Precinct reports stable FY25 results, advances strategic growth

Precinct Properties Group reported its financial results for the 12 months ended June 30, 2025, with Funds from Operations (FFO) from its investment portfolio increasing 3.7% to $150.3 million. Operating profit before indirect expenses and income tax rose 1.2% to $152.3 million. Total comprehensive income after tax was $3.1 million, a significant improvement from the ($30.1) million recorded in the previous year, with a property revaluation decline of $27.6 million, reflecting asset value stabilization.

The company's Adjusted Funds from Operations (AFFO) stood at 6.54 cps, with full-year dividends of 6.75 cents per stapled security, representing an AFFO payout ratio of 103%. Precinct's portfolio occupancy was 97% with a weighted average lease term of 6.0 years. New office leases secured were 17.2% above previous contract rents, and rent reviews across 172,000 square meters resulted in an average uplift of 4.3%.

Key strategic advancements include commitment to New Zealand’s largest student accommodation facility for the University of Auckland, a new strategic real estate investment partnership with Keppel, and securing resource consents for multiple residential developments. Precinct is also seeking a capital partnership for the PwC Tower in Commercial Bay, consistent with its long-standing business strategy.