REG - NewRiver REIT plc - Full Year Trading Update

Newriver ReitAnnouncement

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RNS Number : 6923C  NewRiver REIT PLC  01 May 2026

 

NewRiver REIT plc

("NewRiver" or the "Company")

 

Full Year Trading Update

 

Capital & Regional successfully integrated, operational outperformance and
balance sheet strengthened

 

NewRiver today provides a trading update for the year ended 31 March 2026
ahead of its Full Year Results, which will be announced in June 2026.

 ●    Capital & Regional ("C&R") assets successfully integrated and
      delivering growth during first full year of ownership: cost synergies unlocked
      and London retail weighting increased to 43% of portfolio
 ●    Operational outperformance reflecting continued strength of underlying
      occupiers and portfolio position
 ●    Continued valuation growth in H2, representing third consecutive half year
      period of growth
 ●    Balance sheet further strengthened through recent refinancing, which along
      with disposal activity, has reduced LTV to close to medium-term guidance level
      of <40%
 ●    FY26 Underlying Funds From Operations ('UFFO') per share and EPRA Net Tangible
      Assets ('NTA') per share expected to be in-line with analyst consensus(1)

 

Allan Lockhart, Chief Executive, commented: "Our first full year of ownership
of the Capital & Regional portfolio has delivered against the strategic
objectives of the transaction. Integration is complete, all of the identified
synergies have been delivered and the enlarged portfolio has generated
positive operational momentum and continued valuation growth.

 

We have combined this with disciplined capital allocation, disposing of assets
at book value, executing an accretive share buyback, and completing a
refinancing that returns the Group to a fully unsecured debt structure with
extended maturities.

 

Against a more volatile macro backdrop, NewRiver is well-positioned. The
portfolio has been strengthened, and we have the platform, pipeline, and
balance sheet to deliver growth."

 

Capital & Regional acquisition delivering growth: synergies unlocked and
London retail weighting increased

 ●    C&R assets fully integrated onto NewRiver's platform; £6.2 million of
      annual net cost synergies unlocked
 ●    London retail weighting increased to 43% of portfolio. London retail long-term
      leasing transactions at +12.8% vs ERV, +31.8% above previous passing rent, and
      capital value growth of +2.0% in FY26
 ●    Snozone delivered another year of growth, with full year EBITDA of £3.2
      million up +10% year-on-year

 

Operational outperformance reflecting continued strength of underlying
occupiers and portfolio position

 ●    930,700 sq ft of leasing in FY26; 185 long-term transactions secured £9.1
      million of annual rent at +8.5% vs ERV, +37.3% above previous passing rent,
      with a WALE of 9.0 years
 ●    High occupancy maintained at 95.0%; tenant retention remains strong at 92.7%
 ●    Consumer spending(2) across the portfolio grew +2.3% in Q4 (to March 2026),
      ahead of the benchmark (+0.8%). Groceries (+7.2%) and Discount (+9.8%) within
      our portfolio remained strong - reinforcing the resilience of our essential,
      everyday retail focus

 

Disciplined capital allocation, disposals at book value and continued
valuation growth

 ●    Portfolio capital values increased +0.5% in H2 and +0.7% on a like-for-like
      basis for FY26
 ●    Retail disposals of £110 million in-line with March 2025 book values,
      including H2 sales of The Marlowes in Hemel Hempstead, Sprucefield Retail Park
      in Lisburn and Cuckoo Bridge Retail Park in Dumfries
 ●    A proportion of FY26 disposal proceeds were recycled into a 10% share buyback
      which was accretive to both UFFO and Net Tangible Assets on a per share basis
 ●    Following the C&R acquisition, FY26 disposals and the repositioning of the
      Capitol Centre, Cardiff, the portfolio is now 76% Core Shopping Centres, 20%
      Retail Parks, 3% Regeneration and only 1% Work Out
 ●    LTV reduced to close to 40% guidance and cash increased to c.£115 million,
      providing additional balance sheet strength

 

£240m refinancing: longer maturities, returning to a fully unsecured debt
structure

 ●    New £240 million unsecured facility agreed in April 2026: £120 million Term
      Facility Commitment (matures in April 2030, extendable to April 20333) at a
      margin of 190 bps and £120 million Revolving Credit Facility ("RCF") (matures
      in April 2031, extendable to April 20333) at a margin of 175 bps
 ●    The Term Facility will refinance the secured £140 million Mall Facility in
      January 2027, which was retained following the C&R acquisition due to its
      attractive 3.5% coupon; delayed draw structure delivers a saving of
      approximately £1.4 million in FY27 vs drawing the facility immediately
 ●    The RCF is £20 million larger than the facility it replaces with a
      significant margin reduction

 

 1.                          Current analyst consensus for 31 March 2026 UFFO is £37.2 million / 8.3 pence
                             per share, ranging from £36.9 million to £37.7 million / 8.3 pence per share
                             to 8.5 pence per share. Current analyst consensus for 31 March 2026 EPRA NTA
                             per share is 107 pence per share, ranging from 105 pence per share to 108
                             pence per share. Consensus comprises Berenberg, Jefferies, Panmure Liberum,
                             Peel Hunt & Shore Capital
 2.                          NewRiver analysis, informed by Lloyds Bank data on consumer spend representing
                             93% of the NewRiver portfolio by value
 3.                          Extensions subject to lender approval. Further detail of refinancing set out
                             in separate RNS dated 17 April 2026

 

 

For further information

 

 NewRiver REIT plc                             +44 (0)20 3328 5800
 Allan Lockhart (Chief Executive)

 Will Hobman (Chief Financial Officer)

 

 

 FTI Consulting        +44 (0)20 3727 1000
 Dido Laurimore

 Eve Kirmatzis

 

 

About NewRiver

 

NewRiver REIT plc ('NewRiver') is a leading Real Estate Investment Trust
specialising in buying, managing and developing resilient retail assets
throughout the UK. Following the completion of its acquisition of Capital
& Regional in December 2024, NewRiver has a £0.8 billion UK wide
portfolio covering 7.0 million sq ft, comprising 24 community shopping centres
and 11 conveniently located retail parks occupied by tenants predominately
focused on essential goods and services. In addition, we manage 16 shopping
centres and 16 retail parks on behalf of Capital Partners, taking our total
Assets Under Management to £2.1 billion. Our objective is to own and manage
the most resilient retail portfolio in the UK, focused on retail parks, core
shopping centres and regeneration opportunities to deliver long-term
attractive recurring income returns and capital growth for our shareholders.

 

NewRiver is listed on the Equity shares (commercial companies) category of the
Main Market of the London Stock Exchange (ticker: NRR). Visit www.nrr.co.uk
for further information.

 

LEI Number: 2138004GX1VAUMH66L31

 

 

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