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abrdn UK Smaller Companies Growth Trust PLC on Friday reported ‘disappointing’ annual results, but increased its total dividend.
The Aberdeen-Scotland based investment fund said net asset value on June 30 was 482.95 pence per share, down 8.9% from 530.37p per share the year before.
abrdn reported a NAV total return of negative 7.4%, showing an improvement from the negative 27% recorded in financial 2022.
However, the firm underperformed its benchmark, the Numis Smaller Companies plus AIM Index of negative 2.8%. The investment fund cited ‘unprecedented low interest rates and loose monetary conditions.’
Pretax loss narrowed to £38.6 million from £192.4 million the year before. This was partly driven by higher administrative expenses of £1.1 million, as well as finance costs, which rose by 18% to £1.3 million.
abrdn raised its dividend for the financial year by 36% to 11.00p from 8.10p a year ago.
Looking ahead, abrdn said despite a weaker economy, it expects to generate strong returns from smaller firms.
Shares in abrdn were down 0.1% at 409.50 pence each in London on Friday morning.
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