LONDON - Midland Heart Capital PLC has released its half-year results, detailing financial and operational performance for the period from April 1, 2024, to September 30, 2024. The housing association reported a turnover of $125.2 million, an increase from $114.3 million in the corresponding period in 2023. The operating surplus nearly doubled to $47.3 million, up from $23.1 million last year, and the overall operating margin improved to 30.1% from 27.5%.
The company's gearing ratio was reduced to 27.0% at the end of September, down from 30.8% a year earlier, indicating a stronger balance sheet. Operationally, Midland Heart constructed 269 energy-efficient affordable homes during the six-month period, expanding its portfolio to approximately 34,000 homes. The organization reported high levels of tenant satisfaction, with 90% overall satisfaction and 92% satisfaction with repair services.
Midland Heart maintains a G1 V1 rating from the Regulator of Social Housing and an A1 Stable credit rating from Moody's (NYSE:MCO) Investor Services. The association is progressing with its housing delivery strategy, aiming to build or acquire 4,000 additional homes by the end of 2025, supported by funding from Homes England.
Joe Reeves, Executive Director of Finance and Growth at Midland Heart, stated that the strong results demonstrate the organization's financial resilience and commitment to providing quality, affordable housing. The company is preparing to launch its next corporate plan, which includes significant investments to modernize its housing stock.
In line with its strategy to focus on general needs, rented homes, Midland Heart completed the sale of 23 Retirement Living schemes to Housing 21 on September 30, 2024. Reeves expressed confidence that Housing 21 will continue to provide high-quality services and offer career development opportunities to employees.
The half-year performance report is available on the Midland Heart investor hub. This summary is based on a press release statement from Midland Heart Capital PLC.
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