NewRiver Reit (NRR) H2 2026 earnings summary

Executive summary

• Strategy focused on essential, high-frequency retail destinations and disciplined capital allocation is translating into measurable operational and financial progress.

• FY 2026 marked the first full year of benefit from the Capital & Regional (C&R) acquisition, with integration completed and GBP 6.2 million of synergies delivered.

• Portfolio repositioned with 75% exposure to London retail, UK major cities, and retail parks, targeting areas of strongest rental and capital growth.

• Strong leasing demand, high occupancy, and positive leasing spreads underpin income durability and growth.

• Disciplined capital allocation, including GBP 36 million share buyback and GBP 110 million disposals at book value, supported growth and reduced leverage.

Financial highlights

• Underlying funds from operations (UFFO) increased to GBP 37.2 million, up from GBP 30.5 million year-over-year.

• Dividend per share grew to GBP 0.067 (6.7p), a 3% increase, with a yield of almost 9%.

• Total accounting return reached 9.4%, with dividend per share up 3% year-over-year.

• GBP 110 million of asset disposals at book value and GBP 36 million share buyback completed.

• Leasing versus previous passing rent up 37.3% year-over-year.

Outlook and guidance

• Targeting annualized dividend per share growth over the next three years, supported by rental growth.

• Aims for total accounting return of 9%-11% per annum through FY 2029.

• Flexible dividend policy allows smoothing through periods of higher finance costs as debt is refinanced.

• Medium-term loan-to-value (LTV) guidance set at 40% and below, with flexibility to temporarily increase for capital allocation opportunities.

• Confident in continued growth in capital partnerships and fee income.