Derwent London (DLN) Q1 2026 TU earnings summary

Executive summary

• Strong leasing activity with £25.3m completed YTD, including pre-letting of Network W1 at rents above appraisal and ERV.

• £278m of property disposals exchanged in Q1, progressing toward a £1bn three-year target.

• Commitment to major redevelopment at 50 Baker Street W1, targeting >12% ungeared IRR.

• £50m share buyback programme announced, commencing after the 2026 AGM.

Financial highlights

• Net debt stable at £1.46bn in Q1 (December 2025: £1.45bn), reflecting project expenditure and operational cashflows.

• EPRA LTV unchanged at 29.4% based on December 2025 valuations.

• Weighted average interest rate reduced to 3.9% at March-end from 4.1% in December.

• Cash and undrawn facilities at quarter-end were £383m, prior to completion of £278m in disposals.

Outlook and guidance

• Near and medium-term earnings guidance remains unchanged.

• Focus remains on driving income growth and returns through selective investment and capital recycling.