2017 preliminary results › ...2017/06/03 · 2017 includes development property sales. m&g...

Transforming - Regenerating - Revitalising

2017 PRELIMINARY RESULTS6 MARCH 2018


OVERVIEW OF SUCCESSFUL 2017 AND POSITIVE START TO 2018

STRONG PERFORMANCE

SOUNDSTRATEGY

Another year of double digit growth – EPRA NNNAV per share up 12.5%• Active management delivered 80% of gains from planning, lettings & sales• Significant revaluation gains achieved on acquisitions made in 2017

Dividend up 10% reflecting current and future income/disposals gains• Over 50% of 2018 sales agreed and well advanced with acquisition targets • On track with 2018 expected planning, lettings and premium listing move

Focus on “beds and sheds” in North & Midlands regeneration markets• Acquisitions are replenishing the portfolio and outperforming inherited sites• Capital discipline with low gearing, increased income and portfolio focus

- 2 -

ONGOING CONFIDENCE


VISION & STRATEGY REMAINS CLEAR AND ROBUSTVISION: To be the UK’s leading developer of brownfield land and regeneration partner of choice, delivering a total return to shareholders of over 10% per annum through the property cycle

- 3 -

STRATEGIC PRIORITIES

DevelopmentDriving the capital growth of our portfolio through delivery of planning permissions, remediation and infrastructure, before crystallising sales value

InvestmentEnsuring sustainable income generation through asset management of existing rental sites and direct development of new space

SectorsConcentrating on those property markets with strong, through-the-cycle returns (currently industrial & logistics and housebuilding)

STRATEGIC PRIORITIES

RegionsLeveraging our strong relationships in our core areas in the North of England and Midlands, whilst seeking to expand into adjacent areas

AcquisitionsReplenishing our landbank by utilising capital to buy new sites to maintain net asset value growth across the portfolio (including joint ventures)

FinancingMaintaining the Group’s low balance sheet gearing to complement risk-appropriate high operational gearing

Notes: Site numbers are for freehold, leasehold and joint ventures sites only.


OUR MARKETS AND GOVERNMENT POLICY SUPPORT GROWTHBEDS: RESIDENTIAL

National housing under-supply is driving consistently strong demand for land from housebuilders

House price growth in our regions remains positive and is forecast to further grow

Government stimulus measures in place to underpin affordability of new homes, including Help to Buy and new funding announced in Autumn Statement

SHEDS: INDUSTRIAL & LOGISTICS

Strong demand for well-located industrial space across the regions driven by growth of e-tailing

Supply continues to be squeezed across all regions, driving yield compression

Industrial sector is forecast to continue to outperform both the office and retail markets

Local support for sustainable new commercial development remains strong

- 4 -

Projected House Price Growth forecasts 2018-2022

Rolling average take-up of industrial space 2008-17

Source: Savills, January 2018

Source: Savills Big Shed Briefing, January 2018


DRIVING SECTOR-LEADING RETURNS

Indi

cativ

e Va

lue

Add

Acquisitions Strategic Land Major Developments Income Generation

Time

Competitive advantage comes from our ability to add value through active management

rather than reliance on market movements

Capital Realisation

Recurring Income

Rein

vest

men

t of C

apita

l

Capital Receipt

- 5 -

Acquisition & Land Assembly

Planning Approval

Land Remediation &

Preparation

Plot Sale / Build Out

Masterplanning

Infrastructure Development

Asset Management


STRONG ACTIVE MANAGEMENT IN 2017

- 6 -

Acquisition & Land Assembly Masterplanning Planning Approval

Notes: (1) Includes freehold and partnership sites

• Successful £27.1m equity raise in March for new acquisitions, all deployed in year

• Five strategic sites purchased in 2017 that could potentially deliver a further c.1,000 plots and over 5m sq. ft of additional commercial space

• Options signed on four sites and preferred bidder position on a further significant site

• 10,448 consented residential plots and 12.13m sq. ft of consented commercial space under ownership as at 31 December 2017(1); vast majority utilised within the Group’s Major Developments

