Land Securities Group plc (LAND) Q2 2025 Earnings Call

Investor webinar replay

Replay transcript excerpt

Well, good morning, everyone. Welcome to the presentation of Landsec's 2024 half year results. More importantly, welcome to 21 Moorfields and welcome to the City of London on a Friday morning. So owning the right real estate has never been more important. Irrespective of sector, there is a clear focus from customers on the best space and as supply of this space is limited, rents are growing. Our success in positioning LandSec for this is reflected in these positive results. Growth in like-for-like net rental income increased to 3.4%. Our return on equity for the six months of September increased to 3.9%. And we are today increasing our EPS guidance for the full year, which also flows through into future years. Our active portfolio repositioning over the past few years means we continue to significantly outperform the wider market. And we expect the trends which underpin this to persist. And we're also capitalizing on the substantial accretive growth potential that we've created. We acquired a £120 million stake in Bluewater at an 8.5% yield in the first half, and are confident of deploying more capital into major retail in the second half. We're on site with two highly sustainable London office developments, which, once completed and let, will deliver a yield on cost of over 7%. And the progress that we've made on our residential pipeline means we now have visibility to investing over one billion pounds into this structural growth sector by 2030. Our strategic focus is paying off. So we're well-placed to grow our already attractive 5.8% income return at NTA and to deliver the eight to 10% annual return on equity that we target over time. This positive outlook is underpinned by our strong operational performance. We continue to lease space ahead of ERV across our port...