Tenants signing up at Trident Park as project nears completion

Trident Estates plc released its interim financial results for the period ended 31 July 2021.  Trident Estates plc and its subsidiaries (the “Group”) owns and manages a portfolio of properties for rental and investment purposes.  The Group’s current primary focus is the completion and marketing of its iconic Trident Park project.

During the first six months of its financial year that ended 31 July 2021, the Group recorded revenue of €544,000 (2020: €562,000).  This marks a marginal decrease in revenue primarily due to the early termination of a lease, on which discussions with potential tenants are under way.  As a result of the reduction in revenue, gross profit decreased to €506,000 (2020: €525,000).  Administrative costs increased to €389,000 (2020: €317,000) for the period.  Whilst the day-to-day operational costs of the Group have remained stable, additional marketing costs were incurred for the Trident Park project, and a portion of costs which were being capitalised are now being recognised in the Income Statement.

The Group’s tax expense during this period reduced to €54,000 (2020: €122,000).  The resulting net loss for the period amounted to €28,000, as compared to a net loss of €5,000 in the comparable period in FY2020.

The Group’s CEO, Mr Charles Xuereb, explained that works on the Trident Park project are now nearing completion.  The civil works as well as the mechanical, electrical and plumbing works are almost complete, while the finishes of the project are progressing at an accelerated pace. Despite pressures and hinderances caused by the COVID-19 pandemic on the availability of labour and supplies, management continues its drive to mitigate further impacts on the project in order to reduce delays to the extent possible.  It is expected that the project’s completion will be attained by the end of this year provided that the current conditions remain unchanged. The Group retains sufficient liquidity and financing availability to complete the project.

The Group’s Chairman, Mr Louis Farrugia, stated that the attractions of Trident Park as a green office location have been a strong selling point for the project. Trident Park is an environmentally friendly Office Park campus, which provides spacious green and open areas, a hallmark of offices in the post-pandemic world. “Going forward, I expect that offices with such green credentials will be sought particularly by those who wish to contribute to countering the climate-change challenge.”

Mr Xuereb added that the business environment “has become noticeably more challenging since the FATF decision to grey list Malta. On the other hand, it is encouraging to note that to-date, 47% of the rentable area has been committed to.”  In the meantime, the Board and management remain totally committed to the project as its completion is fast approaching.