• Land to be promoted in the planning system between 2018 and 2020 for a further 4,552 plotsplus c.5.9m sq. ft of commercial space(1)

• Major outline planning consents secured in April at Kellingley (1.45m sq. ft of commercial space) and in October at Thoresby (800 residential plots and 0.25m sq. ft commercial space)

• In total, planning secured for 825 residential plots and c.3m sq. ft of commercial space in 2017


STRONG ACTIVE MANAGEMENT IN 2017

- 7 -

Land Remediation & Infrastructure Development Plot Sale / Build Out Asset Management

• 14 sites classed as ‘Major Developments’; remediation and site infrastructure works ongoing on these sites to underpin our sales and direct development programmes

• Thoresby and Kellingley added toMajor Developments following receiptof outline planning consent in 2017

• 622 consented residential plots and 0.85m sq. ft of commercial space sold at good profit margins throughout the year, including a number of sales with repeat customers

• Further direct development undertaken and completed at key sites, including innovative joint venture deals at Logistics North and Waverley. Total of over 270,000 sq. ft built in the year

• Over 50 new commercial lettings, renewals and reviews in 2017, including McLaren Automotive at the AMP

• Series of new lettings completed after year-end that justifies decision to build further direct commercial development

• 159.7MW of energy capacity now installed on our land


CONTINUED DOUBLE DIGIT NET ASSET VALUE GROWTH

In 2017, EPRA NNNAV per share rose by 12.5% to 128.9p, NAV by 11.2% and EPRA NAV by 9.3%

- 8 -

Opening NAV/ EPRA NAV Capital Raise

Profit excluding

Value GainsValue Gains Interest and

finance costsOther (Pension,

EBT, Current Tax)

Dividends Tax/ Interest rate Swap

Closing NAV/EPRA NNNAV/

EPRA NAV


Twelve months to 31 December (£’m) 2017 2016

Profit on disposal

Revaluation gains1

Total TotalManagement Market

Major DevelopmentsCapture of marriage value from 2017 acquisitions which adjoined existing sites (Chatterley Valley and Coalville) together with movements at maturing developments

8.0 8.7 4.3 21.0 18.9

Strategic LandOutline planning consent granted at Thoresby (800 residential plots) and Kellingley (1.45m sq. ft commercial)

0.0 12.2 1.2 13.4 12.8

Business SpaceIncreases from direct development lettings and progress at recent acquisitions offset by some ageing assets

0.5 4.4 0.8 5.7 6.7

Natural ResourcesProfitable sales for future energy schemes and gains from asset management offset by declines in fixed life assets

2.2 1.4 0.1 3.7 5.2

Agricultural LandAftercare and restoration advances at former surface mines 0.0 2.6 1.0 3.6 0.1

Total 10.7 29.2 7.5 47.4 43.7

VALUE GAINS UNDERPINNED BY MILESTONE DELIVERY

Notes: (1) Revaluation gains include the £5.8m mark to market movement on development properties, all of which is within Major Developments

As highlighted by the achievement of milestones, 80% of our revaluation gains come directly from active management (acquisitions, planning and lettings) as well as profitable disposals

- 9 -


GROWING INCOME TO COVER ALL BUSINESS OVERHEADSTwelve months to 31 December(£’000)

2016 Total

CapitalGrowth

Income Generation

Central Overheads

2017Total

Dev’mnt2 Other

Revenue (rent, royalty and operations) 33,693 29,765 5,671 18,237 - 53,673

Cost of sales (21,022) (27,893) (4,396) (5,389) - (37,678)

Overheads (10,457) - (1,927) (1,735) (8,221) (11,883)

Profit excluding value gains 2,214 - (652) 11,113 (8,221) 2,240Valuation gains 34,883 28 26,638 10,037 - 36,703

Profit from disposals1 8,791 7,690 312 2,710 - 10,712

Pension charge (87) - - - (39) (39)

Operating profit before exceptionals 45,801 7,718 26,298 23,860 (8,260) 49,616

Exceptional items 7 331

Interest and finance costs (2,341) (2,261)

