Schroder Real Estate Investment Trust (SREI) investor relations material

Executive summary

• Achieved a NAV total return of 3.5% for the six months to 30 September 2025, with dividends up 5% year-over-year and 96% covered by recurring earnings.

• Dividend yield at 6.6%, supported by a progressive dividend policy, and NAV per share increased 0.5% to 61.9p.

• Portfolio outperformed the MSCI Benchmark, with a 0.6% relative outperformance over six months and 3.8% p.a. over three and five years.

• Strategic focus on industrial and retail warehouse sectors (64% of portfolio), driving future earnings and dividend growth.

• Recognised for sustainability leadership, topping its GRESB peer group and winning MSCI 10-year risk-adjusted return awards for UK and European funds.

Financial highlights

• Net asset value (NAV) at £302.9 million (61.9p per share), up from £301.4 million (61.6p) at 31 March 2025.

• Rental income from the direct portfolio rose 6% year-over-year to £14.0m; total rental and related income up 4% to £16.1m.

• EPRA earnings for the period were £8.4m, with dividends paid of £8.8m.

• Portfolio capital value grew 0.7% (benchmark 0.5%), with disposals achieved 5% above opening book value.

• Annualised dividend yield of 7.1% on the 30 September share price.

Outlook and guidance

• Expectation of improved transaction momentum into 2026 as inflation moderates and interest rates fall.

• Forecasting UK real estate total returns of 8–10% p.a. over the next four years.

• Dividend expected to be fully covered for the full year, with accelerated earnings growth anticipated.

• Ongoing disposals planned to reduce net loan to value (LTV) to within the 25%-35% strategic range.

• Continued focus on sustainability and active asset management to drive long-term returns.