Burstone Group Limited · JSE:BTN
Burstone — H1 2026 Earnings Presentation
53 slides from Burstone's earnings presentation, Nov 19, 2025
Slide 1: Interim Results 30 September 2025
Transform potential TWENTY INTERIM RESULTS 30 September 2025
Slide 2: Burstone at a glance as at 1H26
Burstone at a glance as at 1H26 We are a fully integrated international real estate investor and funds and asset management business 30 years + R42.4bn R23.8bn R10.5bn 50+ 9 Track record Total portfolio 3rd-party GAV2 3rd-party EUM3 Real estate Countries (GAV)1 professionals Investing in value enhan
Slide 3: FY26 Strategic objectives and progress
FY26 Strategic objectives and progress Strategic objective Priority Progress • Strong performance from South Africa Drive underlying real estate Optimise current portfolio • Stable performance in Europe performance • Earnings momentum in Australia • Early stages of Blackstone strategic partnership –
Slide 4: 1H26 Strategic highlights
1H26 Strategic highlights Group performance in line with Underlying real estate Funds and asset management mid-point of guidance investments delivering growth momentum ` • DIPS growth of 3.0% YoY • South Africa: c. R13.5bn direct real estate • R58m in fee income - contributing 14.1% to • Dividend pa
Slide 5: Underlying real estate
Underlying real estate Active asset management creating value South Africa Europe (PEL) Australia Delivering LFL Base NOI growth of 5.3% Stable operations - LFL earnings in line Australian investment strategy starting for the first half as SA rebounds with prior year to deliver, with meaningful cont
Slide 6: Funds and asset management
Funds and asset management Gaining traction internationally South Africa Europe Australia Committed to delivering SA Core Plus Capital deployment slower than Proof of concept and accelerating platform anticipated momentum • Final approvals from cornerstone • Early stages of relationship with • JV wi
Slide 7: Financial results
Financial results 7
Slide 8: Six months of stable and consistent performance
Six months of stable and consistent performance Group operations Balance sheet Interim results Stable operational Building balance sheet capacity in line with guidance performance c. R0.5bn of SA asset sales pending DIPS up 3.0% to 51.07cps SA LFL NOI: up 5.3% transfers to create “firepower” for (1H
Slide 9: Distributable earnings
Distributable earnings Up 3% Rm 25 139 411 399 1 (39) 24 7 4 14 3 2 (158) 1H25 SA - LFL NOI SA - Disp/Acq PEL - BX transaction Australia Fee income Overheads Net finance costs 1H26 Notes: 1. Impact of assets disposed in the prior year 2. Impact of the completion of the Blackstone transaction 3. Sign
Slide 10: Gearing remains stable with pro-forma LTV of 39.0%
Gearing remains stable with pro-forma LTV of 39.0% 2.9% 40.9% 0.6% 4 39.0% 0.7% 0.5% 3 (1.9%) 36.3% 1 2 Capex, FV and Aus deployment Deferred payment 1H26 Actual 1H26 Pro-forma FY25 Pro-forma Rescinded sales MTM, FX and Amort of intangibles SA Sales - Pro forma Notes: 1. Australia co-invest in Glend
Slide 11: Net asset value driven by non-cash movements
Net asset value driven by non-cash movements Rm 91186 484 31 1 (38) 2 9 284 986 (193) SA FV gain Amortisation, Working capital, FY25 EU adjustments MTM & FX 1H26 Notes: 1. EU Manco call option fair value gain driven by reduced term and amortisation of intangibles 2. Non-cash IFRS and mark-to-market
Slide 12: Treasury
Treasury 12
Slide 13: Treasury highlights
Treasury highlights Total Group net debt balance of R6.8bn Total weighted average cost of debt at Group debt maturity of 2.6 years 6.83% (Mar 25: R6.2bn) (Mar 25: 7.1%) (Mar 25: 3.0 years) Group interest hedge % at Offshore capital hedge % at c. 99% Group hedge maturity of 2.0 years 80% (Mar 25: 95%
Slide 14: Group debt expiry profile
Group debt expiry profile Limited refinancing risk due to long dated expiries & undrawn facilities R’bn Sufficient committed 2.1 facilities and cash to cover 1.9 all debt expiries within 0.5 FY26 0.7 1.1 0.8 1.1 0.6 0.8 0.6 0.7 0.3 0.1 0.7 0.5 0.2 0.5 0.5 0.3 0.2 FY26 FY27 FY28 FY29 FY30 FY31 Commer
Slide 15: Offshore hedging strategy