Profit before tax 43,467 47,686Tax (3,566) 7,843

Profit after tax 39,901 55,529

Earnings per share 13.65p 15.76p

Dividend per share 0.75p 0.83p

Revenue and cost of sales2017 includes development property sales. M&G related amounts fell in 2017 following construction completion

TaxImproved position due to work on use and recovery of tax losses

DividendTotal dividend of 0.828p per share, 10% growth on 2016 final dividend

A

B

C

A

B

C

- 10 -

Notes: (1) Profits/(losses) from disposals of property categorised as investment, development and assets held for sale(2) Revenue less cost of sales does not cast as the mark to market movement on development properties of £5,846k has been included


CREATING RECURRING INCOME AT LOGISTICS NORTH

- 11 -


MATCHING CASH FLOWS TO ACHIEVE “NET DEBT NEUTRALITY” Disciplined approach with investment in infrastructure and acquisitions funded through disposals

• Fully deployed 2017 capital raise was used to accelerate acquisitions and maintain low gearing

- 12 -


LOW GEARING TO COMPLEMENT OPERATIONAL RISK

Policy of prudent gearing• As at 31 December 2017, gross Loan To Value (LTV)

was 8.8% (2016: 13.1%) and net LTV 7.0% (2016: 9.9%)

• Harworth maintains low gearing to complement risk-appropriate high operational gearing. Capital growth sites do not easily support borrowing and thus are deliberately not geared

• If gearing is just assessed against the value of business space and natural resources properties, this equates to a gross LTV of 26.3% and net LTV of 20.8%

Prudent gearing provides headroom and flexibility• During a year, net debt can increase by over £30m

as infrastructure spend is usually made in advance of sales

• Prudent gearing gives the ability to transact quickly, which provides a competitive advantage in capturing opportunities

Position as at 31 December 2017 £’000

Drawn bank borrowings – RBS RCF (23,437)

Infrastructure loans (17,209)

Gross interest bearing debt (40,646)Cash 8,371

Net debt (32,275)

Property valuation (comprising investment and development properties at market value, joint ventures, assets held for sale, overages and owner occupied)

462,856

Net Loan/Value 7.0%

NNNAV 414,163Net Debt/NNNAV 7.8%

Interest Cover (12 month rolling) 3.41x

(Using HEPGL profits as per RBS RCF)

- 13 -


PORTFOLIO IS MANAGED TO DIVERSIFY RISK

- 14 -

PORTFOLIO CONCENTRATION PORTFOLIO SECTOR SPLIT

Notes: (1) Total value of all property – Investment (£216.6m), Development (£210.5m), Joint ventures (£18.8m), Available for sale (£7.7m), Overages (£2.7m) and Owner Occupied Assets (£0.8m) plus mark to market value of development properties (£5.8m)

1 1


LAND PIPELINE PROVIDES SIGNIFICANT LATENT VALUE

RESIDENTIAL PIPELINE: PLOT NUMBERS COMMERCIAL PIPELINE: SQ. FT

As shown at Logistics North and the AMP, we pursue a mixture of land and property deals to unlock maximum value. Residential deals are for serviced plot sales, whilst commercial deals encompass plot sales, pre-lets, forward funding deals and direct development

We possess the flexibility to respond to market conditions and ensure deals satisfy three key tests: customer requirements; funding/covenants; and risks and returns

Significant future planning pipeline in place to augment existing consented landbank, providing a healthy 10+ year land supply to underpin future sales and direct development programme

- 15 -

Note: Planning pipeline numbers include sites where we have signed Planning Promotion Agreements (PPAs), Joint Venture agreements andtaken overages. PPAs are agreements with landowners by which Harworth incurs the cost and risk of promoting land through planning.If successful, Harworth shares some of the value gain, after first recovering its costs, when the land is sold.

