UK's NewRiver REIT FY26 prelim underlying FFO rises 22% after acquisition

Newriver Reit

02/06/2026 07:27

Overview
UK retail property owner's preliminary FY26 underlying funds from operations (UFFO) rose to £37.2 mln, up from prior year
Company completed 10% share buyback, supporting UFFO and net tangible assets (NTA) per share
Portfolio like-for-like valuation grew 0.7%, IFRS profit after tax increased to £31.7 mln

Outlook
Company expects higher finance costs over next 3 yrs to be offset by rental growth
Company says essential and value-led retail spending remains resilient despite consumer confidence softening

Result Drivers
C&R ACQUISITION - Full-year contribution from Capital & Regional acquisition drove UFFO and profit growth, with £6.2 mln of annual net cost synergies unlocked
LEASING MOMENTUM - Strong leasing activity, with long-term transactions at +8.5% above ERV and +37.3% above previous passing rent, supported rental growth
PORTFOLIO DISCIPLINE - Asset disposals at book value and a 10% share buyback supported per-share UFFO and NTA growth

Company press release: ID:nRSB5500Ga

Key Details
Metric
Beat/Miss
Actual
Consensus Estimate
FY Underlying FFO
 
GBP 37.2 mln
 

Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 3 "strong buy" or "buy", 1 "hold" and no "sell" or "strong sell"
The average consensus recommendation for the commercial reits peer group is "buy"
Wall Street's median 12-month price target for Newriver Reit PLC is GBp93.00, about 20.8% above its June 1 closing price of GBp77.00
The stock recently traded at 9 times the next 12-month earnings vs. a P/E of 9 three months ago

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)