Segro PLC

Earnings Release • Jul 31, 2025

31 July 2025

SEGRO PLC RESULTS FOR THE SIX MONTHS ENDED 30 JUNE 2025

STRONG EARNINGS AND DIVIDEND GROWTH, IMPROVING DEVELOPMENT MOMENTUM

KEY MESSAGES

• Strong 7.8 per cent like-for-like net rental income growth from our existing portfolio as we continue to capture embedded rent reversion, supporting 6.5 per cent earnings and 6.6 per cent dividend growth per share.
• Improving development prospects, with a pick-up in the near-term development pipeline and encouraging levels of demand for our speculatively developed urban space.
• Significant progress in building our data centre platform, progressing plans for our 2.3GW+ landenabled power bank and signing a joint venture to develop our first fully fitted data centre.

Commenting on the results, David Sleath, Chief Executive, said:

"Our modern, sustainable portfolio, located in Europe's most attractive and supply-constrained markets, has continued to perform well through the first half of the year, driven by leasing, asset management and the capture of reversion. We have a further £172 million of rent available through rent reviews, renewals and the lease up of vacant space, which will continue to support attractive underlying earnings growth.

"Our high quality, well-located land bank and options provide further opportunity to create value and grow income through development, with over £500 million of potential rent. Whilst occupier decision making remains protracted, we are encouraged by the pick-up in our near-term pre-let development pipeline and the active conversations that we are having with customers.

"SEGRO has consistently delivered attractive and compounding increases in both earnings and dividends through the cycle. We are confident in our ability to continue to do this due to the embedded growth potential of our existing portfolio, combined with the potential rent from building out our development pipeline. Our ability to develop fully fitted data centres offers significant additional value creation upside beyond this."

HIGHLIGHTS1 :

• Strong 7.8 per cent growth in like-for-like net rental income from the existing portfolio, driven by a 55 per cent uplift from UK rent reviews and renewals (Group: 33 per cent, Continental Europe: 6 per cent).
• £31 million of new headline rent signed during the period (H1 2024: £48 million), reflecting the performance of the existing portfolio and a lower level of big box pre-let signings (H1 2025: £3 million, H1 2024: £17 million).
• Adjusted pre-tax profit of £252 million up 11 per cent compared with the prior year (H1 2024: £227 million). Adjusted EPS is 18.1 pence, up 6.5 per cent (H1 2024: 17.0 pence); the differential growth rate is due to the higher average share count versus H1 2024.
• Adjusted NAV per share of 910 pence (31 December 2024: 907 pence), the first increase since mid-2022. The portfolio value increased 0.5 per cent to £18.5 billion (H1 2024: 0.0 per cent change) and rental values (ERV) grew by 1.0 per cent during H1 2025 (H1 2024: 1.4 per cent).
• Development completions added £19 million of potential new headline rent, delivered at a yield on cost of 7.7 per cent. 92 per cent of this has been leased and all has been, or is expected to be, certified BREEAM 'Excellent' (or local equivalent) or higher.
• A further £50 million of potential rent from development projects under construction or in advanced negotiations, 49 per cent of which has been or is currently expected to be pre-let. Expected development yield for these projects is 7.3 per cent.
• Formation of a 50:50 joint venture with Pure DC Group to develop our first fully fitted data centre project. We are on track to submit planning for this scheme in H2 2025 and continue to advance plans for our 2.3GW+ land-enabled power bank, mostly located in key European Availability Zones.
• Net investment of £388 million: £243 million of acquisitions, including SELP's completion on a portfolio of Continental European big box assets (formerly owned by Tritax EuroBox) and a further £180 million invested into development capex. Disposals totalled £35 million and were all above book value.
• Balance sheet remains strong with a LTV of 31 per cent and £1.9 billion of cash and undrawn committed facilities, positioning the Group to pursue further growth opportunities.
• Interim dividend increased by 6.6 per cent to 9.7 pence (2024: 9.1 pence).

OUTLOOK

SEGRO continues to be positioned well for further growth. Our portfolio is of irreplicable quality, having been purposefully curated over the past 15 years. Two-thirds of it is located in Europe's largest cities, with the remaining one-third strategically located near logistics hubs and along key transportation corridors. These locations remain in high demand from occupiers, supported by powerful, enduring structural trends, and have a shortage of modern, sustainable space with low land availability and restrictive planning policies which limit the supply of new, competing space.

