EarningsQ2 2026 Earnings Report

Derwent London plc REIT (DVK) Q2 2026 Earnings Report

0 Followers

Previous Report: Q4 2025

CH:DVK Q2 2026 EPS Results

Actual EPSCHF0.54

Consensus EPSCHF0.53

Beat/MissBeat by +CHF0.01

One Year Ago EPSCHF0.58

CH:DVK Q2 2026 Revenue Results

Actual RevenueCHF161.72M

Expected RevenueCHF133.64M

Beat/MissBeat by +CHF28.08M

YoY Revenue Growth+9.08%

Earnings Announcement Details

QuarterQ2 2026

Date08/06/2026

TimeBefore Open

Conference CallThursday, August 6, 2026

CH:DVK Upcoming Earnings

Derwent London plc REIT's next earnings date is estimated for February 25, 2027, based on past reporting schedules.

Q2 2026 Earnings Call Audio

No earnings call audio is available for this earnings event.

Q2 2026 Earnings Slide Deck

No slide deck is available for this earnings event.

Q2 2026 Earnings Call Summary

Q2 2026

Earnings Call Date:Aug 06, 2026|

% Change Since:

Earnings Call Sentiment|Positive

The call conveys a generally positive operational and strategic position: strong leasing activity, proven development returns (Network and 25 Baker Street), a disciplined capital-allocation program (disposals and buyback), a solid liquidity position and upgraded near-term earnings confidence. However, material valuation headwinds — notably the Old Street Quarter provision and outward yield shifts linked to geopolitical uncertainty — have weighed on reported NTA and produced near-term earnings and valuation sensitivity. Overall the company appears to be executing its strategy well and is positioned to benefit from continued rental growth, while some transitional and market-driven valuation/interest-rate risks remain.

Company Guidance

The management reiterated a constructive outlook while tightening and updating guidance: EPRA earnings in 2026 are now expected to be between flat and down up to 3% versus 2025 (a 2–3% upgrade versus earlier guidance) with EPRA H1 earnings at GBP 54.6m (48.7p), and the business remains on track for 25–30% growth in EPRA earnings by 2030; ERV guidance for 2026 is reiterated at +4% to +7% (H1 ERV growth 2.6%), portfolio returns are expected to be c.7–10% p.a. over the medium term, and development returns remain strong (Network ungeared IRR ~11%, 50 Baker Street ungeared IRR >12%, major projects combined IRR c.12%, profit on cost c.18%, reverse development yield ~7%, developments value +10.3% H1). Balance sheet and capital allocation guidance: completed/contracted disposals of c.£280m (within ~3% of book) toward targets of £400m in 2026 and £1bn over 3 years, a £50m share buyback (c.£34m completed to date) to finish shortly, cash and undrawn facilities c.£481m (pro forma £581m), EPRA NTA £31.57/share (impacted by a £45.8m provision on Old Street Quarter and a revaluation deficit of 18p/share), EPRA vacancy ~4.4% (3.5% ex one asset), central London vacancy <7% (West End 5%, Grade A 1.2%), demand ~just under 12m sq ft, and a weighted average interest rate of 3.9% in H1 (expected ~3.8% in H2).

Strong Leasing and Asset Management

Secured over GBP 30 million of leasing and asset management transactions year-to-date; new leases signed more than 5% above ERV; GBP 22 million of new income transacted YTD and a further GBP 5.3 million under offer, positioning the year to be one of the highest for new income on record.

Low Vacancy and Improving Occupier Market

EPRA vacancy low at 4.4% (3.5% excluding 88–94 Tottenham Court Road); Central London vacancy below 7% and West End vacancy around 5% (West End Grade A vacancy as low as 1.2%); demand elevated (just under 12 million sq ft named requirements) supporting rental growth.

Rental Growth and ERV Performance

Underlying ERV growth of 2.6% in H1 — the highest first-half increase in a decade; like-for-like gross rent up 1% and net rent up 2.7% versus H1 2025; total rental reversion increased to GBP 83.3 million from GBP 70.9 million at year-end.

Successful Recent Developments

Network completed fully pre-let and delivering an ungeared IRR of around 11% with achieved rents 5% above December ERV; developments did well overall, up 10.3% in the period.

High-Quality Development Pipeline

Four major West End projects on site totaling 0.5 million sq ft; combined IRR for major projects around 12%, profit on cost ~18% and reverse development yield ~7%; 50 Baker Street committed with forecast ungeared IRR in excess of 12%.

Capital Recycling and Buyback Execution

Completed or contracted disposals of around GBP 280 million (on average c.3% below book) helping fund a GBP 50 million buyback; buyback is over halfway complete with c.GBP 34 million purchased to date and GBP 18.1 million bought by 30 June.

Upgraded Earnings Guidance and Dividend

EPRA earnings in H1 were slightly ahead of guidance (EPRA earnings H1 GBP 54.6 million / 48.7p per share); upgraded 2026 earnings guidance (now expecting EPRA EPS for 2026 to be between flat and 3% lower than 2025, a 2–3% upgrade from earlier in the year); interim dividend increased again.

Balance Sheet and Liquidity Strength

Cash and undrawn facilities GBP 481 million at 30 June, pro forma GBP 581 million after new facility; sale of 90 Whitfield Street due soon to reduce borrowings by net c.GBP 107 million; all debt unsecured and 71% fixed at 30 June; weighted average interest rate in H1 was 3.9% (expected ~3.8% in H2).

Operational Cost Discipline

Property expenditure and administrative expenses reduced by GBP 1.5 million in H1, with further admin cost reductions expected in H2.

CH:DVK Earnings History

Report Date	Fiscal Quarter	Forecast / EPS	Last Year's EPS	EPS YoY Change
Feb 25, 2027	2026 (Q4)	0.52 / -	0.499	―
Aug 06, 2026	2026 (Q2)	0.53 / 0.54	0.576	-6.70% (-0.04)
Feb 26, 2026	2025 (Q4)	0.52 / 0.50	0.606	-17.67% (-0.11)
Aug 12, 2025	2025 (Q2)	0.57 / 0.58	0.581	-0.76% (>-0.01)
Feb 27, 2025	2024 (Q4)	0.63 / 0.61	0.559	8.50% (+0.05)
Aug 08, 2024	2024 (Q2)	0.59 / 0.58	0.545	6.48% (+0.04)
Feb 28, 2024	2023 (Q4)	0.57 / 0.56	0.591	-5.42% (-0.03)
Aug 10, 2023	2023 (Q2)	0.61 / 0.55	0.585	-6.79% (-0.04)
Feb 28, 2023	2022 (Q4)	0.60 / 0.59	0.606	-2.55% (-0.02)
Aug 11, 2022	2022 (Q2)	0.43 / 0.59	0.595	-1.67% (>-0.01)

The table shows recent earnings report dates and whether the forecast was beat or missed. See the change in forecast and EPS from the previous year.

Beat

Missed