- Real Estate Investors
- 24 March 2026 15:38:06
Source: Sharecast
Revenue declined to £9.4m in the year ended 31 December from £10.8m, while underlying profit before tax fell to £2.9m from £3.4m.
The AIM-traded group reported a pre-tax loss of £0.8m, compared with a £2.4m loss in 2024, primarily reflecting a reduced non-cash revaluation deficit of £3.0m.
EPRA net tangible assets per share decreased to 49.1p from 51.3p, while EPRA earnings per share fell to 1.7p from 1.9p.
The company declared a total dividend of 1.6p per share, down from 1.9p, but said it remained fully covered, equating to a yield of 5.2%.
It said it continued to execute its disposal programme, completing or contracting sales of £8.0m during the year at 95.9% of December 2024 valuations.
Proceeds were used to reduce debt by £5.0m to £34.2m, with the loan-to-value ratio improving to 24.8% net of cash from 26.4%.
The average cost of debt declined to 5.75% from 6.5%.
Its property portfolio comprised 34 assets valued at £115.7m, with like-for-like valuation down 2.6% to £113.3m.
Contracted rental income fell to £8.3m from £9.0m, reflecting disposals, while occupancy declined to 78.7% from 82.0%.
However, the weighted average unexpired lease term improved to 6.01 years to break and 7.50 years to expiry.
Post period-end, the company said it has £5.4m of disposals in legal process and £61.5m of assets actively being marketed, with a further £47.2m expected to be sold in 2026.
Debt was reduced further to £33.2m following an additional £1.0m repayment, and banking facilities have been extended to 2027 to support the disposal strategy.
“Since announcing our orderly sales programme in January 2024, the market has seen unprecedented low levels of investment sales activity throughout 2024-2025 and a particularly slow fourth quarter caused by the uncertainty in the lead up to the November UK Budget,” said chief executive Paul Bassi.
“This has resulted in our sales and debt repayment being slower than anticipated.”
He added that the company remained focussed on completing its three-year disposal plan and returning capital to shareholders, noting management was “open to all options that align with the best interests of shareholders, including the sale of the entire portfolio.”
The board said it would determine the level of dividend for 2026 based on the pace of disposals, while continuing to prioritise debt reduction and capital returns.
At 1310 GMT, shares in Real Estate Investors were down 1.48% at 29.46p.
Reporting by Josh White for Sharecast.com.
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