SEGRO (SGRO) Q3 2025 TU earnings summary

Executive summary

• Strong third quarter with £22 million of new headline rent signed, totaling £53 million year-to-date, reflecting improved occupier sentiment.

• Significant progress in capturing mark-to-market rent potential, maintaining high occupancy (94.3%) and customer retention (86%).

• Momentum in development programme, with the most productive pre-letting quarter since Q1 2024 and a robust pipeline of future projects.

• Data centre pipeline presents a major value creation opportunity, with planning applications and negotiations underway in the UK and Continental Europe.

Financial highlights

• £53 million of new headline rent signed in 2025, with £22 million in Q3 (vs. £15 million in Q3 2024).

• 37% year-to-date uplift across 170 rent reviews, renewals, and regears (UK: 49%, Continental Europe: 8%).

• Development completions in the period totaled 34,800 sq m, adding £8 million of headline rent; 2025 completions to date: 231,600 sq m, £27 million expected rent (89% secured).

Outlook and guidance

• Healthy pipeline of projects under discussion, with increasing enquiry levels post-summer.

• Data centre joint venture on track for planning application submission; multiple negotiations ongoing for powered shells and fully fitted opportunities.

• Expectation to double rent roll and deliver further compound growth in earnings and dividends.

• Development capex for 2025 expected to be approximately £400 million.