BIG YELLOW's pre-tax profit jumped over 50 per cent in the first half thanks to a higher revaluation gain, as the self storage firm reported increased revenue despite the "less than helpful" economic and political environment.

For the six months ending 30 September Big Yellow's profit before tax increased 56 per cent to £95.8m, up from £61.4m a year earlier.

The group reported a 3.4 per cent increase in revenue to £64.3m, with a 4.2 per cent increase in like-for-like revenue, which Big Yellow said was driven by a growth in average occupancy and rate.

The self storage firm reported basic earnings per share of 57.6p for the first half, a 48 per cent increase on last year, and announced an interim dividend per share of 17.1p.

"The economic and political environment is currently less than helpful, however despite this we have continued to deliver growth in revenue, cash flow and profit," said chief executive Nicholas Vetch.

Big Yellow is focusing on expanding its existing base of 75 stores, and the acquisition of development sites in Slough, Hayes and Harrow takes its pipeline to 13 sites.

Yesterday's results were boosted by a strong revaluation surplus for open stores during the period, which hit £55.7m. It also reported a revaluation uplift of £5.2m on investment property under construction. Shares fell 3.8 per cent to 1,147p despite the announcements.

(c) 2019 City A.M., source Newspaper