UPDC REAL ESTATE INVESTMENT TRUST : QUARTER 1 - FINANCIAL STATEMENT FOR 2024

UPDC REAL ESTATE INVESTMENT TRUST

UNAUDITED REPORTS FOR THE PERIOD ENDED 31 MARCH 2024

Classified as Confidential

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UPDC REAL ESTATE INVESTMENT TRUST

UNAUDITED REPORTS FOR THE PERIOD ENDED 31 MARCH 2024

STATEMENT OF COMPREHENSIVE INCOME

	Notes	31 March 2024		31 March 2023
		N'000		N'000
Rental income	6	349,737	354,729
Interest income on deposit with banks	8	214,159	85,166
Interest income on assets measured at fair value through profit or loss	7	2,975	44,249
Fair value gain/(loss) on investment property	18	-	-
Profit/(Loss) on financial assets held for trading	9	348	(15,328)
Net gain on disposal of investment property	11	410,000	-
Revenue		977,218	468,816
Impairment charge on receivables	17	(7,625)	65,415
Operating expenses	13	(180,076)		(165,186)
Profit/(loss) Profit before tax		789,517	369,045
Tax		-		-
Profit/(loss) profit after tax		789,517		369,045
Increase/(decrease) in net assets attributable to unit holders		789,517	369,045
Earnings/(Loss) per unit to unit holders of the Trust
Earnings/(Loss) per unit - basic and diluted (Naira)	26	0.30	0.14

The accompanying notes form an integral part of these financial statements.

Classified as Confidential

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UPDC REAL ESTATE INVESTMENT TRUST

UNAUDITED REPORTS FOR THE PERIOD ENDED 31 MARCH 2024

STATEMENT OF FINANCIAL POSITION

	Notes	31 March 2024		31 March 2023
		N'000		N'000
Assets:
Balances with banks	14	6,574,564	2,571,753
Financial assets held for trading	15	95,107	1,599,982
Other assets	17	99,691	145,000
Property and equipment	19	119,199	111,117
Right of use assets	16	31,710	17,144
Investment property	18	23,796,557	23,026,444
Total assets		30,716,828	27,471,440
Liabilities:
Other liablities	20	136,347	161,672
Rent received in advance	21	800,530	866,399
Lease liabilities	16	38,629	17,208
Total liabilities		975,505		1,045,279
Net assets attributable to unit holders of the Trust		29,741,323	26,426,161
Represented by:
Units and reserves attributable to unit holders of the Trust
Unit holders' contributions	22	26,682,695	26,682,695
Retained (loss)		3,058,628	(256,534)
		29,741,323	26,426,161

Classified as Confidential

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UPDC REAL ESTATE INVESTMENT TRUST

UNAUDITED REPORTS FOR THE PERIOD ENDED 31 MARCH 2024

STATEMENT OF CHANGES IN UNITS AND RESERVES	ATTRIBUTABLE TO UNIT HOLDERS OF THE TRUST
	Unitholders'	Retained	Total
	contributions	(loss)/earnings
	N'000	N'000	N'000
At 1 January 2023	26,682,695	(560,164)	26,122,531
Comprehensive income
Profit after tax	-	3,802,545	3,802,545
		3,802,545	3,802,545
Transactions with unit holders in their capacity as unit holders:
Distribution paid to unit holders	-	(973,269)	(973,269)
	-	2,829,276	2,829,276
At 31 December 2023	26,682,695	2,269,111	28,951,806
Comprehensive income
Profit after tax	-	789,517	789,517
		789,517	789,517
Transactions with unit holders in their capacity as unit holders:
Distributions paid to unit holders	-		-
	-	789,517	789,517
At 31 March 2024	26,682,695	3,058,628	29,741,323

Classified as Confidential

4

Notes to the financial statements

For the year ended 31 March 2024

			31 March 2024		31 March 2023
			N'000		N'000
6	Rental Income
	Rental Income	349,737	354,729
			349,737	354,729
7	Interest income on assets measured at fair value through profit or loss
	Held for trading assets:
	Bonds	2,975	16,893
	FGN Promissory notes	-	27,356
			2,975	44,249
8	Interest income on deposit with banks
	Interest earned on placements	204,584	85,137
	Credit interest on bank balance	9,575		29
			214,159	85,166
	Credit interest relates to interest earned on bank balances during the period
9	Net gain/(loss) on financial assets held for trading
	Fair value loss on held for trading instruments	348	(15,328)
			348	(15,328)

31 March 2024

N'000

31 March 2023

N'000

13 Operating expenses
Fund manager's fee	31,959	28,422
Property maintenance expenses	57,850	43,272
Registrar's fees	2,794	240
Trustees' fees	1,069	1,060
Audit fees	4,044	2,253
Professional fees	16,452	4,875
Custodian fees	5,992	5,329
Printing, advert and travels	267	265
SEC fees	14,864	13,220
Property manager's fees	9,588	8,527
Insurance premium	8,495	28,355
Depreciation on property & equipment (see note 19)	19,271	14,376
Depreciation on right of use assets (Note 16)	1,233	207
Interest expense on lease	842	671
Other operating expenses	5,356		14,112
	180,076	165,186
14 Balances with banks
- Current account with banks in Nigeria
Balances with banks	6,574,564		2,571,753
	6,574,564	2,571,753
Current	6,574,564	2,571,753
Non-Current	-		-
	6,574,564	2,571,753

