London-listed Supermarket Income REIT PLC (LSE:SUPR, OTC:SUPIF) announced a full-year dividend of 6.12p for its 2025 financial year, representing a modest 1% year-on-year increase.
“The last three years have seen some challenging macroeconomic headwinds but we have weathered the storm and increased the dividend every year,” said chair Nick Hewson in an audited yearly report posted on Wednesday.
“We believe we have now seen the worst of it,” he added. “Our job is to maximise our earnings and continue to increase the dividend on a covered basis, and benefit from the inherent affordability of the rents our grocery tenants pay us.”
Adjusted earnings per share increased by 4.4% year on year to 6.1p, while the total portfolio value increased to £1.78 billion, up from £1.69 billion the previous year.
The portfolio’s net initial yield was 5.9%, compared to 5.6% in 2023.
"Looking ahead, we remain optimistic that the improving interest rate environment should provide more opportunities for the company,” said Hewson.
The UK grocery market is projected to grow by 5.8% by the end of this calendar year.
Supermarket REIT said it is optimistic about further acquisition opportunities given the improving interest rate environment.