Results for the six months ended 30 June 2025

Three clear growth drivers delivering strong performance - Potential to deliver adjusted earnings growth of 50% by the end of 2030 - Superior risk adjusted returns from logistics and data centre developments

H1 2025 key figures 

Commenting on the results, Aubrey Adams, Chairman of Tritax Big Box REIT, said:

“There are few listed real estate companies that offer such compelling organic growth potential as Tritax Big Box. Our resilient income profile is underpinned by long-duration contracted revenues, from strong clients on triple-net leases, while our three clear growth drivers provide the potential to grow adjusted earnings by 50% by the end of 2030.

“During the period we have made significant strategic progress to further de-risk this growth and remain confident and excited about our future prospects. In particular, we’ve secured our second significant data centre opportunity, with the potential to deliver a 10-11% yield on cost. Our UKCM logistics assets have delivered 13.2% rental growth since acquisition. Recent development letting activity evidences the growing occupational interest in our sites - momentum we expect to build in the second half of the year.” 

Attractive rental income growth supporting increase in Adjusted EPS, enhanced by DMA contribution

• 4% increase in Adjusted EPS to 4.63 pence (H1 2024: 4.35 pence) driven by net rental income growth.
  • Adjusted EPS excluding additional DMA income grew 4.6% to 4.29 pence (H1 2024: 4.10 pence).
• 3% increase in net rental income to £149.2 million (H1 2024: £127.2 million) driven by higher average contracted rent roll reflecting the full impact of the UKCM acquisition, along with active asset management and development execution.
• 9% EPRA cost ratio excluding vacancy costs remaining broadly stable (H1 2024: 12.4%). 13.8% EPRA cost ratio including vacancy costs (H1 2024: 12.5%), reflecting full period of assumed vacancy costs from UKCM acquisition.

Capital growth through stable yields, growing income and development activity

• Increase in total portfolio value to £6.82 billion (31 December 2024: £6.55 billion), with equivalent yield remaining stable at 5.72% (31 December 2024: 5.68%).
• 4% portfolio capital value increase (H1 2024: 0.5% increase) driven by income growth and asset management alongside development gains.

Growth driver 1: Capturing record rental reversion to drive earnings growth

• 3% like-for-like Estimated Rental Value (ERV) growth across the logistics portfolio (H1 2024: 1.9%) across the six months.
• 9% logistics portfolio reversion (H1 2024: 25.5%) combined with current vacancy provides potential to capture £83.8 million of additional rent, of which 77% within the next 3 years, supporting future earnings growth.
• £5.6 million (+10.3%) added to annual contracted rent through rent reviews and asset management initiatives:
• Including 35.5% increase in aggregate across open market linked rent reviews settled in period.
  • Despite a weighting towards inflation linked and fixed uplift rent reviews in the period achieved a 9.2% absolute increase in passing rent across all rent reviews settled.
  • 2% growth in contracted rent for UKCM logistics portfolio since acquisition.

Growth driver 2: Developing best-in-class logistics assets to drive earnings growth

• 1 million sq ft of development starts in H1 2025 of which 33% has been either pre-let or pre-sold.
• £1.5 million added to passing rent from let development completions in the period.
• 4 million sq ft development letting shortly after period end adding £3.9 million per annum to passing rent.
• 5 million sq ft under construction at H1 2025, with 54% either pre-let or pre-sold, with an ability to add £23.1 million to annual rent (of which £11.1 million has been secured).
• Consistent with FY 2024, development letting activity expected to be H2 weighted supported by:
  • 9 million sq ft of pre-lets in solicitors’ hands with an ERV of £8.8 million
  • 1 million sq ft of further pre-lets in discussions with potential occupiers
  • 2 million sq ft of speculative space in negotiations with potential occupiers with the potential to add £10.7 million to rental income.
• Weighted average embodied carbon from developments completed in period of 316 kg CO₂e per m² (H1 2024: 296 kg CO₂e per m²).
• Development starts for FY25 expected to be consistent with FY24 delivery, at the lower end of our 2–3 million sq ft guidance, whilst at the upper end of our 6-8% yield on cost range.
  • DMA income expected to contribute approximately £15 million to FY25 operating profit.

Growth driver 3: Power-first data centres targeting exceptional returns; 9-11% yield on cost from first two schemes

• Significant occupational interest at 107MW Phase 1 Manor Farm, targeting £34 million per annum of rent at a 9.3% yield-on-cost, significant development profits and on track for delivery in H2 2027.
• Project 2 site with 125MW and potential £23-25 million per annum of rent, 10-11% yield-on-cost and delivery anticipated in 2028.
• Accelerated power delivery working with EDF Renewables, the global low carbon energy power generator.
• Additional c.1GW pipeline of UK opportunities identified.