Offshore hedging strategy Rationale to hedge Capital hedges EUR AUD • Eliminates principal FX exposure and avoids P&L and balance sheet volatility BTN Policy % 60% 60% • Matches assets and liability in terms of currency denominations Hedge % 99% 98% • Lower cost of funding and deliver predictable ne
Slide 16: Underlying real estate investments
Underlying real estate investments 16
Slide 17: South Africa
South Africa 17
Slide 18: SA snapshot of performance
SA snapshot of performance 1H26 FY25 1H25 Dihlabeng Mall, Bethlehem Base NPI Growth 5.3% 0.2% (1.2%) Cost to Income 25.3% 23.9% 25.5% Arrears % of Collectibles 2.9% 3.4% 3.0% Vacancy (by GLA) 4.7% 6.7% 4.6% Reversions on New Leases (2.5%) (4.6%) (8.4%) WALE (years) 3.2 3.0 3.5 • Positive earnings tr
Slide 19: SA office portfolio
SA office portfolio Sector trends Financial and operational metrics • Despite vacancy rates trending downwards, oversupply continues to cap rental growth and valuations 5.7% 3.9% 4.1% • Positive LFL Base NOI growth driven largely Gross income growth Arrears (% of collectibles) LFL Base NOI growth (1
Slide 20: SA industrial portfolio
SA industrial portfolio Sector trends Financial and operational metrics • Positive supply-demand dynamics remain • Market rental growth in short-to-medium (3.8%) 3.1% 4.3 years term remains strong LFL Base NOI growth Arrears (% of collectibles) WALE • Decrease in LFL Base NOI impacted by a (1H25: (1
Slide 21: SA retail portfolio
SA retail portfolio Sector trends Financial and operational metrics • 11.5% LFL Base NOI growth • Enhancement to NOI from Zevenwacht 11.5% 2.1% 7.5% Mall, post its redevelopment in FY25 Average turnover LFL Base NOI growth Arrears (% of collectibles) • Average turnover growth of 7.5% (1H25: growth (
Slide 22: Offshore investments
Offshore investments 22
Slide 23: Europe co-investment
Europe co-investment 20% PEL co-investment – R1.8bn First loss exposure • LFL earnings in line with prior year: • Burstone has a valuation gap exposure to certain properties within the • Additional vacancy, offset by surrender premiums PEL portfolio • Higher finance costs in platform offset by swap
Slide 24: Australia co-investment
Australia co-investment Industrial platforms deployed R329.9m/A$28.9m ITAP deployed R334m/A$29.2m 1 • Investments into initially low yielding assets but with significant • ITAP development fund reversionary potential • A development fund, low yielding, capital return play • Partnerships alongside TP
Slide 25: Funds and asset management
Funds and asset management 25
Slide 26: A significant growth vector
A significant growth vector Europe Australia • Successful implementation of Blackstone transaction, early stages of • EUM Growth: Irongate now manages A$668m of EUM, a c. 7% JV relationship increase from FY25 (A$624m) • Assessing opportunities to establish additional 3rd-party fund • Fee income of R
Slide 27: Australia structure
Australia structure Irongate Burstone Group Ltd management 50% 50% c. R0.7bn Irongate JV deployment Co-investments in ITAP TPG AG Phoenix platforms Equity: ITAP: 18.67% EUM: A$178m Equity: EUM: A$454m GAV: A$316m EUM: A$36m GAV: A$3.3bn1 TPG AG: 15.0% GAV: A$69m Excludes additional Medium term liqui
Slide 28: Closing and outlook
Closing and outlook 28
Slide 29: Unlocking value in funds and asset management over time
Unlocking value in funds and asset management over time • Total capital deployed – constant • Earnings from real estate – consistent • Fee revenue from funds and asset management - additive Additive fee income from growth in 3rd party GAV 12 – 24 months 3 – 5 years • Launch SA Core Plus • Continue t
Slide 30: Funds and asset management: recap
Funds and asset management: recap Principle Roles and metrics 1. Recycle out of direct investments into co-investments alongside capital partners in platforms we manage Roles Australia Europe South Africa1 • Direct real estate NOI replaced by investment income Funds • And enhanced by funds and manag
Slide 31: Key takeaways
Key takeaways Overall Underlying real estate performance • Earnings momentum building as underlying real estate performance South Africa strengthens and funds and asset management growth gains traction • Strong rebound in underlying performance, underpinned by improving market fundamentals • Balance
Slide 32: Key takeaways cont.