Our portfolio is full of current and future opportunity:

• Rent roll growth from our existing portfolio supports underlying earnings growth as we capture £116 million of reversion, reduce vacancy (£56 million) and drive further market rental growth (2 to 4 per cent for our big box portfolio and 3 to 6 per cent for urban) supported by the favourable supplydemand dynamics in our chosen markets.
• Our development pipeline will deliver additional rent roll growth, as we utilise our exceptional landbank, which provides the opportunity to deliver £406 million of new rent, at a profitable 7 to 8 per cent development yield (and a 10 to 11 per cent yield on new capital invested) and we have a further £123 million of land options. Whilst new development commitments have been lower over the past 18 months, we are encouraged by the advanced pre-let conversations and the momentum building in our near-term pipeline.
• Furthermore, in addition to our existing 0.5GW data centre portfolio which generates £56 million of rent, we have an exciting opportunity to capitalise on this high-growth market through a further 1.8GW+ of power capacity, mostly located in Europe's key Availability Zones. We have the flexibility and capability to execute on this through both powered shell and fully fitted models which will allow us to tailor our offer to our co-location and hyperscale customer base, in order to optimise the value creation opportunity.

Our business is therefore well-placed for further attractive, compounding growth in earnings and dividends, supported by our ability to more than double our rent roll, due to the embedded growth potential of our existing portfolio and additional rent associated with our development pipeline. In addition, our ability to develop fully fitted data centres offers significant additional value creation potential beyond this.

WEBCAST / CONFERENCE CALL FOR INVESTORS AND ANALYSTS

A live webcast of the results presentation will start at 08:30am (UK time) at:

https://www.investis-live.com/segro/6853e40b75e117000f7089ea/fbddf

The webcast will be available for replay at SEGRO's website at:http://www.segro.com/investors shortly after the live presentation.

A conference call facility will be available at 08:30 (UK time) on the following number:

An audio recording of the conference call will be available until 7 August 2025 on:

Dial-in:	+44 (0)800 041 8829	UK:	+44 (0)20 3936 3001
	+44 (0)20 3807 9124	Access code:	785205
Access code:	828549

A video of David Sleath, Chief Executive, discussing the results will be available to view on www.segro.com, together with this announcement, the Half Year 2025 Property Analysis Report and other information about SEGRO.

FINANCIAL SUMMARY

	6 months to 30 June 2025	6 months to 30 June 2024	Change per cent
Adjusted2 profit before tax (£m)	252	227	11.0
IFRS profit before tax (£m)	264	235	–
Adjusted3 earnings per share (pence)	18.1	17.0	6.5
IFRS earnings per share (pence)	18.3	16.9	–
Dividend per share (pence)	9.7	9.1	6.6
Total Accounting Return (%)4	2.6	0.3	–
	30 June 2025 31 December	2024	Change per cent
Assets under Management (£m)	21,442	20,296
Portfolio valuation (SEGRO share, £m)	18,495	17,770	0.55
Net true equivalent yield (%)	5.4	5.4
Adjusted6 7 net asset value per share (pence, diluted)	910	907	0.3
IFRS net asset value per share (pence, diluted)	891	889
Net debt (SEGRO share, £m)	5,626	5,000
Loan to value ratio including joint ventures at share (%)	31	28
Net debt:EBITDA8 (times)	8.8	8.6

1. Figures quoted on pages 1 to 13 refer to SEGRO's share, except for land (hectares) and space (square metres) which are quoted at 100 per cent, unless otherwise stated. Please refer to the Presentation of Financial Information statement in the Financial Review for further details.

2. A reconciliation between Adjusted profit before tax and IFRS profit before tax is shown in Note 2 to the condensed financial information.

3. A reconciliation between Adjusted earnings per share and IFRS earnings per share is shown in Note 11 to the condensed financial information.

4. Total Accounting Return is calculated based on the opening and closing adjusted NAV per share adding back dividends paid during the period.

5. Percentage valuation movement during the period based on the difference between opening and closing valuations for all properties including buildings under construction and land, adjusting for capital expenditure, acquisitions and disposals. Table 3 in the Supplementary Notes provides a reconciliation to the condensed financial information.

6. A reconciliation between Adjusted net asset value per share and IFRS net asset value per share is shown in Note 11 to the condensed financial information.

7. Adjusted net asset value is in line with EPRA Net Tangible Assets (NTA) (see Table 5 in the Supplementary Notes for a NAV reconciliation).

