- Harena Resources
- 17 March 2026 10:11:35
Source: Sharecast
The FTSE 250 company posted a total accounting return of 1.7% for the year ended 31 December, down from 9.1% in 2024, as value gains fell to £44.5m from £97.2m.
Operating profit declined sharply to £21.6m from £74.6m, while total property sales dropped 46.7% to £115.0m and residential plot sales fell 23% to 1,837.
Net debt rose to £145.9m from £46.7m, lifting the loan-to-value ratio to 15.6% from 5.4%.
Despite that, the group increased its portfolio value by 9.1% to £937.2m and grew EPRA net disposal value to £727.3m, with EPRA NDV per share edging up to 224.4p.
Net asset value rose 1.1% to £699.0m, while net assets per share increased to 215.6p. The total dividend per share was raised 10% to 1.775p.
Harworth delivered a total property return of 8.4%, outperforming the MSCI UK Annual Property Index’s 5.6%, supported by continued momentum in its industrial and logistics segment, which now represented 70% of portfolio value, up from 63% a year earlier.
The investment portfolio was valued at £305.0m, with vacancy reduced to 1.0% from 5.6% following strong leasing activity.
The group completed £47.7m of investment portfolio sales and 1.4m square feet of leasing, including 379,000 square feet of new leases, adding £3.7m in rent, with like-for-like rents rising 10.4%.
“I am pleased with the performance of our teams and our operational execution throughout 2025, positioning the portfolio to realise future upside potential and delivering a total property return of 8.4%, outperforming the MSCI UK Annual Property Index of 5.6%,” said chief executive Lynda Shillaw.
“As we continue to execute our strategy and reposition the portfolio towards I&L, our long-term through-the-cycle model, management actions and disciplined approach to capital deployment remain essential to creating value for shareholders, including our £1bn of EPRA NDV ambition and high-single, low double-digit total accounting return target.”
Value creation was reportedly driven by £73.6m of gains in industrial and logistics assets, partly offset by £28.7m of losses in residential major developments amid weaker housing market conditions.
Harworth continued to recycle capital through residential disposals, generating £52.0m of freehold sales and completing 1,837 plot transactions during the year.
The group also highlighted progress in developing a data centre and power-enabled land platform, with 0.8GW of power connections either conditionally secured or advancing through network operator pipelines, supporting potential near-term transactions.
Shillaw said Harworth’s land bank positions it to benefit from structural trends.
“Harworth is at the intersection of some of the UK's most powerful trends, including data, advanced technologies, reindustrialisation and clean growth.
“Land at scale, suitably zoned and power-enabled, is key to accessing emerging market opportunities such as data centres ... these represent significant progress towards both near and longer-term transactions that have the potential to deliver enhanced value gains and superior returns.”
Looking ahead, the company pointed to a strong pipeline of industrial and logistics activity, with 1.6m square feet of potential deals under discussion and a land bank capable of delivering up to 35.0m square feet of space, 75% of which is consented or in the planning system.
“While we are monitoring the conflict in the Middle East and its potential impact on the UK economy and our markets, we remain encouraged by a continued pipeline of strong interest across our I&L land and property portfolio of 1.6m square feet,” Shillaw said.
She added that the board remained confident in the group’s outlook, citing its positioning to “unlock value to crystallise attractive medium-term opportunities” and deliver “attractive shareholder returns.”
At 0945 GMT, shares in Harworth were down 2.5% at 167.7p.
Reporting by Josh White for Sharecast.com.
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