Full Year Trading Update
Summary by AI BETAClose X
NewRiver REIT plc
("NewRiver" or the "Company")
Full Year Trading Update
Capital & Regional successfully integrated, operational outperformance and balance sheet strengthened
NewRiver today provides a trading update for the year ended 31 March 2026 ahead of its Full Year Results, which will be announced in June 2026.
|
● |
Capital & Regional ("C&R") assets successfully integrated and delivering growth during first full year of ownership: cost synergies unlocked and London retail weighting increased to 43% of portfolio |
|
● |
Operational outperformance reflecting continued strength of underlying occupiers and portfolio position |
|
● |
Continued valuation growth in H2, representing third consecutive half year period of growth |
|
● |
Balance sheet further strengthened through recent refinancing, which along with disposal activity, has reduced LTV to close to medium-term guidance level of <40% |
|
● |
FY26 Underlying Funds From Operations ('UFFO') per share and EPRA Net Tangible Assets ('NTA') per share expected to be in-line with analyst consensus1 |
Allan Lockhart, Chief Executive, commented: "Our first full year of ownership of the Capital & Regional portfolio has delivered against the strategic objectives of the transaction. Integration is complete, all of the identified synergies have been delivered and the enlarged portfolio has generated positive operational momentum and continued valuation growth.
We have combined this with disciplined capital allocation, disposing of assets at book value, executing an accretive share buyback, and completing a refinancing that returns the Group to a fully unsecured debt structure with extended maturities.
Against a more volatile macro backdrop, NewRiver is well-positioned. The portfolio has been strengthened, and we have the platform, pipeline, and balance sheet to deliver growth."
Capital & Regional acquisition delivering growth: synergies unlocked and London retail weighting increased
|
● |
C&R assets fully integrated onto NewRiver's platform; £6.2 million of annual net cost synergies unlocked |
|
● |
London retail weighting increased to 43% of portfolio. London retail long-term leasing transactions at +12.8% vs ERV, +31.8% above previous passing rent, and capital value growth of +2.0% in FY26 |
|
● |
Snozone delivered another year of growth, with full year EBITDA of £3.2 million up +10% year-on-year |
Operational outperformance reflecting continued strength of underlying occupiers and portfolio position
|
● |
930,700 sq ft of leasing in FY26; 185 long-term transactions secured £9.1 million of annual rent at +8.5% vs ERV, +37.3% above previous passing rent, with a WALE of 9.0 years |
|
● |
High occupancy maintained at 95.0%; tenant retention remains strong at 92.7% |
|
● |
Consumer spending2 across the portfolio grew +2.3% in Q4 (to March 2026), ahead of the benchmark (+0.8%). Groceries (+7.2%) and Discount (+9.8%) within our portfolio remained strong - reinforcing the resilience of our essential, everyday retail focus |
Disciplined capital allocation, disposals at book value and continued valuation growth
|
● |
Portfolio capital values increased +0.5% in H2 and +0.7% on a like-for-like basis for FY26 |
|
● |
Retail disposals of £110 million in-line with March 2025 book values, including H2 sales of The Marlowes in Hemel Hempstead, Sprucefield Retail Park in Lisburn and Cuckoo Bridge Retail Park in Dumfries |
|
● |
A proportion of FY26 disposal proceeds were recycled into a 10% share buyback which was accretive to both UFFO and Net Tangible Assets on a per share basis |
|
● |
Following the C&R acquisition, FY26 disposals and the repositioning of the Capitol Centre, Cardiff, the portfolio is now 76% Core Shopping Centres, 20% Retail Parks, 3% Regeneration and only 1% Work Out |
|
● |
LTV reduced to close to 40% guidance and cash increased to c.£115 million, providing additional balance sheet strength |
£240m refinancing: longer maturities, returning to a fully unsecured debt structure
|
● |
New £240 million unsecured facility agreed in April 2026: £120 million Term Facility Commitment (matures in April 2030, extendable to April 20333) at a margin of 190 bps and £120 million Revolving Credit Facility ("RCF") (matures in April 2031, extendable to April 20333) at a margin of 175 bps |
|
● |
The Term Facility will refinance the secured £140 million Mall Facility in January 2027, which was retained following the C&R acquisition due to its attractive 3.5% coupon; delayed draw structure delivers a saving of approximately £1.4 million in FY27 vs drawing the facility immediately |
|
● |
The RCF is £20 million larger than the facility it replaces with a significant margin reduction |
|
1. |
Current analyst consensus for 31 March 2026 UFFO is £37.2 million / 8.3 pence per share, ranging from £36.9 million to £37.7 million / 8.3 pence per share to 8.5 pence per share. Current analyst consensus for 31 March 2026 EPRA NTA per share is 107 pence per share, ranging from 105 pence per share to 108 pence per share. Consensus comprises Berenberg, Jefferies, Panmure Liberum, Peel Hunt & Shore Capital |
|
2. |
NewRiver analysis, informed by Lloyds Bank data on consumer spend representing 93% of the NewRiver portfolio by value |
|
3. |
Extensions subject to lender approval. Further detail of refinancing set out in separate RNS dated 17 April 2026 |
For further information
|
NewRiver REIT plc |
|
|
|
+44 (0)20 3328 5800 |
|
Allan Lockhart (Chief Executive) Will Hobman (Chief Financial Officer) |
|
|
|
|
|
FTI Consulting |
|
|
|
+44 (0)20 3727 1000 |
|
Dido Laurimore Eve Kirmatzis |
|
|
|
|
About NewRiver
NewRiver REIT plc ('NewRiver') is a leading Real Estate Investment Trust specialising in buying, managing and developing resilient retail assets throughout the UK. Following the completion of its acquisition of Capital & Regional in December 2024, NewRiver has a £0.8 billion UK wide portfolio covering 7.0 million sq ft, comprising 24 community shopping centres and 11 conveniently located retail parks occupied by tenants predominately focused on essential goods and services. In addition, we manage 16 shopping centres and 16 retail parks on behalf of Capital Partners, taking our total Assets Under Management to £2.1 billion. Our objective is to own and manage the most resilient retail portfolio in the UK, focused on retail parks, core shopping centres and regeneration opportunities to deliver long-term attractive recurring income returns and capital growth for our shareholders.
NewRiver is listed on the Equity shares (commercial companies) category of the Main Market of the London Stock Exchange (ticker: NRR). Visit www.nrr.co.uk for further information.
LEI Number: 2138004GX1VAUMH66L31
RNS may use your IP address to confirm compliance with the terms and conditions, to analyse how you engage with the information contained in this communication, and to share such analysis on an anonymised basis with others as part of our commercial services. For further information about how RNS and the London Stock Exchange use the personal data you provide us, please see our Privacy Policy.
Latest directors dealings
- 2 minutes ago Judges Scientific
- 12 minutes ago AB Dynamics
- 14 minutes ago Henry Boot
- 28 minutes ago TPXimpact Holdings
- 51 minutes ago Ithaca Energy