European Investment Trust's interim NAV outperforms benchmark

27th May 2015 10:14

The European Investment Trust (EIT) said revenue edged higher in the first half of the year buoyed by improving conditions in the Eurozone.EIT cited deflation in the Eurozone, falling oil prices and the European Central Bank's quantitative easing programme as the reasons for improved business and consumer confidence in the region, though it warned the situation remained volatile.The London-listed company said revenue in the six months to 31 March rose 10.8% year-on-year to 3.58p per share, while the company's net asset value (NAV) per share rose 10.8% on a total return basis compared with a 9.3% rise in the FTSE All-World Europe ex-UK Index.However, the group warned that its interim revenue was not indicative of full-year return, as many European companies pay their dividends between April and September, while company's expenses are incurred throughout the financial year."The outlook for economic growth and European corporate profits is positive," the company said in a statement."We are still at an early stage in the economic cycle in Europe and the impact of stimulus from the quantitative easing programme has just started."EIT shares were up 0.90% to 840.00p at 10:35 on Wednesday.