Land Securities Group (LON:LAND) Announces Quarterly Earnings Results

Key Points

• Land Securities reported quarterly earnings of GBX 25.90 per share and revenue of £443 million, with a 38.45% net margin.
• Operating momentum strengthened: like-for-like net rental income grew 6.2%, occupancy stayed near a 20-year high, and management expects full-year income growth at the upper end of guidance. It forecasts high-single-digit EPS growth in FY 2028 and about 5% annual growth through FY 2030.
• A £500 million equity raise helped fund the £611 million Metrocentre acquisition and an increased Bluewater stake, lowering loan-to-value to 37.1%; however, pro forma net tangible assets per share declined 2.2%. Landsec also plans to keep development exposure low and limit new commitments.

Land Securities Group (LON:LAND - Get Free Report) announced its quarterly earnings data on Friday. The company reported GBX 25.90 earnings per share for the quarter, Digital Look Earnings reports. Land Securities Group had a net margin of 38.45% and a return on equity of 5.29%. The firm had revenue of £443 million for the quarter.

Here are the key takeaways from Land Securities Group's conference call:

• Operational performance strengthened: like-for-like net rental income grew 6.2%, occupancy remained near a 20-year high, and rental uplifts reached record levels. Landsec expects full-year like-for-like income growth at the upper end of its guidance.
• Management expects high-single-digit EPS growth in FY 2028 and around 5% annual EPS growth through FY 2030, with roughly 90% of the longer-term growth forecast coming from its existing portfolio and platform. First-half EPS was stable, as operating gains offset the impact of last year’s Queen Anne’s Mansions sale.
• A £500 million equity raise funded the £611 million Metrocentre acquisition and an increased stake in Bluewater, which management says improve future income and EPS growth. The transactions reduced LTV to 37.1% and net debt to EBITDA to 7.7 times, although pro forma NTA per share fell 2.2%.
• Landsec plans to keep development exposure below 2% of portfolio value by year-end and avoid meaningful new development commitments in the near term, citing challenging project economics and higher risk. It will continue recycling capital from selected offices and non-core assets into major retail, subject to investment returns and balance-sheet discipline.

Land Securities Group Stock Up 0.9%

LON:LAND traded up GBX 6 during trading hours on Friday, hitting GBX 702. 3,452,908 shares of the company traded hands, compared to its average volume of 27,348,457. The company has a quick ratio of 0.54, a current ratio of 1.04 and a debt-to-equity ratio of 68.76. The firm's 50-day simple moving average is GBX 643.57 and its 200-day simple moving average is GBX 639.08. Land Securities Group has a one year low of GBX 525 and a one year high of GBX 726. The company has a market cap of £5.82 billion, a PE ratio of 15.29, a PEG ratio of 12.39 and a beta of 1.15.

Analyst Ratings Changes

A number of equities analysts recently issued reports on LAND shares. Jefferies Financial Group reiterated a "hold" rating and issued a GBX 593 target price on shares of Land Securities Group in a report on Thursday, October 15th. Deutsche Bank lifted their price target on shares of Land Securities Group from GBX 730 to GBX 750 and gave the company a "buy" rating in a research report on Monday, October 5th. Finally, Berenberg Bank decreased their price target on shares of Land Securities Group from GBX 931 to GBX 863 and set a "buy" rating for the company in a research note on Wednesday, October 14th. Six analysts have rated the stock with a Buy rating and four have issued a Hold rating to the stock. Based on data from MarketBeat, Land Securities Group presently has an average rating of "Moderate Buy" and an average price target of GBX 654.33.

Insider Activity

In related news, insider Mark Allan sold 16,800 shares of the business's stock in a transaction dated Friday, November 13th. The shares were sold at an average price of GBX 701, for a total transaction of £117,768. In the last three months, insiders have acquired 113 shares of company stock valued at $74,694. Corporate insiders own 0.50% of the company's stock.

Land Securities Group Company Profile

At Landsec, we build and invest in buildings, spaces and partnerships to create sustainable places, connect communities and realise potential. We are one of the largest real estate companies in Europe, with a £12 billion portfolio of retail, leisure, workspace and residential hubs. Landsec is shaping a better future by leading our industry on environmental and social sustainability while delivering value for our shareholders, great experiences for our guests and positive change for our communities.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.