For the six months to 31st May 2010 the children’s literature artwork investor Storyboard Assets has posted a £42,842 loss. This was down on the £50,080 loss posted in the first half of the previous year mainly due to the company booking in £8,400 of lease income. Storyboard believes that a break even position is achievable in the current year through a combination of increased lease income and portfolio churn.

On the balance sheet net assets rose by 48% to £421,183, the majority of the rise coming from an increase in cash holdings – Storyboard raised £180,492 in a private placing in February. The company’s investment portfolio rose in value by 14% to stand at £332,145 at the period end. There were no artwork sales during the period.

Following the period end Storyboard has acquired artwork by EH Shepard from Kenneth Graeme’s the Wind in the Willows – Rat rowing his boat accompanied by Mole. In addition, the company has bought the preliminary drawings by Beatrix Potter for the Story of a Fierce Bad Rabbit.

With the shares now at 25p Storyboard Assets is capitalised at just £0.31 million – a 26% discount to net assets as at 31st May. CEO Luke Heron has already demonstrated that he can create significant value, selling a piece, “Tintin et Milou” for a 70% return just over a year after buying it. If he can continue to do that with the rest of the collection then there should be value to be had in the shares at this level. One to watch.