Supermarket Income REIT plc Q4 2025 Earnings Recap

Supermarket Income REIT delivered steady FY results, with rental income up 7.3% and portfolio valuation up 1.9% like-for-like. The shares rose 3.1% after the release, supported by progress on cost reduction, capital recycling and the company’s strengthened balance-sheet flexibility, although EPRA EPS declined slightly and the joint venture reduced passing rent.

Key Takeaways

• Net rental income increased 7.3% year-on-year to £115 million, with 100% occupancy and rent collection; 45 rent reviews delivered an average 3.4% uplift.
• EPRA NTA was broadly flat at 87.1p, while total accounting return was 7.2%; EPRA EPS fell slightly to 6.0p, principally reflecting disposals near the year-end.
• The £403 million Blue Owl joint venture generated £200 million of net proceeds and was completed at a 6.6% initial yield and a 3% premium to prior book values, but reduced passing rent by £14.3 million.
• The EPRA cost ratio improved to 13% from internalization, with management targeting below 9%; only one quarter of the expected management-fee savings was reflected in FY25.
• The company issued its first unsecured bond, a £250 million six-year instrument, while its £1.6 billion portfolio value rose 1.9% on a like-for-like basis.