Sirius Real Estate has published its financial results for the year ended March 2022, declaring a total dividend of 4.41 cents per share, a 16.1% increase on FY2021’s 3.80 cents per share.
“Against an ongoing period of challenging market conditions, Sirius has delivered another very positive set of annual results leading to a 20% total accounting return including a 16.1% increase in dividend for shareholders”, commented Andrew Coombs, CEO of Sirius.
“This strong operating performance was underpinned by continued demand and asset management led rental growth across both our German and UK platforms. The company grew acquisitively through the commitment of over €200 million into acquisitions in Germany, as well as the acquisition of BizSpace in November 2021 for £380 million. Further, in issuing two corporate bonds amounting to €700 million the company not only benefited from increased financial capacity but also reduced its weighted average cost of debt to 1.4%, increased its weighted average term of debt to 4.3 years and increased the value of its unencumbered properties to €1.6 billion”.
Basic headline earnings per share reduced slightly by 4.8% to 13.48 cents (FY2021: 14.16 cents) with headline earnings per share decreasing by 5.8% to 5.32 cents (FY2021: 5.65 cents).
The company reported a strong like-for-like annualised rent roll increase of 6.4% (FY2021: 5.2%) in Germany with an increased like-for-like annualised rent roll in the UK by 7.6% within its 4.5-month period of its ownership of BizSpace.
Funds from Operations (FFO) grew by 22.5% to €74.6 million (FY2021: €60.9 million) with a like-for-like book value increase of 9.4% (FY2021: 11.5%) in Germany and an increase of 10.6% relating to the 4.5-month BizSpace ownership period in the UK.
Sirius’ net asset value (NAV) per share increased by 15.5% to 102.04 cents (FY2021: 88.31 cents) with EPRA NTA per share increasing by 16.2% to 107.28 cents (FY2021: 92.29 cents).
Its loan-to-value (LTV) currently sits at 41.6% (FY2021: 31.4%) with an average cost of debt of 1.4% (FY2021: 1.5%). The company’s operating profit increased by 10.3% to €188.2 million (FY2021: €170.7 million).
The company’s board declared a dividend of 2.37 cents per share for the second six months of the reporting period, representing a pay-out of 65% of FFO, an increase of 19.7% on the 1.98 cents per share dividend for the same period in 2021.