Property proves sweet for Lord Sugar's Amshold

 16/12/2010 10:23

Property has proved its worth for Lord Alan Sugar, according to the latest filed accounts for his Amshold Group.

Accounts, filed at Companies House this month, reveal a circa 10% increase in turnover to £22.5m in the 12 months ended 30 June, up from £20.5m last year. Pre-tax profits almost doubled from £4.3m in 2009 to £8.3 this year.

The group’s property business made up the majority of earnings, providing £20.9m of turnover and operating profits of £15.5m.

Rental income across the group increased by 15% to £18.6m, while the total value of the group’s investment portfolio increased from £253.6m in 2009 to £286.8m this year.

In his director’s report, Sugar – who on Sunday hired his 6^th employee from the BBC’s The Apprentice - says: “By having a stable, strong management team, together with our own financial resources and the facilities available from our bankers, we have the ability to move into the property and aviation market when conditions become more favourable.

“We believe that this will be in the foreseeable future as vendors either recognise the fragility of the current market and cut their losses or are forced to do so.”

He added: “Following some retracement in values, property prices remain under pressure in the current market. This could provide attractive opportunities. The estates team will remain diligent in seeking acquisitions that can provide future growth from active management given the current uncertainties in the property market.”

During the year, Amshold managed to reduce its debt from £141.7m to £139.7m. Since the year end it has reduced this further to £97.4m.

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