Sirius grows full-year funds from operations by 8%
CEO Andrew Coombs says the company remains well positioned ‘to fuel our accretive pipeline, supporting our next phase of growth’
03 June 2024 - 09:21
byJacqueline Mackenzie
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Sirius Real Estate-owned storage asset Heiligenhaus in Germany. Picture: SUPPLIED
Sirius Real Estate has delivered a strong performance for the year to end-March, growing funds from operations by 7.9% to €110.2m
The owner and operator of branded business and industrial parks in Germany and the UK reported profit after tax of €107.9m from €79.6m a year earlier.
Funds from operations per share rose 2.4% to 8.95c, while headline earnings per share (EPS) increased 6.6% to 8.12c.
The group reported 7.2% like-for-like rent roll growth to €188.7m, driven by strong organic growth and occupier demand in Germany and the UK.
It declared a second-half dividend of 3.05c per share, resulting in a total dividend for the year of 6.05c, up 6.5%.
During the year, the group concluded €157.8m of acquisitions and €59.7m of disposals at a premium to book value, supported by the €165.3m equity raise.
Net of costs, the company notarised or completed six UK acquisitions amounting to £90m. In Germany, it notarised or completed €53.6m of acquisitions across three transactions at an average gross yield of 10.2% and 91% occupancy, fuelling future rental growth.
“Sirius has delivered another very positive set of annual results, with a strong operational performance driving FFO [funds from operations], valuation and dividend growth in what represents our 10th year of annualised rental growth above 5% and dividend increases,” said CEO Andrew Coombs.
“Following our oversubscribed equity fundraising of €165.3m in November 2023, we have rapidly executed on our pipeline of attractive asset acquisitions in both Germany and the UK, taking advantage of market conditions with about €160m of assets bought in the past six months,” he said.
“Looking ahead, our outlook remains positive: our active asset recycling programme, strong cash position and post balance sheet issuance of €59.9m of debt means our balance sheet is in rude health,” he said.
“There remain many levers we can pull to unlock value and grow occupancy and rental income within our current portfolio through our successful asset management programme, and we remain well positioned to fuel our accretive pipeline, supporting our next phase of growth and delivering attractive returns for shareholders,” he said.
Support our award-winning journalism. The Premium package (digital only) is R30 for the first month and thereafter you pay R129 p/m now ad-free for all subscribers.
Sirius grows full-year funds from operations by 8%
CEO Andrew Coombs says the company remains well positioned ‘to fuel our accretive pipeline, supporting our next phase of growth’
Sirius Real Estate has delivered a strong performance for the year to end-March, growing funds from operations by 7.9% to €110.2m
The owner and operator of branded business and industrial parks in Germany and the UK reported profit after tax of €107.9m from €79.6m a year earlier.
Funds from operations per share rose 2.4% to 8.95c, while headline earnings per share (EPS) increased 6.6% to 8.12c.
The group reported 7.2% like-for-like rent roll growth to €188.7m, driven by strong organic growth and occupier demand in Germany and the UK.
It declared a second-half dividend of 3.05c per share, resulting in a total dividend for the year of 6.05c, up 6.5%.
During the year, the group concluded €157.8m of acquisitions and €59.7m of disposals at a premium to book value, supported by the €165.3m equity raise.
Net of costs, the company notarised or completed six UK acquisitions amounting to £90m. In Germany, it notarised or completed €53.6m of acquisitions across three transactions at an average gross yield of 10.2% and 91% occupancy, fuelling future rental growth.
“Sirius has delivered another very positive set of annual results, with a strong operational performance driving FFO [funds from operations], valuation and dividend growth in what represents our 10th year of annualised rental growth above 5% and dividend increases,” said CEO Andrew Coombs.
“Following our oversubscribed equity fundraising of €165.3m in November 2023, we have rapidly executed on our pipeline of attractive asset acquisitions in both Germany and the UK, taking advantage of market conditions with about €160m of assets bought in the past six months,” he said.
“Looking ahead, our outlook remains positive: our active asset recycling programme, strong cash position and post balance sheet issuance of €59.9m of debt means our balance sheet is in rude health,” he said.
“There remain many levers we can pull to unlock value and grow occupancy and rental income within our current portfolio through our successful asset management programme, and we remain well positioned to fuel our accretive pipeline, supporting our next phase of growth and delivering attractive returns for shareholders,” he said.
mackenziej@arena.africa
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