UK's Unite Group adjusted EPS beats on higher education demand, sells St Pancras Way

Unite

24/02/2026 07:10

Overview

UK student accommodation provider's adjusted EPS rose 2%, beating analyst expectations

Adjusted net income increased to £232.3 mln, exceeding analyst estimates

Company commenced £100 mln share buyback and sold St Pancras Way to USAF

Outlook

Unite Group expects 2026 adjusted EPS of 41.5-43.0p, reflecting lower Empiric income

Company anticipates 2026/27 rental growth at 2-3% and occupancy at 93-96%

Unite Group sees cost of debt rising to 4.3% in 2026

Result Drivers

HIGHER EDUCATION DEMAND - Growing domestic demand for higher education and improving international mobility supported Unite's performance

STRATEGIC ALIGNMENT - Increased alignment with high-tariff universities and acquisition of Empiric portfolio to enhance market position

COST MANAGEMENT - Focus on cost management and capital allocation, including share buyback and property disposals

Company press release: ID:nRSX1597Ua

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
FY Adjusted EPS
Beat
GBP 0.48
GBP 0.47 (14 Analysts)
FY Adjusted Net Income
Beat
GBP 232.30 mln
GBP 221.85 mln (10 Analysts)
FY EPRA NTA Per Share
GBP 9.55
FY NAV Per Share
GBP 9.66
FY Pretax Profit
GBP 97.70 mln


Analyst Coverage

The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 10 "strong buy" or "buy", 6 "hold" and no "sell" or "strong sell"

The average consensus recommendation for the residential reits peer group is "buy"

Wall Street's median 12-month price target for Unite Group PLC is GBp670.00, about 15.9% above its February 23 closing price of GBp578.00

The stock recently traded at 13 times the next 12-month earnings vs. a P/E of 12 three months ago

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.

(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.)