8. For further information on net debt:EBITDA see footnote 2 to Table 2 in the Supplementary Notes.

OPERATING SUMMARY & KEY METRICS

		H1 2025	H1 2024	FY 2024
PORTFOLIO VALUATION FLAT, CONTINUED RENTAL GROWTH (see page 7):
Portfolio valuation change (%)	Group UK	0.5 0.4	0.0 0.9	1.1 2.1
ERV growth (%)	CE Group UK CE	0.6 1.0 1.4 0.4	(1.4) 1.4 1.5 1.3	(0.8) 3.2 3.7 2.3
ACTIVE ASSET MANAGEMENT DRIVING OPERATIONAL PERFORMANCE (see page 9):
Total new rent contracted during the period (£m)		31	48	91
Pre-lets signed during the period (£m)		3	17	20
Like-for-like net rental income growth (%):	Group	7.8	5.3	5.8
	UK	8.4	4.0	5.9
	CE	6.7	7.4	5.7
Uplift on rent reviews and renewals (%)	Group	33	28	34
(note: excludes uplifts from indexation)	UK	55	36	43
	CE	6	7	7
Occupancy rate (%)		94.3	94.6	94.0
Customer retention (%)		90	87	80
Installed solar capacity (MW)		133	78	123
INVESTMENT ACTIVITY TO DRIVE PORTFOLIO PERFORMANCE (see page 10):
Development capex (£m)		180	211	471
Acquisitions (£m)		243	190	454
Disposals (£m)		35	251	896
Development capex for FY 2025 now expected to be c.£400 million due to fewer than expected pre-lets signed.
EXECUTING AND GROWING OUR PROFITABLE DEVELOPMENT PIPELINE (see page 10):
Development completions:
– Space completed (sq m)		196,800	269,100	374,700
– Potential rent (£m) (Rent secured)		19 (92%)	27 (78%)	37 (84%)
– Development yield (%)		7.7	7.0	6.9
BREEAM 'Excellent'1 or above (%) –		100	96	97
Current development pipeline potential rent (£m) (Rent secured)		34 (32%)	47 (64%)	46 (50%)
Near-term pre-let development pipeline potential rent (£m)		16	2	5

1. Or local equivalent.

CONTACT DETAILS FOR INVESTOR / ANALYST AND MEDIA ENQUIRIES:

SEGRO	Soumen Das (Chief Financial Officer)	Tel: + 44 (0) 20 7451 9110 (after 11am)
	Claire Mogford (Head of Investor Relations)	Mob: +44 (0) 7710 153 974 Tel: +44 (0) 20 7451 9048 (after 11am)
FTI Consulting	Richard Sunderland/ Ellie Sweeney/ Eve Kirmatzis	Tel: +44 (0) 20 3727 1000

FINANCIAL CALENDAR

interim dividend ex-dividend date 7 August 2025 interim dividend record date 8 August 2025 interim dividend payment date 19 September 2025 Third Quarter Trading Update 21 October 2025 Full Year 2025 Results (provisional) 20 February 2026

ABOUT SEGRO

SEGRO is a UK Real Estate Investment Trust (REIT), listed on the London Stock Exchange and Euronext Paris, and is a leading owner, manager and developer of modern warehouses, industrial property and data centres. It owns or manages 10.8 million square metres of space (116 million square feet) valued at £21.4 billion serving customers from a wide range of industry sectors. Its properties are located in and around major cities and at key transportation hubs in the UK and in seven other European countries.

For over 100 years SEGRO has been creating the space that enables extraordinary things to happen. From modern big box warehouses, used primarily for regional, national and international distribution hubs, to urban warehousing, located close to major population centres and business districts, it provides high-quality assets that allow its customers to thrive.

A commitment to be a force for societal and environmental good is integral to SEGRO's purpose and strategy. Its Responsible SEGRO framework focuses on three long-term priorities where the company believes it can make the greatest impact: Championing Low-Carbon Growth, Investing in Local Communities and Environments and Nurturing Talent.

Striving for the highest standards of innovation, sustainable business practices and enabling economic and societal prosperity underpins SEGRO's ambition to be the best property company.

See www.SEGRO.com for further information.