Already Consented

2018 - 2020

2021 onwards

0

5,000

10,000

15,000

20,000

4,552

2,836

Already Consented

2018 - 2020

2021 onwards

0

5,000,000

10,000,000

15,000,000

20,000,000

25,000,000

10,448 12.13m

5.93m

3.57m


GROWING VALUE FROM LEGACY AND ACQUIRED SITES

Former Tractor Factory site in heart of South Yorkshire:• 112 acre site purchased from receivership for £8.5m in

December 2015• Previous consent adjusted to become a market-facing

scheme: 600 residential plots and 0.25m sq. ft of commercial space

• First sale to Arnold Clark in December: 6-acres for £2.5m• Land now being prepared for future sales

450 acres adjacent to the Sherwood Forest:• Former colliery closed in July 2015 – the UK’s second last

deep mine• Site safety and demolition works twin-tracked alongside

masterplanning work from Autumn 2015• Outline planning consent secured in October 2017 for 800

residential plots and 0.25m sq. ft of commercial space • First development plot now being prepared for sale

- 16 -

THORESBY, NOTTINGHAMSHIRE RIVERDALE PARK, DONCASTER


2017 ACQUISITIONS UNDERPIN FUTURE NNNAV GROWTH

- 17 -

Coalville, Leicestershire• 145 acres acquired, increasing wider freehold interest to 346 acres • Harworth now in control of delivering a 2,016 unit major development

Chatterley Valley, Staffordshire• 88 acres acquired, increasing wider freehold interest to 112 acres• Allocated commercial site with potential for 1.2m sq. ft

Wingates, Greater Manchester• 37 acres acquired, 36 acres under option, increasing interest to 294 acres • Draft GMSF designation, 2.4m sq. ft commercial potential

Strategic site near Doncaster, South Yorkshire• 262 acre commercial site on a key M18 junction (half acquired, half option)• Strategic land promotion strategy to secure 2.4m sq. ft

Berry Hill Industrial Estate, Worcestershire• Sale and lease back to DHL, generating £450,000 in rent• Reversionary development potential for 170,000 sq.ft on 9 acre site

TOTAL 2017 ACQUISITIONS5 sites - £24.5m(1) consideration914 additional residential plots5.3m sq. ft additional, potential

commercial space410 acres

TOTAL 2017 OPTIONS(2)

4 deals1,560 potential residential plots

1.3m sq. ft potential commercial space250 acres

TOTAL 2017 PPAs3 deals

425 potential residential plots41 acres

Notes (1) In addition, acquisition costs of £1.5m incurred(2) Excluding options on Wingates and Strategic site near Doncaster signed in conjunction with acquisitions

Target returns for all 2017 acquisitions were ahead of our hurdle return on capital. Significant revaluation gains were achieved on these acquisitions in 2017 given marriage value capture


ACCRETIVE ACQUISITIONS SUPPORTING NNNAV GROWTH

- 18 -

HEADLINE NUMBERS EXAMPLES OF SITES ACQUIRED

Harworth has achieved returns on its acquisitions of over 15% p.a.Acquired sites now account for over 25% of the portfolio

Harworth effectively re-started acquisitions at the end of 2014. Since then:

Total number 17

Total cost £79.8m

Current value1 £121.3m (£32.7m value gains)

Acres acquired 1,472

Residential plots 2,074 currently consented20 further potential

Commercial space2 6.2m sq. ft consented5.0m sq. ft further potential

Development property sales

To date £6.3m Future sales of over £100m

Notes: (1) Current value (£121.3m) is acquisition cost (£79.8m) plus value gains (£32.7m), existing land owned at sites (£7.2m) and infrastructure expenditure (£7.9m)less sales (£6.3m).

(2) Includes 100% of Gateway 45 Leeds joint venture


NO SHORTAGE OF OPPORTUNITIES TO REFILL THE PORTFOLIO

- 19 -

In 2018, adjacent site with direct development potential acquired for £0.6m. Preferred bidderon a major brownfield development site, several options and PPAs have been secured

Many other early stage opportunities across our core regions and adjacent counties. Focus is:

• Purchasing major brownfield sites from corporates, administrators and public sector• Options preferred on medium to long term opportunities or on adjacent land• PPAs with scale/‘added value’ are being prioritised, given higher success rate

