Land Securities swings to profit on growing demand; Lifts EPS guidance
By Frank Prenesti
Date: Friday 15 Nov 2024
(Sharecast News) - Land Securities returned to profit and lifted guidance in the six months to September as the property market continued to recover, underpinned by growing rental demand and occupancy.
Pre-tax profit came in at £243m, compared with a loss of £193m a year earlier. The company also lifted guidance for EPRA full-year earnings.
LandSec said leasing reversion across major retail portfolios turned positive for the first time last year and "has further improved since, hence we expect rental uplifts to continue to grow".
Like-for-like net rental income growth expectations were increased to around 4% from May's guidance of 2.8%.
"Combined with our focus on managing costs, this means we raise our guidance for EPRA earnings per share for full-year 2025 and now expect EPS to be in line with last year's 50.1 pence, despite £0.5bn of net disposals over the past year," the company said.
"Whilst global geopolitical uncertainty has increased, for the UK the general election over the summer has created an element of political stability that has eluded the country for nearly a decade, ever since the EU referendum."
"Whilst political decisions always require an element of compromise, we are mindful of the risk that the cost of increased taxes could slow down business decision-making."
"The new government's ambition to drive growth is admirable though and unlocking urban residential development appears a key part of its focus, which should bode well for the prospects of our growing residential pipeline."
Reporting by Frank Prenesti for Sharecast.com
Email this article to a friend
or share it with one of these popular networks:
You are here: news
10 Lower Thames St,
London EC3R 6EN