Forward-Looking Statements: This announcement contains certain forward-looking statements with respect to SEGRO's expectations and plans, strategy, management objectives, future developments and performance, costs, revenues and other trend information. All statements other than historical fact are, or may be deemed to be, forward-looking statements. Forward-looking statements are statements of future expectations and all forward-looking statements are subject to assumptions, risk and uncertainty. Many of these assumptions, risks and uncertainties relate to factors that are beyond SEGRO's ability to control or estimate precisely and which could cause actual results or developments to differ materially from those expressed or implied by these forward-looking statements. Certain statements have been made with reference to forecast process changes, economic conditions and the current regulatory environment. Any forward-looking statements made by or on behalf of SEGRO are based upon the knowledge and information available to Directors on the date of this announcement. Accordingly, no assurance can be given that any particular expectation will be met and you are cautioned not to place undue reliance on the forward-looking statements. Additionally, forward-looking statements regarding past trends or activities should not be taken as a representation that such trends or activities will continue in the future. The information contained in this announcement is provided as at the date of this announcement and is subject to change without notice. Other than in accordance with its legal or regulatory obligations (including under the UK Listing Rules and the Disclosure Guidance and Transparency Rules of the Financial Conduct Authority), SEGRO does not undertake to update forward-looking statements, including to reflect any new information or changes in events, conditions or circumstances on which any such statement is based. Past share performance cannot be relied on as a guide to future performance. Nothing in this announcement should be construed as a profit estimate or profit forecast. The information in this announcement does not constitute an offer to sell or an invitation to buy securities in SEGRO plc or an invitation or inducement to engage in or enter into any contract or commitment or other investment activities. Neither the content of SEGRO's website nor any other website accessible by hyperlinks from SEGRO's website are incorporated in, or form part of, this announcement.

INTRODUCTION

The application of our clear and consistent strategy has helped our business to deliver further growth in the first half of 2025. We have a unique portfolio of prime warehouses, two-thirds of which are located in the most supply constrained urban markets (including our data centre portfolio) with the remaining one-third being larger assets that are close to transportation hubs and key logistics corridors. This, along with our enviable land bank and pan-European, customer-focused operating platform with its strong relationships, provides us with what we believe is a significant competitive advantage.

The fundamentals for the industrial and logistics sector remain attractive. Long-term structural trends underpin occupier demand, which when combined with the limited availability of well-located, modern and sustainable warehouse space, will support further rental growth in line with our medium-term expectations (2-4 per cent for big boxes and 3-6 per cent for urban warehouses) and drive demand for new space which can be created on our exceptional land bank.

UK and European take-up remains close to long-term averages, supported by good demand for modern assets in the most strategic locations, and vacancy rates are stable which is supporting further rental growth. These dynamics are also supporting the capture of the mark-to-market rent reversion in our portfolio as we complete on rent reviews and renewals that include the strong market rental growth that was experienced during the pandemic era, particularly in our UK portfolio where lease structures typically allow uplifts to be captured on a five-yearly basis. We do not believe our prime portfolio, with significant reversion and our expectation of continued rental growth, will be affected by the proposed changes to the UK lease structure and potential removal of the upward-only rent review.

European development volumes however have been subdued, both in terms of speculative space under construction (which is helping to keep vacancy in check) but in particular larger pre-let schemes, with new signings impacted by protracted occupier decision making and more recently tariff uncertainty. This has been reflected in our own development pipeline and whilst we are experiencing good demand for our speculatively developed urban schemes, we have fewer large pre-lets currently under construction. Pleasingly, we have seen momentum build in the pre-let conversations that we are having across our portfolio over recent months, as evidenced by the pick-up in our near-term pipeline.

Demand for data centre space across Europe remains strong and we continue to progress the significant 1.8GW+ data centre opportunity that we have within key European Availability Zones. The announcement of our joint venture to develop our first fully fitted facility in West London was a major milestone for our data centre platform. It has created a new opportunity on a former industrial site that had insufficient existing power for data centre development and allows us to benefit from the technical expertise of a partner with a strong track-record of working with major hyperscalers.

While we have been active in the data centre market for over 20 years and have a well-located existing portfolio, we continue to build our knowledge and relationships in this exciting space. The insights and experience that we gain through this partnership will help us to ensure that we execute on the opportunity within our development pipeline in a way that optimises the potential returns available to us, whether that be as powered shells, fully fitted data centres or in some cases via land sales.

With a strong balance sheet, limited near-term refinancing requirements, and a significant amount of liquidity at our disposal we have financial flexibility to continue to invest capital in the development opportunities that offer the most attractive risk-adjusted returns. We continue to invest in and de-risk the future of the business through our Responsible SEGRO strategic priorities and these will help to ensure that our business is in the best shape possible for success in the coming years.

