StockMarketWire.com - Property developer British Land resumed its dividend and said it would pay dividends semi-annually rather than quarterly.

The company resumed its dividend despite reporting wider losses in the first half of the year as lower net rental income and a fall in the value of its portfolio of retail properties, owing to the pandemic impact, weighed on performance.

For the six months ended 30 September, pre-tax losses widened to £757 million from £440m year-on-year as revenue slipped to £255m from £328m.

Net rental income fell to £191m from £243m, while the portfolio value was down 7.3%, with offices down 3.1% and retail down 14.9%, while developments were 'broadly flat,' the company said.

'Covid-19 has had a significant impact on retail, which was already facing structural challenges as a result of the growth of online,' it added.

The interim dividend was cut to 8.4p per share from 15.97p a share.

Looking ahead, the company said leasing volumes in its offices segment were 'likely to be lower as we expect customers to continue to defer decisions and extend existing leases where they can.'

In a separate note, the company said it had completed the sale of Clarges Mayfair to Deka for £177 million, 7.6% above the September 2020 valuation.

Story provided by StockMarketWire.com