mainly the impact from value added tax assumptions on property valuations. The company said it has seen a solid start to the third quarter and expects full-year performance to be broadly in line with expectations. Safestore noted that total value of its property portfolio declined 3.4 percent compared to October end 2011. The reduction was mainly due to Valuer’s estimate of impact of proposed introduction of VAT on UK self storage from October 1, 2012 and adverse foreign exchange movements. Peter Gowers, chief executive officer of the company said, “Although the economy remains challenging and we face headwinds from the continued movement in the Euro exchange rate and the UK Government’s proposed introduction of VAT on self-storage, the Board remains confident that the Group is well positioned, with a strong and resilient operating model and strategic opportunities to create further value.” For the first six months ended April 30, 2012, the company posted a pre-tax loss of 11.76 million pounds, compared to a profit of 0.97 million pounds last year. On a per share basis, loss was 3.31 pence, compared to earnings of 2.33 pence per share a year ago. On an adjusted basis, European Public Real Estate Association, or EPRA, profit after tax declined 6.5 percent to 6.94 million pounds. EPRA adjusted earnings per share dropped 6.6 percent to 3.7 pence per share. The EPRA index is a stock market index composed of property companies that trade on several global exchanges.

6/27/2012 8:03 AM ET (RTTNews) – Shares of Safestore Holdings Plc (SAFE.L: News ) dropped about 9 percent Wednesday after the self-storage space provider reported a loss for the first half, reflecting mainly the impact from value added tax assumptions on property valuations. The company said it has seen a solid start to the third quarter and expects full-year performance to be broadly in line with expectations. Safestore noted that total value of its property portfolio declined 3.4 percent compared to October end 2011. The reduction was mainly due to Valuer’s estimate of impact of proposed introduction of VAT on UK self storage from October 1, 2012 and adverse foreign exchange movements. Peter Gowers, chief executive officer of the company said, “Although the economy remains challenging and we face headwinds from the continued movement in the Euro exchange rate and the UK Government’s proposed introduction of VAT on self-storage, the Board remains confident that the Group is well positioned, with a strong and resilient operating model and strategic opportunities to create further value.” For the first six months ended April 30, 2012, the company posted a pre-tax loss of 11.76 million pounds, compared to a profit of 0.97 million pounds last year. On a per share basis, loss was 3.31 pence, compared to earnings of 2.33 pence per share a year ago. On an adjusted basis, European Public Real Estate Association, or EPRA, profit after tax declined 6.5 percent to 6.94 million pounds. EPRA adjusted earnings per share dropped 6.6 percent to 3.7 pence per share. The EPRA index is a stock market index composed of property companies that trade on several global exchanges. EPRA net asset value per share, as adjusted, declined 5.9 percent to 192.8 pence. Net asset value per share dropped 6.6 percent to 135.1 pence. Revenues for the period grew 6.4 percent to 48.43 million pounds. Revenue per available foot, or RevPAF, grew 7.6 percent, with good growth in London, Paris and the UK regions, the company said. As at April 30, 2012, closing occupancy increased 11.8 percent to 3.26 million sq ft. The board also declared an interim dividend of 1.85 pence per share, up 5.7 percent from last year, to shareholders of record on July 13, 2012, payable on August 8. SAFE.L is currently trading at 103 pence, down 10 pence or 8.85 percent, on a volume of 4.72 million shares on the LSE. (via RTTNews)]]>