Results for the six-months ended 30 September 2024

In 1H25, the Group has made significant progress in executing its stated strategy, with many of these initiatives expected to start delivering results in 2H25 and beyond

Several transactions undertaken and in progress in the Group’s funds and asset management business

Half year results were in line with guidance, with DIPS declining by 3.0% to 49.53cps (Sep-23: 51.07cps)

The dividend payout ratio at 1H25 was 90% with a total dividend of 44.58cps (Sep-23: 48.52cps)

The results were underpinned by stable operational performances from the South African and European businesses, with LFL NOI marginally declining by 1.2% in the South African portfolio and increasing by 1.1% (in EUR) in the PEL portfolio (c.8% in ZAR)

Fee revenue grew by 54.5% over the period to R34 million (Sep-23: R22 million), amounting to 8.5% of distributable earnings (Sep-23:5.4%). The Group expects the funds and asset management initiatives to have a significant impact to earnings over the next few years

The Group continued to maintain its cost discipline, reducing Group expenses by 5.2% during the period

The Group’s balance sheet was significantly bolstered

The Group’s adjusted LTV is expected to reduce to c.33.5% post the implementation of the Blackstone Transaction (Mar-24: adjusted LTV of 44.0%). Look-through gearing will reduce from 58% to c.41%

Successful refinancing of R6.6 billion of Group ZAR and EUR debt in August 2024 that has improved margin, extended the debt profile and provided greater flexibility with respect to sales and facility settlement

NAV decreased by 9.7% to R13.95ps (Mar-24: R15.45ps) largely because of a decrease in the on-balance sheet PEL investment value (due to the derecognition of the portfolio premium) and strengthening of the Rand