North American Income Trust : Half Yearly Report 2023

The North American Income Trust plc

Half Yearly Report 31 July 2023

Seeking resilient growth and rising income from North American equities

northamericanincome.co.uk

Contents

Overview
Performance Highlights	1
Financial Calendar, Dividends and Highlights	2
Chair's Statement	4
Investment Manager's Review	6
Other Matters	9
Portfolio
Ten Largest Investments	11
List of Investments	12
Geographical Analysis	14
Investment Case Studies	15
Financial Statements
Condensed Statement of Comprehensive Income (unaudited)	17
Condensed Statement of Financial Position (unaudited)	18
Condensed Statement of Changes in Equity (unaudited)	19
Condensed Statement of Cash Flows (unaudited)	20
Notes to the Financial Statements (unaudited)	21
Alternative Performance Measures ("APMs")	28
General Information
Investor Information	31
Contact Addresses	37

Investment Objective and Purpose

To provide investors with above average dividend income and long- term capital growth through active management of a portfolio consisting predominantly of S&P 500 US equities.

Reference Index

The Board reviews performance against relevant factors, including the Russell 1000 Value Index (in sterling terms) and the S&P 500 Index (in sterling terms) as well as peer group comparisons. The aim is to provide investors with above average dividend income from predominantly US equities which means that investment performance can diverge, possibly quite materially in either direction, from these indices.

Performance Highlights

	Net asset value total returnA			Share price total returnA
	Six months ended 31 July 2023			Six months ended 31 July 2023
	-3.2%
			-5.0%
	Year ended 31 January 2023	+9.6%		Year ended 31 January 2023	+12.4%
	Russell 1000 Value Index (in sterling terms)
	total return			Earnings per Ordinary share (revenue)
	Six months ended 31 July 2023			Six months ended 31 July 2023
	-1.0%			6.10p
	Year ended 31 January 2023	+8.5%		Six months ended 31 July 2022	6.10p
	Dividends per Ordinary Share			Dividend yieldA
	Six months ended 31 July 2023			As at 31 July 2023
	5.20p
			3.9%
	Six months ended 31 July 2022	5.00p		As at 31 January 2023	3.6%

1. Considered to be an Alternative Performance Measure. Further details can be found on pages 28-30.

Performance (Total return)

	6 months ended	1 year ended	3 years ended	5 years ended
	31 July 2023	31 July 2023	31 July 2023	31 July 2023
	%	%	%	%
Net asset value per Ordinary shareA	-3.2	+1.5	+42.6	+29.7
Share price per Ordinary shareA	-5.0	-1.7	+41.9	+25.5
Russell 1000 Value Index (in sterling terms)	-1.0	+2.4	+51.7	+49.9
S&P 500 Index (in sterling terms)	+8.6	+6.9	+50.0	+81.3

1. Total return represents capital return plus dividends reinvested. Considered to be an Alternative Performance Measure. Further details can be found on page 30. Source: abrdn, Morningstar & Lipper.

Overview

Portfolio

General Information Financial Statements

The North American Income Trust plc

1

Financial Calendar, Dividends and Highlights

Payment dates of quarterly dividends

August 2023

October 2023

January 2024

May 2024

Financial year end

31 January 2024

Expected announcement of results for year ended 31 January 2024

April 2024

Annual General Meeting (Edinburgh)	June 2024

Financial Highlights

	As at	As at	Capital return
	31 July 2023	31 January 2023	%
Net asset value per Ordinary share	317.8p	337.2p	-5.7
Share price per Ordinary share (mid)	282.0p	306.0p	-7.8
Discount to net asset valueA	11.3%	9.3%
Net gearing A	5.5%	2.9%
Ongoing charges ratioA	1.00%	0.93%

1. Considered to be an Alternative Performance Measure. Further details can be found on pages 28-29.

	Six months to	Six months to	Change
	31 July 2023	31 July 2022	%
Revenue return per Ordinary share	6.10p	6.10p	-
Interim dividends	5.20pA	5.00pB	+4.0

1. Includes a first interim dividend of 2.60p paid on 4 August 2023 and a second interim dividend of 2.60p payable on 27 October 2023.
2. Includes a first interim dividend of 2.50p paid on 5 August 2022 and a second interim dividend of 2.50p paid on 28 October 2022.

2	The North American Income Trust plc

"The Board is declaring a second quarterly dividend for the year to

31 January 2024 of 2.6 pence per share

(2023- 2.5 pence), taking total dividends for the first half of the year to 5.2 pence per share (2022 - 5.0 pence)"

The North American Income Trust plc

3