PORTFOLIO UPDATE

Portfolio value increased to £18.5 billion, further market rental growth

Warehouse property values grew slightly during the first six months of 2025, supported by healthy investor appetite for the attractive fundamentals of the asset class, although transaction volumes remain low in general, impacted by the wider macroeconomic uncertainty.

Market rental values have increased across the portfolio, with the UK outperforming Continental Europe. Rental growth has been stronger in markets with more leasing activity, whether rent reviews, renewals or new lettings (both at a market and SEGRO specific level); conversely, in our more big box focused development-led markets such as Poland and Italy with lower levels of pre-let signings, market rents were flat.

The Group's property portfolio was valued at £18.5 billion at 30 June 2025 (£21.4 billion of assets under management). This equates to a small 0.5 per cent increase in value of the portfolio during the first half of the year (after adjusting for capital expenditure and asset recycling) with both the UK and Continental Europe portfolios showing value growth, compared to no change during the first half of 2024 (when a small increase in the UK was offset by further modest decreases in Continental Europe). The net true equivalent yield on our portfolio at 30 June 2025 was unchanged at 5.4 per cent.

Assets held throughout the period increased by 0.8 per cent (H1 2024: 0.1 per cent decline), supported by stable yields, a 1.0 per cent increase in the external valuer's estimate of the market rental value of our portfolio (H1 2024: 1.4 per cent increase) and the benefit of our asset management initiatives.

• Assets held throughout the period in the UK increased in value by 0.9 per cent (H1 2024: 0.9 per cent increase). The lower initial yield of our prime portfolio and larger land bank have led to underperformance versus MSCI Real Estate All Industrial Monthly Index (which has a higher income yield) which increased by 1.8 per cent over the same period. There was no change to the net true equivalent yield applied to our UK portfolio at 5.3 per cent. Rental values improved by 1.4 per cent (H1 2024: 1.5 per cent).
• Assets held throughout the year in Continental Europe increased in value by 0.6 per cent (H1 2024: 1.5 per cent decrease) on a constant currency basis, driven by stable yields (5.6 per cent, the same as 31 December 2024) and rental value growth of 0.4 per cent (H1 2024: 1.3 per cent).

£31 million of new headline rent signed in H1 2025

At 30 June 2025, our portfolio generated passing rent of £695 million, rising to £778 million once rent-free periods expire ('headline rent').

We signed £31 million of new headline rent commitments during the period. This equates to £20 million of rent roll growth (H1 2024: £36 million), which includes £15 million net new headline rent from existing space (see 'Asset Management and Investment Update' page 9) and £5 million related to development (including pre-lets signed during the period) (see 'Development Update' page 10).

Property portfolio metrics at 30 June 20251

		Portfolio value, £m				Yield3
	Lettable area (sq m, AUM)	Whole portfolio (at share)	Whole portfolio (AUM)	Valuation movement2 (%)	Topped up net initial (%)	Net true equivalent (%)	ERV growth4 (%)	Occupancy by ERV (%)
UK	2,875,991	11,629	11,729	0.9	4.3	5.3	1.4	92.7
Continental Europe	7,960,263	6,866	9,713	0.6	5.0	5.6	0.4	96.7
Germany	1,955,892	2,056	2,891	0.7	4.6	5.2	1.3	98.6
Netherlands	701,540	544	832	0.6	4.5	5.6	0.6	99.6
France	1,501,458	1,996	2,457	0.2	4.9	5.5	0.5	94.9
Italy	1,466,872	1,019	1,364	0.9	5.4	5.7	(1.5)	97.1
Spain	355,558	365	602	4.2	5.1	5.3	3.1	100.0
Poland	1,762,556	761	1,317	(0.2)	6.4	6.8	0.2	93.2
Czech Rep.	216,387	125	250	(1.7)	5.4	6.1	0.0	95.8
GROUP	10,836,254	18,495	21,442	0.8	4.6	5.4	1.0	94.3

1 Figures reflect SEGRO wholly-owned assets and its share of assets held in joint ventures unless stated "AUM" which refers to all assets under management.

2 Valuation movement is based on the difference between the opening and closing valuations for properties held throughout the period, allowing for capital expenditure, acquisitions and disposals.

3 In relation to completed properties only.

4 ERV growth was negative in Italy due to an adjustment in the rents of a specific group of single-customer assets, rather than a reflection of rents in the wider portfolio and market.Excluding this adjustment ERV growth for Italy would have been +0.6 per cent.

