(Alliance News) - Foresight Sustainable Forestry Co PLC on Wednesday reported a decline in net asset value amid high interest rates but remained focused on its "significant" afforestation programme.

The London-based forestry investment trust managed by Foresight Group LLP said net asset value per share fell 6.3% to 98.4 pence in the financial year ended September 30, from 105.0p a year prior.

Total return on investment was negative 8.7% for financial 2023, swung from positive 11% a year prior.

The company's portfolio value however increased 21% to GBP174.9 million from GBP144.8 million.

"During the year, financial markets have grappled with issues ranging from inflation and higher interest rates to uncertainty and widening discounts in the investment trust sector. Against this backdrop, we have seen volatility in our share price and net asset value... but we have continued to invest in our portfolio, plant trees, harvest sustainable timber and sequester carbon," Foresight Sustainable said.

Chair Richard Davidson said: "FSF's two-year journey since IPO has been full of positive milestones and I am pleased that the company ends the year in a position to deliver a nationally significant afforestation programme. Whilst acknowledging the challenging wider market conditions, FSF is investing for the long-term and delivering on the strategy set out to shareholders."

Foresight Sustainable shares were 0.2% higher at 59.69 pence each on Wednesday morning in London.

By Tom Budszus, Alliance News slot editor

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