Sirius Real Estate on hunt for more acquisitions as Germany emerges from pandemic

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Sirius Real Estate (LON:SRE), the German business park specialist, increased its final dividend by 10% for the year to 31 March 2021 as assets and profits rose in spite of the restrictions imposed by the coronavirus.

Net assets per share increased by 14.2% to 88.31c (2020: 77.35c) with profits rising 48% to EUR163.7mln, which included EUR104mln from property revaluations.

Rental income rose by 7.6% to EUR97.2mln with a 5.2% rise like-for-like and 98.2% collection. Occupancy also rose to 86.9%.

Andrew Coombs, chief executive, said they were strong results against the challenging backdrop of the pandemic.

“Our diverse EUR1.3bn portfolio of business and industrial parks located in and around Germany’s main cities offers a flexible range of uses that continue to be attractive to our broad occupier base which comprises both large domestic and international businesses, as well as the SMEs that are the engine room of the German economy.

“This is evidenced clearly by the rental increases we achieved this year, which have contributed to the strong growth in profitability and FFO we have reported today.”

Sirius made six acquisitions during the year at a cost of EUR125.8mln, one of including one through its joint venture with Axa.

Coombs added it is looking at other opportunities given its balance sheet strength.

At the year-end, Sirius had EUR49.3mln of free cash along with EUR13.1mln of undrawn capex-related facilities.

The total dividend for the year rises by 6.4% to 3.8c.


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