SEGRO PLC (LSE:SGRO) said it expects continued strong growth in earnings and dividends, with major upside from its booming data centre pipeline.
The FTSE 100 warehousing giant saw a 14.9% rise in adjusted profit before tax to £470 million in 2024, driven by soaring demand for logistics space and data centres. Adjusted earnings per share climbed 5.5% to 34.5p, while portfolio value edged up 1.1% to £17.7 billion.
The company said it enters 2025 with confidence, backed by a prime portfolio spanning Europe’s largest cities and key logistics hubs.
Demand remains strong, fuelled by digitalisation, urbanisation, supply chain shifts and sustainability trends. Leasing activity accelerated in late 2024, and momentum has carried into the new year.
Segro sees £173 million of additional rental income potential from rent reviews and leasing vacant space, with a further £422 million expected from its development pipeline. The company targets annual rental growth of 2–6%, outpacing inflation.
Segro is also doubling down on data centres, having built Europe’s largest hub in Slough, with 0.5 gigawatts of operational or under-construction capacity. Its European pipeline now holds 2.3 gigawatts of potential power.
Traditionally a builder of powered shells, Segro is now exploring fully fitted data centres to capture even greater value.