SEGRO (SGRO)

Sector:

Property Investment Trusts

Index:

FTSE 100

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703.40p
   
  • Change Today:
      3.60p
  • 52 Week High: 719.00
  • 52 Week Low: 585.20
  • Currency: UK Pounds
  • Shares Issued: 1,091.46m
  • Volume: 1,950,794
  • Market Cap: £7,677m
  • RiskGrade: 70
  • Beta: 0.02

Focus on portfolio pays off for Segro in 2018

By Josh White

Date: Friday 15 Feb 2019

LONDON (ShareCast) - (Sharecast News) - Segro released a "strong" set of results for the year ended 31 December on Friday, reporting a 24.4% improvement in adjusted pre-tax profit to £241.5m, which it said reflected its development success and its focus on customer and portfolio management.
The FTSE 100 property investment and development company said that focus delivered high customer retention rates, like-for-like rental growth and a low vacancy rate.

Adjusted earnings per share stood at 23.4p, including a 1.2p net impact from a performance fee from SELP.

Excluding that non-recurring performance fee, Segro said its adjusted earnings per share would be 22.2p - an increase of 11.6% over 2017.

IFRS earnings per share were 105.4p, up from 98.5p, which also included the impact of the 10.7% increase in the value of the company's portfolio - down from a 13.6% increase in 2017.

Segro's EPRA net asset value per share rose 16.9% to 650p.

The board said the company's future earnings prospects were underpinned by 1.3 million square metres of development projects under construction or in advanced pre-let discussions.

It explained that the projects under construction were all due to complete in 2019, and were expected to generate £46m of rent - almost three quarters of which had been secured through pre-lets and lettings prior to completion.

Its land bank and land under control provided "significant" potential for further growth, the directors added.

The firm's full year dividend was up by 13.3% at 18.8p, after the final dividend was hiked 16.7% to 13.25p.

"2018 has been a successful year for SEGRO," said chief executive officer David Sleath.

"The extensive development activity that has been our focus over the past few years, the success of which has been underpinned by the structural themes of e-commerce and urbanisation driving occupier demand, means we now have portfolio of very high quality and well-located warehouses."

Sleath said the combination of that prime portfolio and Segro's active approach to asset management had enabled the company to grow rents and maintain high occupancy across its markets.

"Development completions and pre-leasing levels in 2018 both exceeded a record previous year and, with customers already signed up to almost three quarters of our developments under construction, we believe that our significant longer-term pipeline and land bank have substantial potential that will continue to deliver attractive development returns and future income growth."

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Note 1: Prices and trades are provided by Digital Look Corporate Solutions and are delayed by at least 15 minutes.

Note 2: RiskGrade figures are provided by RiskMetrics.

 

SEGRO Market Data

Currency UK Pounds
Share Price 703.40p
Change Today 3.60p
% Change 0.51 %
52 Week High 719.00
52 Week Low 585.20
Volume 1,950,794
Shares Issued 1,091.46m
Market Cap £7,677m
Beta 0.02
RiskGrade 70

SEGRO Star Ratings

Compare performance with the sector and the market.
more star ratings
Key: vs Market vs Sector
Value
51.47% below the market average51.47% below the market average51.47% below the market average51.47% below the market average51.47% below the market average
40.54% below the sector average40.54% below the sector average40.54% below the sector average40.54% below the sector average40.54% below the sector average
Price Trend
82.43% above the market average82.43% above the market average82.43% above the market average82.43% above the market average82.43% above the market average
89.47% above the sector average89.47% above the sector average89.47% above the sector average89.47% above the sector average89.47% above the sector average
Income
25.02% above the market average25.02% above the market average25.02% above the market average25.02% above the market average25.02% above the market average
54.29% below the sector average54.29% below the sector average54.29% below the sector average54.29% below the sector average54.29% below the sector average
Growth
76.30% above the market average76.30% above the market average76.30% above the market average76.30% above the market average76.30% above the market average
68.75% above the sector average68.75% above the sector average68.75% above the sector average68.75% above the sector average68.75% above the sector average

What The Brokers Say

Strong Buy 12
Buy 1
Neutral 5
Sell 0
Strong Sell 1
Total 19
buy
Broker recommendations should not be taken as investment advice, and are provided by the authorised brokers listed on this page.

SEGRO Dividends

  Latest Previous
  Final Interim
Ex-Div 21-Mar-19 16-Aug-18
Paid 02-May-19 28-Sep-18
Amount 13.25p 5.55p

Trades for 24-May-2019

Time Volume / Share Price
16:35 552,037 @ 703.40p
16:29 25 @ 702.20p
16:29 585 @ 701.60p
16:29 211 @ 701.60p
16:29 168 @ 701.60p

SEGRO Key Personnel

CEO David J R Sleath
COO Andy Gulliford
Chair Gerald Corbett
CFO Soumen Das

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