OPPORTUNITY TYPE NUMBER OF SITES

ACRES RESIDENTIAL PLOTS

COMMERCIALSPACE

Preferred bidder 1 350 1,000 0.2m sq. ft

Acquisition options 6 417 1,560 1.3m sq. ft

PPAs 7 201 1,819 0.1m sq. ft


2018 STRATEGY DELIVERY TARGETS

- 20 -

Acquisitions• Progressing due

diligence on several freehold sites and the six sites under option

• One acquisition (£0.6m) already made in 2018

Planning• Submitting plans for

2,450 plots and 4.8m sq. ft commercial space on 15 sites

• Hoping to achieve outline consent on 12 or more sites

Lettings• Tenants sought for: 4

co-interest directly developed units; and 6 more later in 2018

• Asset management continues across over 45 other income sites

Sales• Over 50% of 2018

expected sales agreed with over £35m in legals

• Sales targeted at 20 sites to residential and commercial customers

Note: Planning pipeline numbers include sites where we have signed PPAs, Joint Venture agreements and taken overages.

HARWORTH IN 2018

DEVELOPMENT

INVESTMENTS

SECTORS

REGIONS

ACQUISITIONS

FINANCING


OVERVIEW OF SUCCESSFUL 2017 AND POSITIVE START TO 2018

STRONG PERFORMANCE

SOUNDSTRATEGY

Another year of double digit growth – EPRA NNNAV per share up 12.5%• Active management delivered 80% of gains from planning, lettings & sales• Significant revaluation gains achieved on acquisitions made in 2017

Dividend up 10% reflecting current and future income/disposals gains• Over 50% of 2018 sales agreed and well advanced with acquisition targets • On track with 2018 expected planning, lettings and premium listing move

Focus on “beds and sheds” in North & Midlands regeneration markets• Acquisitions are replenishing the portfolio and outperforming inherited sites• Capital discipline with low gearing, increased income and portfolio focus

- 21 -

ONGOING CONFIDENCE


APPENDICES6 MARCH 2018

- 22 -

A brief history 23 Income: Strategy, Progress and Trends 26

Property portfolio – 2017 Movement and sales analysis

24 Summary of drawn financing facilities as at 31/12/17

27

Property portfolio – Further detail 25 Valuation Methodology 28


A BRIEF HISTORY

2012-2014 2015 onwards

Harworth Estates was 24.9% owned by CfR plc

Re-launched as Harworth Group plc

• In December 2012, after a complex restructuring, UK Coal changed its name to Coalfield Resources plc (CfR) owning 24.9% of Harworth Estates

• Remaining 75.1% was owned by the pension trustees but in July 2013, the holding was transferred to the Pension Protection Fund (PPF)

• In November 2014, CfR agreed to buy the PPF’s 75.1% holding in Harworth Estates

• In February 2015, Harworth Estates agreed a new 5 year £65m RCF with RBS

• On 24 March 2015, CfR:

− Raised £116m through a share placing. This cash and issued shares were used to acquire the PPF’s shareholding in Harworth Estates. PPF became a 25% shareholder

− Renames itself as Harworth Group plc

• Andrew Kirkman appointed as Finance Director in January 2016

2004-2012

Property division within UK Coal plc

Property sales used to fund mining activities

Property sales used to pay down bank debt

Acquisitions central to replenishing portfolio

• In 1994, RJB Mining (founded in 1974) bought British Coal’s core activities

• Having changed its name in 2001, UK Coal established a property division in 2004, which was to become Harworth Estates

• In 2010, Owen Michaelson joined UK Coal to head up Harworth Estates

• Current management team formed from core of property division, supplemented by sector specialists recruited in the next 7 years

- 23 -


PROPERTY PORTFOLIO(1) – 2017 MOVEMENT AND SALES ANALYSIS

- 24 -

Notes: (1) Total value of all property – Investment (£216.6m), Development (£210.5m), Joint ventures (£18.8m), Available for sale (£7.7m), Overages (£2.7m) and Owner Occupied Assets (£0.8m) plus mark to market value of development properties (£5.8m)