Summary of key leasing data for H1 2025

Summary of key leasing data1 for the six months to 30 June		H1 25	H1 24
Take-up of existing space2 (A)	£m	11	15
Space returned3 (B)	£m	(10)	(11)
NET ABSORPTION OF EXISTING SPACE2 (A-B)	£m	1	4
Other rental movements (rent reviews, renewals, indexation)2 (C)	£m	14	15
RENT ROLL GROWTH FROM EXISTING SPACE	£m	15	19
Take-up of pre-let developments completed in the year (signed in prior years)2 (D)	£m	15	20
Take-up of speculative developments completed in the past two years2 (D)	£m	3	2
TOTAL TAKE-UP2 (A+C+D)	£m	43	52
Less take-up of pre-lets and speculative lettings signed in prior years2	£m	(15)	(21)
Developments signed in the year for future delivery2	£m	3	17
RENTAL INCOME CONTRACTED IN THE PERIOD2	£m	31	48
Takeback of space for redevelopment	£m	(1)	(1)

1 All figures reflect exchange rates at 30 June 2025 and include joint ventures at share.

2 Headline rent.

3 Headline rent, excluding space taken back for redevelopment.

More details of our property portfolio can be found in the H1 2025 Property Analysis Report at www.SEGRO.com/investors.

DELIVERING STRONG GROWTH THROUGH THE EXISTING PORTFOLIO AND SELECTIVE INVESTMENT ACTIVITY (ASSET MANAGEMENT AND INVESTMENT UPDATE)

Our existing portfolio continues to contribute a significant amount to the growth of our rent roll as our marketleading operating platform actively manages our assets to capture reversion, drive rents and create additional value through refurbishment and improving the sustainability credentials of our assets.

During the first half of 2025 the existing portfolio delivered £15 million of new headline rent (H1 2024: £19 million). This comprised £11 million on new lettings (H1 2024: £15 million) and £14 million from the capture of reversion (the difference between in-place and market rents) on rent reviews and renewals, and from inflation-related uplifts in index-linked leases (H1 2024: £15 million). This was offset by rent lost from space taken back of £10 million (H1 2024: £11 million), much of it for refurbishment.

Customers from the transport and logistics sector continued to be the largest takers of our space during the first half of the year, as they remain focused on prioritising efficiency, resilience and sustainability across their operations. This was closely followed by manufacturers for similar reasons. Our urban spaces continue to be in high demand from a diverse range of businesses who provide value-added goods and services to nearby growing populations.

Active asset management to capture reversion, drive rents and create value

The active asset management of our portfolio reflects our goal of generating outperformance through the cycle. We create plans for every single asset as part of our annual asset review process, aiming to strike a balance between maintaining current high occupancy and creating opportunities to drive future rents and create value through refurbishment, redevelopment or conversion to alternative, higher value uses, such as data centres.

We monitor a number of metrics that help us assess the performance of our existing portfolio:

• Excellent progress in capturing the embedded reversion within our portfolio. Lease reviews, renewals and regears during the period generated an uplift of 33 per cent (H1 2024: 28 per cent), adding £10 million of new headline rent. New rents agreed were 55 per cent higher in the UK (H1 2024: 36 per cent) as reversion accumulated over the past five years was reflected in new rents agreed. This uplift is naturally lower in Continental Europe as annual indexation uplifts in these markets mean we are able capture some of the reversion each year. As a result, the rents agreed on renewal in this part of the portfolio were 6 per cent higher (H1 2024: 7 per cent), reflecting rental growth in excess of inflation. As at 30 June 2025, our portfolio is 15 per cent reversionary, providing us with the opportunity to capture a further £116 million of headline rent, £67 million of which is up for rent review or renewal by the end of 2027.
• Customer retention rate increased to 90 per cent. Approximately £61 million of headline rent was at risk from a break or lease expiry during the period, of which we have retained 89 per cent in existing space (H1 2024: 85 per cent), and a further 1 per cent in new premises (H1 2024: 2 per cent).
• Occupancy has improved slightly to 94.3 per cent (31 December 2024: 94.0 per cent), reflecting a strong letting performance in our recently completed speculative projects. The average occupancy rate during the period was 94.0 per cent (H1 2024: 94.4 per cent) and the occupancy rate excluding recently completed speculative developments remains high at 95.2 per cent (31 December 2024: 96.3 per cent).
• Lease terms continue to offer attractive income security. The level of incentives agreed for new leases increased to 10 per cent of headline rent (H1 2024: 7 per cent), with the difference mostly due to incentives on developments, whereas on the standing portfolio they decreased slightly to 6 per cent (H1 2024: 7 per cent). We maintained the portfolio's weighted average lease length, with 7.1 years to first break and 8.2 years to expiry (31 December 2024: 7.4 years to first break, 8.4 years to expiry). Lease terms are longer in the UK (8.6 years to break) than in Continental Europe (5.2

years to break), reflecting the market convention of shorter leases in countries such as France and Poland.

