REG - UIL Limited UIL Finance Ltd Utilico Limited 2014 UIL Finance - UTLG Utilico Finance (D) - Publication of monthly factsheet

UILAnnouncement

12/01/2024 13:45

For best results when printing this announcement, please click on link below:
http://newsfile.refinitiv.com/getnewsfile/v1/story?guid=urn:newsml:reuters.com:20240112:nRSL5836Za&default-theme=true

RNS Number : 5836Z  UIL Limited  12 January 2024

12 January 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
(https://www.uil.limited/investor-relations/factsheet-archive)

 

Monthly commentary

 

PERFORMANCE

UIL's NAV total return increased by 7.6% in December, which was ahead of the
FTSE All Share total return Index, up by 4.5% over the month. For the six
months to 31 December 2023, UIL's NAV total return increased 4.1%,
underperforming the FTSE All Share total return Index which was up 5.2% over
the same period.

 

Global equity markets in December continued to be strong, as expectations that
the US Federal Reserve will cut interest rates in 2024 were confirmed, with
the Federal Open Market Committee indicating that there could be three rates
cuts in 2024 and Colin Powell, Chairman of the Federal Reserve openly echoing
this view. Subsequently, the S&P Index was up by 4.4%, and the DXY Dollar
Index fell.

 

In Europe, favourable inflationary news also continued with both the UK and
the Eurozone's inflationary levels coming in below expectations. The UK
reported November's Consumer Price Indices at 3.9%, the lowest since September
2021, whilst the Euro area fell to 2.4%, the lowest since July 2021. Both the
Bank of England and the European Central Bank kept interest rates unchanged.
The FTSE 100 was up by 3.7% for the month of December whilst the Eurostoxx
Index increased by 3.2%. Sterling's performance in December was mixed, up 0.7%
against the US Dollar, but down 0.5% against the Euro and down 2.1% against
the Australian Dollar.

 

This more aggressive policy pivot by the Federal Reserve fuelled a more
positive outlook for emerging markets. Within Latam, the Brazilian Bovespa
Index was up by 5.4% for the month of December, the Mexican Bolsa Index was up
6.2% and the Chilean IPSA Index was up by 6.5%. Argentina was the outperformer
in the region for the month of December, with the Merval Index up by 14.3%, as
the new President, Javier Milei, implemented a massive deregulation package to
enhance the competitiveness of Argentina which so far has witnessed fewer
protests than expected.

 

Asia followed suit with India's Sensex Index up by 7.8%, the Vietnam Ho Chi
Minh Index was up by 3.3%, the Philippines PSEi Index up by 3.6% and the Thai
Set Index was up by 2.6%. The outliers for the month were Hong Kong's Hang
Seng Index which was flat and the Chinese Shanghai Composite Index was down
1.8%. Purchasing Managers' Index ("PMI") data reported from China was mixed
with manufacturing PMI data being in contractionary territory whilst services
being expansionary.

 

In the commodities market, industrial metals were mixed with copper up 1.6%
but nickel falling marginally by 0.3%. Precious metals were also mixed with
gold up 1.3% in December and silver down 5.8%. Oil continued to be weak, down
by 7.0% as global oil demand slowed.

 

PORTFOLIO

There were no changes to the top ten constituents of the UIL portfolio in
December.

 

Somers' valuation was up 12.5% during the month reflecting the solid share
price performance of Resimac which was up 17.5% in December benefitting from
market sentiment that the possibility of an additional interest rate increase
is waning.

 

Zeta's share price declined by 8.3% over the month, reflecting underlying
portfolio movements with Alliance Nickel's share price falling by 17.6% in
December.

 

UEM's share price increased by 4.1% in December as it delivered a NAV total
return of 5.4%, outperforming the MSCI Emerging Market total return Index
which was up by 2.7% in Sterling terms during the month. The UEM discount to
NAV widened to 14.7% from 13.6%.

 

The Market Limited's share price was down 17.9%, clawing back some of the
strong performance witnessed in November though the continued wide bid-offer
spread can result in quite large pricing movements.

 

West Hamilton Holdings Limited's valuation was down 3.4% and Carebook
Technologies' share price climbed by 7.1%

 

DEBT

Bank debt was reduced to £15.0m from £20.0m over the month, all drawn in
Sterling. Other debt rose from £0.6m to £9.8m.

 

ZDP SHARES

The share prices of the 2024, 2026 and 2028 ZDP shares appreciated by 0.8%,
1.4% and 1.1% respectively, over the month, trading at 127.00p, 108.50p and
89.50p respectively.

 

OTHER

UIL's ordinary share price increased by 8.1% to 127.00p in December while the
discount to NAV narrowed marginally from 37.7% to 37.5%. The first quarterly
interim dividend of 2.00p per ordinary share in respect of the year ending 30
June 2024, was paid on 21 December 2023 to shareholders on the register on 1
December 2023.

 

 

Name of contact and telephone number for enquiries:

 

Charles Jillings

ICM Investment Management
Limited
+44(0)1372 271486

This information is provided by RNS, the news service of the London Stock Exchange. RNS is approved by the Financial Conduct Authority to act as a Primary Information Provider in the United Kingdom. Terms and conditions relating to the use and distribution of this information may apply. For further information, please contact
rns@lseg.com (mailto:rns@lseg.com)
 or visit
www.rns.com (http://www.rns.com/)
.

RNS may use your IP address to confirm compliance with the terms and conditions, to analyse how you engage with the information contained in this communication, and to share such analysis on an anonymised basis with others as part of our commercial services. For further information about how RNS and the London Stock Exchange use the personal data you provide us, please see our
Privacy Policy (https://www.lseg.com/privacy-and-cookie-policy)
.   END  DOCSFUFDEELSEDF