Classified as Confidential

5

Notes to the financial statements

For the year ended 31 March 2024

	15 Financial assets held for trading	31 March 2024		31 March 2023
		N'000		N'000
	Corporate bonds	-	149,644
	FGN bonds	95,107	198,395
	FGN promissory note	-	1,251,943
		95,107	1,599,982
	16 Leases	31 March 2024		31 March 2023
		N'000		N'000
i	Right-of-use assets
	Opening balance as at 1 January 2024	41,178	20,655
	Additions during the year	-	-
	Closing balance as at 31 March 2024	41,178	20,655
	Depreciation
	Opening balance as at 1 January 2024	8,235	3,304
	Charge for the year	1,233	207
	Closing balance as at 31 March 2024	9,468		3,511
	Net book value as at 31 March 2024	31,710	17,144
ii	Lease liabilities	31 March 2024		31 March 2023
		N'000		N'000
	Opening balance as at 1 January 2024	37,787	17,208
	Additions	-	-
	Interest expense	842
	Payments made during the period	-		-
	Closing balance as at 31 March 2024	38,629		17,208
	Current lease liabilities	-	-
	Non-current lease liabilities	38,629		17,208
		38,629	17,208

1. Amounts recognised in the statement of profit or loss

	31 March 2024		31 March 2023
	N'000		N'000
Depreciation charge of right-of-use assets	1,233	207
Interest expense	842	-
	31 March 2024		31 March 2023
	N'000		N'000
17 Other assets
Financial:
Rent receivables	201,941	206,253
ECL provision	(127,735)	(89,608)
	74,206	116,645
Non financial:
Prepaid expenses	25,485		28,355
	25,485	28,355
	99,691		145,000
Current	99,691	145,000
Non-Current	-		-
	99,691	145,000
ECL provision
Opening Balance	(120,110)	(155,023)
Impairment Charge for the year	(7,625)		65,415
Clossing Balance	(127,735)	(89,608)
18 Investment property
Beginning balance	25,586,557	23,026,444
Disposals	(1,790,000)	-
Fair value gain/(loss)	-		-
	23,796,557		23,026,444
Non-Current	23,796,557		23,026,444

Classified as Confidential

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Notes to the financial statements

For the year ended 31 March 2024

Details of the investment property is in note 4.2.

	Office
19 Property and equipment	equipment		Fixtures & fittings		Total
	N'000		N'000		N'000
Cost
At 1 January 2024	454,499	191,580	646,079
Additions	5,332		(0)		5,332
At 31 March 2024	459,831	191,580	651,411
Accumulated depreciation
At 1 January 2024	329,685	183,255	512,940
Charge for the year	15,476		3,796		19,271
At 31 March 2024	345,161		187,051		532,211
Net book amount at 1 January 2024	124,814		8,325		133,139
Net book amount at 31 March 2024	114,670	4,529	119,199
	Office
Property and equipment continued	equipment		Furnitures & fittings		Total
	N'000		N'000		N'000
Cost
At 1 January 2023	356,868	183,002	539,870
Additions	97,631		8,578		106,209
At 31 December 2023	454,499	191,580	646,079
Accumulated depreciation
At 1 January 2023	283,183	165,315	448,498
Charge for the year	46,502		17,940		64,442
At 31 December 2023	329,685		183,255		512,940
Net book amount at 1 January 2023	73,685		17,687		91,372
Net book amount at 31 December 2023	124,814	8,325	133,139
20 Other liabilities
Financial liabilities:
Fund manager's fee payable		38,569	63,151
Custodian fees payable		5,978	10,587
Caution deposits		4,300	8,121
Accrued expenses		64,124	59,826
Other Payables		23,160	19,772
SEC Supervisory Fees Payable			-		-
		136,131	161,457
Non financial Liabilities
VAT payable			215		215
			215		215
		136,347	161,672
Current		136,347	161,672
Non-Current			-		-
		136,347	161,672

Classified as Confidential

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Notes to the financial statements

For the year ended 31 March 2024

	31 March 2024		31 March 2023
	N'000		N'000
21 Rent received in advance
Rent received in advance	800,530	866,399
	800,530		866,399
Current	762,577	828,446
Non-Current	37,953		37,953
	800,530	866,399
22 Unit holders' contribution
Authorised
3,000,000,000 units of N10 each	30,000,000	30,000,000
Issued and fully paid
2,668,269,500 units of N10 each	26,682,695	26,682,695

Classified as Confidential

8

Notes to the financial statements

For the year ended 31 March 2024

Classified as Confidential

9