• Improving the sustainability credentials of our portfolio through refurbishment. We continue to improve the carbon footprint of our portfolio through the ongoing maintenance and refurbishment of our warehouses. We are also working hard to expand the solar capacity of our portfolio through retrofitting onto existing assets and installing panels on every new development where feasible. Our solar capacity at 30 June 2025 had increased by 10 MW to 133 MW.

Investment activity focused on generating long-term outperformance

As well as supporting our asset managers in driving performance and rental growth, our annual asset review process helps to ensure that we invest our capital into the opportunities that offer the most attractive riskadjusted returns. This is fundamental to our disciplined approach to capital allocation and ensures we generate long-term outperformance from our portfolio.

Our asset plans (including an analysis of future rental growth and capex requirements) allow us to identify those assets where we have benefited from the majority of the potential upside or where the risk profile may have changed. This analysis, alongside our in-depth knowledge of our markets and our customer base, shapes our future disposal list. We typically aim to dispose of one to two per cent of the portfolio per annum.

After a very active 2024 in terms of disposals (almost £900 million of assets and land), we expect to return to this run-rate in 2025. During the first half of the year we disposed of £31 million of assets, representing £1 million of annualised rental income, above book value. These disposals included an older estate in North London and standalone asset in Germany, as well as a hotel developed as part of the East Plus portfolio. We also disposed of £4 million of land, mostly smaller residual plots.

The proceeds from disposals, along with additional debt and equity funding, are invested into the growth of our portfolio and we adapt our approach to capital deployment depending on our assessment of the property cycle and other external factors.

During the first half of 2025 we acquired £228 million of assets (at share), all within our SELP joint venture. The first was a portfolio of six assets in Germany and the Netherlands (formerly owned by Tritax EuroBox) and the second was a logistics park in Prague. The annualised rental income of these assets is £11 million. These assets complement our existing portfolio and are in markets where we have strong conviction over rental growth potential and therefore future returns.

DEVELOPMENT PIPELINE DELIVERING NEW SPACE IN MARKETS WITH STRONG RETURNS (DEVELOPMENT UPDATE)

Our Disciplined approach to capital allocation means that development continues to be the focus of our capital deployment as we look to turn land held on our balance sheet into income-producing assets which offer strong future returns. Our focus on Operational excellence ensures that we execute on our pipeline efficiently and safely and build to the highest construction and sustainability standards.

During H1 2025 we invested £180 million into our development pipeline (H1 2024: £211 million), including £62 million on infrastructure to facilitate future UK big box logistics parks. We spent only £15 million on land acquisitions as we are prioritising development on existing land.

We now expect to invest c.£400 million on development capex during 2025, adjusted from c.£500 million at the start of the year due to slower occupier decision making which has resulted in us pushing back the start date of some anticipated projects as we continue to negotiate the pre-lets. However, the near-term pipeline has grown since year end which will support continued investment into development in 2026.

Development completions delivered £19 million of potential headline rent

Development completions during the first half of 2025 added 196,800 sq m of new space to the portfolio, generating £18 million of headline rent, with a further £1 million to come when the remainder of the space is let. The development yield (including land, construction and finance costs) is expected to be 7.7 per cent when fully occupied.

We completed 161,300 sq m of big box warehouses during the period, including our first pre-let at SEGRO Park Northampton and warehouses for a third-party logistics operator in Madrid and a freight-forwarder in Hamburg.

We completed 35,500 sq m of urban warehouses, including a speculatively built scheme on the Slough Trading Estate, which is generating strong interest from occupiers, and pre-lets in Düsseldorf and Marseille.

All of our eligible development completions during the first half of 2025 have been, or are expected to be, accredited BREEAM 'Excellent' or 'Outstanding' or higher (or local equivalent).