Key takeaways cont. Funds & asset management Balance sheet & capital management Momentum building toward scalable, recurring earnings growth, supported • Continued focus on capital generation and recycling to fund platform by a strong capital and asset pipeline growth — recycling capital into accret
Slide 33: Annexures
Annexures 33
Slide 34: Group
4H Burstone REAL ESTATE PARTNERS 34
Slide 35: Statement of comprehensive income
Statement of comprehensive income Actual Prior year Rm 1H26 1H25 % Diff. Revenue (excluding straight-line rental adjustment) 943 923 2.2% Fee income from asset management business 64 101 (36.9%) Straight-line rental revenue income 3 (16) (119.1%) Revenue 1 010 1 008 0.2% Income from investments 40 1
Slide 36: Distributable earnings reconciliation for the period
Distributable earnings reconciliation for the period 1H26 1H25 Rm Actual Actual Diff. Profit/(loss) after taxation 172 (810) 121.2% Straight-line rental revenue income (3) 16 (118.8%) Fair value adjustment and foreign exchange loss adjustments on financial instruments 173 1,020 (83.0%) Fair value-ad
Slide 37: Statement of financial position
Statement of financial position 1H26 FY25 1H26 FY25 Rm Actual Actual % Diff. Rm Actual Actual % Diff. Investment property 12 616 12 844 (1.8%) Stated capital 11 048 11 048 0.0% Straight-line rental revenue adjustment 314 308 2.1% Foreign currency translation reserve (1) (6) (77.0%) Property, plant a
Slide 38: Statement of cash flows
Statement of cash flows 1H26 FY25 1H26 FY25 Rm Actual Actual % Diff. Rm Actual Actual % Diff. Cash generated from operations 377 414 (9.0%) Treasury shares acquired - (72) (100.0%) Finance costs paid (160) (556) (71.3%) Treasury shares sold - 17 (100.0%) Finance income received 18 35 (48.8%) Derivat
Slide 39: Treasury
Treasury 4H Burstone REAL ESTATE PARTNERS 39
Slide 40: Group debt profile
Group debt profile Debt portfolio composition Bank debt split by lender 7% 30% 34% 59% 3% 61% 6% CP Bonds Bank debt Nedbank RMB Sanlam Standard Bank Funding profile by lender and instrument Debt portfolio by region 7% 3% 24% 25% 23% 77% 2% 25% 14% DMTN Nedbank RMB Foreign Local Sanlam Standard Bank
Slide 41: Group euro debt and swap expiry
Group euro debt and swap expiry EUR CCIRs expiry profile and fixed rate EUR IRS expiry profile and fixed rate EUR debt and CCIRS expiry (EUR’m) EUR IRS expiry (EUR’m) EUR IRS EUR 70 Millions 16 Millions 60 14 12 50 10 40 8 30 6 20 4 10 2 - 0 FY26 FY27 FY28 FY26 FY29 41
Slide 42: Group euro debt and swap expiry
Group euro debt and swap expiry PEL interest rate swap expiry profile and fixed rate PEL IRS (EUR’m) PEL IRS 140 Millions 120 100 80 60 40 20 0 FY26 FY28 42
Slide 43: Group ZAR and AUD swap expiry
Group ZAR and AUD swap expiry ZAR interest rate swap expiry profile and swap rate AUD CCIRs expiry profile and fixed rate ZAR interest rate swaps (R’m) Cross currency swaps (AUD’m) IRS AUD 1,800 30 Millions Millions 1,600 25 1,400 1,200 20 1,000 15 800 600 10 400 5 200 - - FY26 FY27 FY29 FY26 FY27 F
