Sirius Real Estate delivers €201.6m profit in strong FY25

Top 3 Highlights

• FFO up 11.8% to €123.2m as Sirius posts 12th consecutive dividend hike
• €270m invested in high-yield acquisitions across Germany and the UK
• Portfolio value rises 12.6% to €2.49bn on strong asset management gains

Who Is Sirius Real Estate?

Sirius Real Estate is a JSE- and LSE-listed property company and a leading owner-operator of branded business and industrial parks across Germany and the UK.

The Group provides flexible workspace and conventional space to over 10,400 tenants across 145 properties. Its active asset management model drives rental growth and capital value through upgrades, repositioning, and strategic acquisitions.

FY2025 Performance Highlights

Sirius Real Estate delivered a strong set of results for the year ended 31 March 2025, supported by robust occupier demand, operational excellence, and timely acquisitions:

• Profit before tax surged 75% to €201.6m, driven by an €81.0m uplift from asset management-led valuation gains
• FFO (Funds from Operations) rose 11.8% to €123.2m, supporting the 23rd consecutive dividend increase
• Like-for-like rent roll grew by 6.3% to €205.6m, reflecting strong organic rental growth
• Investment property value climbed 12.6% to €2.49bn
• Operating profit increased 65.2% to €215.9m
• Adjusted NAV per share rose by 7.0% to 118.89c

Sirius also maintained portfolio yields with group EPRA net initial yield at 6.9%, while net loan-to-value dropped to 31.4%, improving balance sheet flexibility.

Active Capital Deployment & Strategic Recycling

The company completed €270m in new acquisitions and €46m in strategic disposals:

• UK Acquisitions: £141.5m (€168.7m) across six sites with 93.2% occupancy and a gross yield of 10.7%
• Germany Acquisitions: €101.3m invested at a 9.9% average yield, providing rental uplift potential
• Disposals: €46.3m from non-core assets sold at a premium to book value

With a cash position of €571.3m and successful equity and bond raises, Sirius is well-positioned to pursue accretive deals.

CEO Quote: Andrew Coombs

“This has been another strong year of delivery for Sirius, reflected in our 12th straight year of dividend growth. We’ve leveraged our platform to secure high-yielding assets and drive operational growth while preparing to capture upside from major macro shifts, including the expected €400bn German defence and infrastructure investment. With the cycle potentially at its trough, we’re prioritising acquisitions and value creation from our portfolio.”

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Outlook: Seizing the Opportunity Before the Cycle Turns

Sirius enters FY2026 trading in line with expectations. With significant capital on hand, the Group plans to capitalise on the current window for opportunistic acquisitions before the next up-cycle takes hold.

Organic rental growth remains strong, while defence and infrastructure spending in both Germany and the UK could unlock new demand for Sirius’ warehouse and industrial assets. The company is actively positioning to benefit from these trends.

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