FOYLESIDE Ltd is a large privately owned property company owned by Northern Ireland shareholders with a wide property portfolio across the UK with some held in subsidiary companies registered in Gibraltar.
The trading results reflect a stable revenue stream from the properties which has resulted in a healthy operating profit.
The registered accounts show an exceptional administrative charge in the year to July 2011 which is taken as a deduction from operating profit. In the details here, the exceptional charge of £15.4m is excluded from the operating profit but is shown as a deduction from the pre-tax profit.
As a property company, the proportion of operating profit absorbed by payments of interest on borrowed funds critically affects pre-tax profits. Interest charges each year exceed £30.7m. In July 2012, the company had total bank loans of £546m, down fractionally on a year earlier.
Pre-tax profits at £3.5m in 2011-12 were lower than last year, after allowance for the impact of the exceptional adjustment in 2010-11.
Foyleside has faced a decrease in the market valuation of their fixed assets. In 2010-11, the balance sheet accounts for Foyleside carried an adjustment for a negative unrealised movement on the value of property of nearly £96m, from £666m in July 2010 to £557m in the following years. The value of shareholders' funds fell sharply to under £9m from nearly £116m.