Landsec boosts profit, outlines investment plans

Landlord firm Landsec swung to a profit for the year ended March 31, 2025, as its like-for-like net rental income rose 5 percent. The company reported a profit of 393 million pounds for the period, up from a loss of 341 million pounds in the year prior. Its net sales rose 3.4 percent year-on-year, alongside a 0.4 percent increase in footfall across all retail destinations.

While net rental income fell ahead of guidance, the company’s earnings after adjusting for property revolution (EPRA) earnings per share (EPS) was up 0.4 percent to 50.3 pence, in line with expectations. Its overall EPRA earnings increased three million pounds to 374 million pounds over the year.

In a filing, Landsec chief executive, Mark Allan, expressed positivity over the reported financials, particularly in looking ahead, when he said that the current trend of a “healthy pipeline of occupier demand” was “set to continue, providing a clear trajectory for further near and medium-term EPS growth”.

To maintain its portfolio quality, Landsec is to continue focusing on its “proactive and successful capital recycling”, Allan noted, ensuring that the growth outlook for the group in three to five years is “as positive as it is for our current portfolio today”.

Landsec thus plans to increase investment in major retail by a further one billion pounds and establish a two billion pound residential platform by 2030, to be funded by rotating three billion pounds of capital out of offices, non-core investments and low or non-yielding pre-development assets.

Allan continued: “Delivering on this strategy, whilst continuing to drive sustainable income and EPS growth, is our priority and we are firmly underway."