Empiric Student Property remains confident in FY outlook

22nd May 2024 10:18

(Sharecast News) - Student accommodation provider Empiric Student Property reiterated its confidence in its full-year outlook on Wednesday, stating the business was now "poised for growth".

Empiric Student Property said revenue occupancy for the academic year 2024/25 underpinned its confidence that its portfolio will again be "effectively full" for a third consecutive year, with like-for-like growth in average weekly rents to exceed 6%.

The FTSE 250-listed group also noted that potential joint venture discussions were continuing to "progress positively" and said its second tranche of refinancing has concluded, with its weighted average cost of debt now standing at 4.6% and its weighted average term to maturity sitting at 5.3 years, meaning its next material refinancing was not due until 2028.

Empiric Student Property, which previously set out its expectation of meeting a minimum full-year dividend of 3.5p per share for 2024, also declared its first quarter dividend of 0.875p per share.

Chief executive Duncan Garrood said: "The booking cycle for the new 2024/25 academic year continues to demonstrate the resilience of demand for our high-quality PBSA offer, providing confidence in the continued delivery of strong occupancy and rental growth into 2025 and beyond.

"The business is poised for growth. We're progressing schemes through the planning process and continue to make good progress with potential JV discussions."

As of 1015 BST, Empiric Student Property shares were down 0.52% at 91.53p.

Reporting by Iain Gilbert at Sharecast.com