PROPERTY PORTFOLIO – FURTHER DETAIL

- 25 -

TOP TEN SITESSite Location Acres House plots Commercial space

Consented Sold/Built Consented BuiltWaverley (Resi) Yorkshire 454 3,890 1,218/800Coalville Midlands 346 2,016 0Rossington Yorkshire 334 1,200 170/100 0.1m sq. ft 0 sq. ftLounge Midlands 103 0.8m sq. ft 0 sq. ftWaverley (AMP) Yorkshire 115 2.1m sq. ft 1.2m sq. ftAsfordby Midlands 141 0.3m sq. ft 0.3m sq. ftGateway 36 Yorkshire 430 0.2m sq. ft 0.2m sq. ftHarworth Colliery Midlands 440 996 118/118 0.8m sq. ft 0 sq. ftWalton Summit North West 19 0.3m sq. ft 0.3m sq. ftThoresby Midlands 460 800 0 0.3m sq. ft 0 sq. ft

TOTAL 2,842 8,902 1,506/1,018 4.9m sq. ft 2m sq. ft

Ownership Breakdown Acres31-Dec-16

Acres30-Jun-17

Acres31-Dec-17

Sites31-Dec-16

Sites30-Jun-17

Sites31-Dec-17

Freehold land 17,491 16,790 16,478 103 98 95Leasehold land 176 176 176 3 3 3Commercial Clawbacks 3,975 3,975 3,975 33 33 33Joint Venture Sites 334 376 376 3 5 5Sub Total 21,977 21,318 21,005 142 139 136Mineral Rights 726 726 726 12 12 12Third Party Agreements 159 190 190 6 8 8Options (Third Party Land) 2,213 1,469 1,554 4 5 6Total 25,075 23,702 23,475 164 164 162


INCOME: STRATEGY, PROGRESS AND TRENDS The strategy remains to grow and improve the quality of recurring income to cover overheads

(including strategic land promotion) and interest, and ultimately cover tax and dividends

REVENUE BREAKDOWN

- 26 -

MAJOR DEVELOPMENTS- Promote fee received for Whistl deal at Logistics North. Other deals pursued but will occur infrequently

- Recognition of sales for development properties

BUSINESS SPACE- Good progress with acquisitions and new & re-lettings- Churn of mature assets and active asset management of

Business Space portfolio continues to grow income

NATURAL RESOURCES- Core income from 159.7MW of low-carbon energy

developments in place, alongside income from tipping- Wider energy options now being explored to grow income

OPERATIONS- Coal fines contracts in place with three power customers- Income forecast to decline in the medium-term


SUMMARY OF DRAWN FINANCING FACILITIES AS AT 31/12/17

Weighted average cost of debt of 3.0% (using 31 December 17 balances and rates) with a 0.8% non-utilisation fee on undrawn RBS amounts

− £30m fixed at 2.955% all-in rate until June 2020

LENDER ASSOCIATED SITE

AMOUNT DRAWN (£’K)

INTEREST RATE END DATE

HCA Waverley 7,299 2.2% plus EU Reference Rate February 2022

JESSICA Gateway 36 2,395 2.2% plus EU Reference Rate

April 2018 but with an ability to extend if development not let

Leeds LEP Prince of Wales 396 2.49% December 2018

JESSICA Advanced Manufacturing Park 5,175 2.2% plus EU

Reference RateDecember 2018 but with an ability to extend if development not let

GMIF Logistics North 2,076 3.0% plus EU Reference Rate December 2019

HCA Village Farm,Murton 141 4.0% plus EU

Reference Rate20 business days from the sale of last plot or 31 March 2018

Infrastructure loans total 17,482

RBS RCF(1) All sites. Floating debenture 23,991 ICE Libor rate

plus 2.0%February 2021 as at 31 December 2017. From 13 Feb. 2018, this was extended to Feb. 2023

Capitalised fees (827)

Total gross borrowings 40,646

- 27 -

Notes: (1) RCF was extended on 13 February 2018 until February 2023 with a margin increase from 200bps to 210bps


VALUATION METHODOLOGY

Portfolio is valued twice yearly. Formal year-end valuation by BNP Paribas and Savills, and half year valuation by management with review by BNP Paribas and Savills

