Waypoint (WPR) H2 2025 earnings summary

Executive summary

• Distributable EPS for FY25 was 16.64 cents (AUD 0.1664), up 1% year-over-year and in line with guidance.

• Statutory net profit rose to $200.1 million, driven by $102.2 million in property revaluation gains.

• NTA per security increased 5% to $2.90 as of 31 December 2025.

• Six non-core assets were sold for $40.6 million at a 0.4% discount to book value, funding 80% of the buyback.

• 97% retention rate on FY26 lease expiries, with 11.7% average rental uplift on renewals.

Financial highlights

• Rental income grew to $165.5 million (+$3.2 million), with like-for-like rental growth of 3%, partially offset by asset sales.

• Operating EBIT was $155.2 million, up $2.6 million year-over-year.

• MER remained stable at 30 basis points, among the lowest in the S&P/ASX 200 REIT Index.

• Gearing stable at 32.7%, at the lower end of the 30–40% target range.

• Weighted average cost of debt increased to 4.8%, below the 5% guidance.

Outlook and guidance

• FY26 distributable EPS guidance is 17.14 cents, representing 3% growth.

• Targeting $10–20 million in non-core asset sales per year, subject to market conditions.

• 90% of FY26 debt is hedged, providing cost certainty; cost of debt expected to rise to ~5%.

• Exploring early refinancing to further reduce debt costs.

• Expectation of continued market caution, especially for secondary assets, due to potential rate increases.