Slide 44: South Africa
South Africa 4H Burstone REAL ESTATE PARTNERS 44
Slide 45: SA performance
SA performance Actual Prior year Notes Rm 1H26 1H25 % diff Rm 1H26 FY25 Gross income 680 637 6.8% No. of properties 57 58 Net expense (186) (168) (10.7%) Property asset value R13.5bn R13.2bn Base net property income 1 494 469 5.3% Office 2 179 172 4.1% GLA (m²) 854 500 845 345 Industrial 3 101 105 (
Slide 46: SA office portfolio
SA office portfolio Market oversupply continues to hinder rental growth and vacancy rates Actual Prior year Rm 1H26 1H25 % diff Rm 1H26 FY25 Gross income 230 246 5.7% No. of properties 24 24 Net expense (81) (74) (9.5%) Property asset value R4.7bn R4.7bn Base net property income 179 172 4.1% GLA (m²
Slide 47: SA industrial portfolio
SA industrial portfolio Improvement in vacancies in the sector Actual Prior year Rm 1H26 1H25 % diff Rm 1H26 FY25 Gross income 136 130 4.6% No. of properties 19 21 Net expense (35) (25) (40.0%) Property asset value R2.8bn R2.7bn Base net property income 101 105 (3.8%) GLA (m²) 368 720 371 311 Acquis
Slide 48: SA retail portfolio
SA retail portfolio Continued improvement in trading performance Actual Prior year Rm 1H26 FY25 Rm 1H26 1H25 % diff No. of properties 14 13 Gross income 284 261 8.8% Property asset value R6.0bn R5.8bn Net expense (70) (69) (1.4%) GLA (m²) 264 771 253 025 Vacancy (by GLA) 4.1% 4.3% Base net property
Slide 49: SA base portfolio composition
SA base portfolio composition Sectoral spread by NOI Sectoral spread by GLA Sectoral spread by asset value 21% 21% 31% 43% 43% 44% 36% 35% 26% Retail Office Industrial Retail Office Industrial Retail Office Industrial Industrial Retail Office 5% 10% 25% 23% 52% 10% 10% 75% 90% High Tech Industrial S
Slide 50: SA lease expiry profile
SA lease expiry profile 22.7% 17.7% 15.6% 14.0% 13.4% 11% 11% 9% 9% 9% 8% 7% 6% 5% 5.2% 5% 4% 4% 4% 4% 4% 4% 3% 3% 1% 1% 0% 0% FY26 FY27 FY28 FY29 FY30 FY31 FY32+ Office Industrial Retail Total 50
Slide 51: Total SA portfolio
Total SA portfolio TOTAL OFFICE INDUSTRIAL RETAIL Actual Actual Actual Actual Portfolio 1H26 FY25 1H25 1H26 FY25 1H25 1H26 FY25 1H25 1H26 FY25 1H25 Asset value (R’bn) 13.5 13.2 13.8 4.7 4.7 4.7 2.8 2.7 3.0 6.0 5.8 6.1 Number of properties 57 58 62 24 24 24 19 21 22 14 13 16 GLA (m2) 854 500 845 345
Slide 52: SA letting activity
SA letting activity Weighted Weighted At September Expiries and Renewals and Rental Average average gross average gross Incentive Retention WALE 2025 cancellations new lets reversion escalation expiry rental new rental % lease GLA (m²) GLA (m²) R/m² R/m² % % % years value Office 29 307 23 921 200 17
Slide 53: Disclaimer
Disclaimer The information contained herein is for information purposes only and readers should not rely on such information as advice in relation to a specific issue without taking financial, banking, investment or professional advice. Although information has been obtained from sources believed to