Valuation is property by property on the basis of Market Value (RICS Red Book definition) given the highest and best use of the portfolio

Valuation techniques for the broad categories of the portfolio are:

1. Business Space – Market comparison with direct reference to observable market evidence: rental values; yields; and capital values, adjusted for: the quality of the properties; the covenant profile of the tenants; and the volatility of cash flows

2. Development sites – Residual development appraisals, a form of discounted cash flow which estimates the current site value from future cash flows measured by observable current land and/or completed built development values and estimated developments costs and returns

3. Strategic land – Discounted cash flows, measured by current land values adjusted to reflect the: quality of the development opportunity; potential development costs; and likelihood of planning consent

- 28 -


DISCLAIMER

- 29 -

For the purpose of the following disclaimer, reference to this ‘presentation’shall be deemed to include reference to the presentation slides, thepresenters’ speeches, the question and answer session and any other relatedverbal or written communication.

This presentation, which has been issued by Harworth Group plc("Harworth"), comprises slides for a presentation in relation to Harworth’spreliminary results for the financial year ended 31 December 2017 and issolely for use at such presentation. This presentation is confidential and maynot be reproduced, redistributed or passed directly or indirectly to any personor published in whole or in part for any purpose.

This presentation includes forward-looking statements with respect to thebusiness, performance and financial condition of Harworth. These forward-looking statements can be identified by the use of forward-lookingterminology, including without limitation the terms "estimates", "plans","anticipates", "targets", "aims", "continues", "expects", "intends", "may", "will","would", "could" or "should“ or, in each case, their negative or other various orcomparable terminology. These statements are made by Harworth’s directorsin good faith based on the information available to them at the date ofHarworth’s preliminary results announcement for the year ended 31December 2017. By their nature, these statements may involve risks,uncertainties or assumptions given future events and circumstances which arebeyond Harworth's control, including amongst other things, fluctuations in theproperty market for the price of land, the timing effect and other uncertaintiesof future acquisitions, the effect of tax and other legislation or regulations inthe United Kingdom, all or any of which can cause results and developmentsto differ materially from those anticipated. Further details of certain risks anduncertainties will be set out in Harworth’s Annual Report and FinancialStatements for the year ended 31 December 2017, available to view atwww.harworthgroup.com before the end of April 2018. Nothing in thispresentation should be construed as a profit forecast. Except as required byapplicable law or regulation, Harworth disclaims any obligation or undertakingto update these statements to reflect events occurring after the date thesestatements were published.

Actual results may differ materially from those expressed in forward-lookingstatements. As such, you are cautioned not to put undue reliance on anyforward-looking statements. No investment advice is being given in thispresentation. No representation, warranty or undertaking is given by, or onbehalf of, Harworth or any of its directors, officers, employees and advisersthat Harworth will achieve any results set out in such statement or as to theaccuracy, completeness or reasonableness of any projections, targets,estimates, forecast statements, beliefs, opinions or information contained in orgiven during this presentation and no liability is accepted or incurred by any ofthem for or in respect of the same, provided that nothing in this paragraphshall exclude liability for any representations or warranty made fraudulently.

In making this presentation available, Harworth makes no recommendation tobuy, sell or otherwise deal in shares in Harworth or in any other securities orinvestments whatsoever, and you should neither rely nor act upon, directly orindirectly, any of the information contained in this presentation in respect ofany such investment activity. Past performance is no guide to futureperformance. If you are considering engaging in investment activity, youshould seek appropriate independent financial advice and make your ownassessment.

By accepting these presentation slides, you agree to be bound by the aboveconditions and limitations.

This presentation does not constitute or form part of any offer or invitation tosell, or any solicitation of any offer to purchase, any shares in Harworth or anyother securities, nor shall it or any part of it, nor the fact of its distribution formthe basis of, or be relied upon in connection with, any contract or investmentdecision related thereof.

The financial results contained within this presentation are extracted fromHarworth’s preliminary results announcement for the financial year ended 31December 2017.

2017 preliminary results › ...2017/06/03 · 2017 includes development property sales. m&g...

Documents