Ultima United (ASX:UUL) tables mixed HY report

• Ultima United (UUL) has released in 1H FY21 financial report, showing it deepened its net loss after tax
• The property development group’s revenue also decreased over the half-year period, to total just under $169,000
• However, UUL ended the half-year with an increased cash balance, rising from just under $98,000 to over $3 million by the end of December
• Activities-wise, the real estate stock is planning to buy three lots of land at a real estate development project in Japan
• It’s also signed a master lease agreement for its Cannington project, which provides the company above market average rental yields
• Shares in Ultima United are trading for $1, down 3.85 per cent

Ultima United (UUL) has released in half-year report for the 2021 financial year, showing it deepened its net loss after tax.

The property development group’s loss hit $141,281, an increase of 10 per cent compared to the $128,465 it tabled at the end of 1H FY20.

UUL’s revenue also decreased by 64 per cent over the half-year period, to total just under $169,000.

In a pleasing development for the company though, Ultima ended the half-year period with an increased cash balance.

The real estate stock’s cash on hand totalled over $3 million at the end of December, compared to the almost $98,000 it had at the end of 2019.

Meanwhile on an activities front, the real estate stock is planning to buy three lots of land at a real estate development project in Japan.

The company signed a binding letter of intent with Infinity Capital Group Japan
Development Godo Kaisha for the villas in Niseko.

Ahead of the purchase, Ultima will carry out a $20 million capital raise to help fund the acquisition.

During the half-year, UUL also signed a master lease agreement for its Cannington project, which it said provides the company above market average rental yields.

Following the release of the 1H FY21 report, shares in Ultima United are trading for $1 per share, down 3.85 per cent at 2:36 pm AEDT.