Growthpoint Properties (GRT) investor relations material

Executive summary

• Distributable income per share increased 4.3% to ZAR 152.6 cents, and dividend per share rose 7.4% to ZAR 133.5 cents, with a payout ratio of 87.5%.

• Group assets grew 2.8% to ZAR 160.1 billion; NAV per share up 3.8% to 2,131 cents.

• Portfolio remains South Africa-centric (49% of assets, 55% of distributable income), with significant contributions from V&A Waterfront and offshore investments (22.1% of DIPS, 35.6% of assets).

• Ongoing strategy to dispose of underperforming assets and reinvest in modern, efficient properties, especially logistics and industrial.

• Group LTV improved to 38.7% from 40.1%; ICR strengthened to 2.63x.

Financial highlights

• Distributable income increased by ZAR 216 million (4.4%) to ZAR 5.18 billion, translating to 152 cents per share.

• ZAR 5.7 billion in unutilized facilities and ZAR 323 million in cash at year-end.

• Sold 29 assets for ZAR 4.9 billion; invested ZAR 1.3 billion in developments.

• V&A Waterfront's distributable income grew 19.1% to ZAR 965 million, with strong operational performance.

• GOZ net distribution received was ZAR 946.1 million, payout ratio 78.2%.

Outlook and guidance

• FY2027 guidance for distributable income and dividend growth is 1%-3%, with a maintained payout ratio of 87.5%.

• Lower growth expected due to dilution from asset disposals, challenging office sector, and normalization of one-off gains at V&A Waterfront.

• Interest rates expected to remain high; two rate hikes modeled in forecasts.

• V&A Waterfront anticipates double-digit operating profit growth in FY27, excluding one-off residential sales.

• RSA development pipeline estimated at ZAR 2.0–3.0 billion per year for the next five years, focused on logistics, office, and retail.