 £278.2 million of disposals year-to-date supporting self-funding of organic growth opportunities

• £204.8 million of disposals completed in the period, comprising:
  • £125.8 million of UKCM non-strategic disposals
  • £79.0 million of additional disposals from logistics portfolio.
• £73.4 million of disposals completed or exchanged post period end.
• In total since completion of the UKCM acquisition, £283.7 million (61%) of UKCM non-strategic assets exchanged or sold:
  • Achieved a 6.5% blended NIY to date;
• Further £49 million (11%) of UKCM non-strategic assets under offer;
• Expecting to fully exit non-strategic assets in line with acquisition price.
• Increased longer-term disposals guidance of £250-350 million per annum to support self-funding of growth opportunities.

 Balance sheet strength supporting our strategy

• 9% LTV at 30 June 2025 (31 December 2024: 28.8%) and Net Debt/EBITDA⁵ of 7.9x (31 December 2024: 7.3x)
  • 2% LTV on pro-forma basis when including all asset disposals exchanged or completed year to date.
• 2% weighted average cost of debt (31 December 2024: 3.1%), with 86% of drawn debt either fixed or hedged.
• £400 million RCF refinancing with a 5-year term agreed in the period.
• Over £470 million of available liquidity as at H1 2025.
• Strong credit rating from Moody’s of Baa1 (positive).

 Results presentation and Q&A

A Company presentation for analysts and investors will take place via a webcast with a live Q&A at 9am (BST) today and can be viewed at:

https://brrmedia.news/BBOX_HY25

If you would like to ask a question verbally rather than through the webcast viewer, please join the presentation conference call:

UK: +44 (0) 33 0551 0200

USA: +1 786 697 3501

Password: Tritax Half Year 2025

Retail investor webcast and Q&A

The Company will also host a live interactive presentation aimed at retail investors on the Engage Investor platform, at 1.00pm (UK time) today.

Colin Godfrey (CEO) and Frankie Whitehead (CFO), who will host the event, welcome current shareholders and interested investors to join. Questions can be submitted prior to the webcast via the Engage Investor platform, or at any time during the live presentation. Investors can sign up to Engage Investor at no cost and follow Tritax Big Box REIT plc from their personalised investor hub.

Register interest and access this event here: https://engageinvestor.news/BBOX_IP2025

Notes 

1. Operating profit before FV movements and other adjustments. 
2. See Note 8 to the financial statements for reconciliation. 
3. The anticipated run rate for Development Management Agreement (DMA) income is £3.0-5.0 million per annum over the medium term. We classify income above this as ‘additional’ development management income, which can be highly variable over time. We therefore present a calculation of Adjusted EPS that excludes additional development management income. £13.3 million of DMA income is included in the 4.63p Adjusted earnings per share in H1 2025. H1 2024: £12.2 million included in 4.35p Adjusted earnings per share). 
4. The Portfolio Value includes the Group's investment assets and development assets, land assets held at cost, the Group's share of joint venture assets and other property assets. 
5. Calculated based on pro-forma EBITDA inclusive of full twelve months contribution of UKCM, adjusted for fair value of UKCM debt at acquisition.
6. An alternative performance measure. The Group uses a number of financial measures to assess and explain its performance, some of which are considered to be alternative performance measures as they are not defined under IFRS. For further details, see the Financial Review and Notes to the EPRA and other key performance indicators section, as well as definitions in the Glossary.

For further information, please contact:

Tritax Group

Colin Godfrey, CEO                                                                        +44 (0) 20 8051 5060
Frankie Whitehead, CFO                                                                bigboxir@tritax.co.uk
Ian Brown, Head of Corporate Strategy & Investor Relations

Kekst CNC

Tom Climie/Guy Bates                                                                    +44 (0) 77 601 60 248 / +44 (0) 75 810 56 415

Email: tritax@kekstcnc.com

The Company's LEI is: 213800L6X88MIYPVR714

Notes: 

Tritax Big Box REIT plc (ticker: BBOX) is the largest listed investor in high-quality logistics warehouse assets and controls the largest logistics-focused land platform in the UK. Tritax Big Box is committed to delivering attractive and sustainable returns for shareholders by investing in and actively managing existing built investments and land suitable for logistics development. The Company focuses on well-located, modern logistics assets, typically let to institutional-grade clients on long-term leases with upward-only rent reviews and geographic and client diversification throughout the UK. Additionally, having adopted a “power first” approach, the Company has recently secured its first data centre development opportunities (amounting to 272MW), and has a pipeline of over 1-gigawatt of further opportunities, offering the potential to deliver exceptional returns on an accelerated basis.

The Company is a real estate investment trust to which Part 12 of the UK Corporation Tax Act 2010 applies, is listed on the Official List of the UK Financial Conduct Authority and is a constituent of the FTSE 250, FTSE EPRA/NAREIT and MSCI indices. 

Further information on Tritax Big Box REIT is available at www.tritaxbigbox.co.uk