23
September 2024
UIL
LIMITED
(LEI
Number: 213800CTZ7TEIE7YM468)
Publication of monthly factsheet
The latest monthly factsheet for UIL
Limited ("UIL" or the "Company") will shortly be available through
the Company's website at:
https://www.uil.limited/investor-relations/factsheet-archive
Monthly commentary
PERFORMANCE
UIL's NAV total return declined by
0.7% in August, underperforming the FTSE All Share total return
Index which increased by 0.5% over the month.
August started with a sharp sell-off
in many markets, triggered by the first rise in Japanese interest
rates for 17 years and fears over the US going into recession,
after weak employment numbers at the end of July. Economic
indicators released during August were more mixed and most markets
not only recovered the losses in the early days of August but ended
up positive for the month as a whole.
The Bank of England cut interest rates
by 25bps during the month. The consensus view that the first
long-awaited rate cut by the Federal Reserve will be announced at
its September meeting and the European Central Bank will cut rates
in September were both realised. For UK based investors, the 2.3%
gain in Sterling against the US Dollar during the month was a
headwind for Sterling valuations of many international
assets.
The S&P Index advanced by 2.3%
during the month, with the NASDAQ Composite Index underperforming
the S&P Index with a 0.6% gain. In Europe, the Eurostoxx Index
gained 1.7% and the FTSE 100 Index was up by a modest 0.1%. In
Australia, the S&P ASX 200 Index was flat for the month of
August.
Many emerging markets also gained in
August, supported by the expectation of interest rate cuts in the
US. In Brazil, the Ibovespa Index increased by 6.5%, the
Philippines PSEi Index was up by 4.2% and Vietnam's Ho Chi Minh
Index rose by 2.6%. The Hang Seng Index also increased by 3.7%
during August but mainland China remained weak with the Shanghai
Composite Index falling by 3.3% and approaching levels not seen
since the Covid-19 crisis of early 2020. Business and consumer
confidence in China remains weak, although export growth remains
strong. India's SENSEX Index advanced by 0.8%.
In the commodities markets, Brent
Crude oil declined by 2.4% on back of expectations of slower global
growth, which also affected the price of copper which weakened by
0.8%. The price of Nickel rose slightly, up by 1.2% in August. The
Gold price also continued its advance, rising by 2.3% for the month
and exceeding USD 2,500/oz for the first time ever at the end of
the month.
PORTFOLIO
There were no changes to the top ten
constituents of the UIL portfolio in August.
Somers' valuation for the month rose
by 6.3% and there were gains for Australian listed companies -
Resimac up by 5.8%, The Market up by 6.7% and WT Financial whose
shares were up by 16.2%.
Zeta Resources' net tangible assets
per share declined by 6.1% during August and the discount on its
shares widened, resulting in a 14.8% decline in its share price.
Carebook Technologies' share price fell by 8.3% in
August.
UEM's NAV total return for the month
was up marginally whilst UEM's share price and the discount were
unchanged.
There were realisations of £0.6m
during the month and no purchases.
DEBT
Bank and other debt remained at £2.9m,
all drawn in Sterling.
ZDP
SHARES
In August, the share price of the 2024
shares appreciated by 0.7%. The price of the 2026 shares was
unchanged and 2028 ZDP shares declined by 1.5%.
OTHER
UIL's ordinary share price decreased
from 105.00p to 103.00p in August and the discount to NAV widened
from 34.0% to 34.8%.
In September the Board of UIL Limited
has declared a fourth quarterly interim dividend of 2.00p per
ordinary share in respect of the year ended 30 June 2024, which
will be paid on 8 November 2024 to shareholders on the register as
at 27 September 2024. The ordinary shares will go ex-dividend on 26
September 2024.
Name
of contact and telephone number for enquiries:
Charles Jillings
ICM Investment Management
Limited
+44(0)1372 271486