£50 million of potential headline rent currently under development or due to start shortly

At 30 June 2025, we had development projects approved, contracted or under construction totalling 276,900 sq m, representing £121 million of future capital expenditure to complete and £34 million of annualised gross rental income when fully let. The development yield on these projects, when fully occupied, is anticipated to be 7.3 per cent.

32 per cent of this rent has already been secured, lower than our normal 60-70 per cent run rate. This is due to a reduced number of pre-lets in the development pipeline, as a result of protracted decision making by potential occupiers, rather than an increase in speculative development volumes which are running at normal levels on an absolute basis. We continue to focus our speculative developments on urban warehouse projects in major European cities, where modern space is in short supply and occupier demand is strong.

We signed £3 million of headline rent from pre-let agreements and lettings of speculative developments prior to completion (H1 2024: £17 million). This included a big box warehouse on our food campus, SmartParc SEGRO Derby, and an urban scheme in SEGRO Park Düsseldorf Süd.

In the UK, we have 30,100 sq m of space approved or under construction, which includes the above mentioned big box scheme at SmartParc SEGRO Derby, a powered shell data centre on the Slough Trading Estate and a small speculative development in West London.

In Continental Europe, we have 246,800 sq m of space approved or under construction. This includes prelet big box warehouses in Amsterdam, Barcelona and Naples, for a variety of different occupiers, and further phases of our successful urban warehouse parks in Germany, including in Berlin, Cologne and Düsseldorf, as well as in Madrid and Paris.

We have factored construction and financing costs at current rates into the development returns for our future development projects. Build costs are currently stable across our markets. We typically expect to be able to develop at a margin of at least 150 basis points over the valuation yields on comparable standing assets, meaning that development remains a profitable way of growing the rent roll.

Within the future development pipeline we often have a small number of pre-let projects close to being approved, awaiting either final conditions to be met or planning approval to be granted before commencing construction, typically within the next six to twelve months. As at 30 June 2025, our near-term pipeline has increased in size since December 2024, currently totalling 273,500 sq m of space, equating to approximately £173 million of future capital expenditure and £16 million of potential annual rent.

£495 million of future potential rent from land bank and options

Our land bank identified for future development (including the near-term projects detailed above) totalled 666 hectares as at 30 June 2025, valued at £1.6 billion, roughly 9 per cent of our total portfolio value. The land bank comprises both bare land and sites with some existing buildings that were acquired with the intent to develop (these currently generate £8 million of annualised rent, which is excluded from passing rent).

We estimate this land bank can support 3 million sq m of development over the next five to seven years. The estimated capital expenditure associated with the future pipeline is approximately £3.3 billion. It could generate £372 million of gross rental income, representing a development yield (including land and notional finance costs) of between 7 and 8 per cent and a yield on new capital invested of 10 to 11 per cent. This estimate includes a number of the data centre opportunities within our pipeline as powered shells but does not yet include any potential capital expenditure associated with fully fitted data centres.

The development programme only includes sites currently held as land, there is further opportunity from the redevelopment of existing assets which are not included in these development pipeline numbers.

Land acquisitions that are contracted (but subject to further conditions) and land held under option agreements are also not included in the figures above but represent significant further development opportunities. These include sites for big box warehouses in the UK Midlands as well as in Italy and Poland. They also include urban warehouse sites in London's prime Western and Eastern corridors.

Those options we expect to exercise over the next two to three years are for land capable of supporting over 1.3 million sq m of space and generating approximately £123 million of headline rent, for a blended development yield of between 7 and 8 per cent. The options are held on the balance sheet at a value of £20 million (including joint ventures and associates at share).

All of the figures relating to our land bank and options, other than the current value, are indicative, based on our current expectations, and are dependent on our ability to secure pre-let agreements, planning permissions, construction contracts and on our outlook for occupier conditions in local markets.

Further details of our completed projects and development pipeline are available in the H1 2025 Property Analysis Report, at www.SEGRO.com/investors.

EVOLUTION OF OUR DATA CENTRE STRATEGY TO INCLUDE FULLY FITTED DATA CENTRES - A SIGNIFICANT VALUE CREATION OPPORTUNITY

Although data centres currently represent a relatively small portion of our portfolio, 7 per cent of our headline rent at 30 June 2025, they produce over £50 million of headline rent per year and our data centre pipeline provides a significant value creation opportunity in this fast-growing sector. We have been active in this market for over 20 years, and our existing data centre portfolio (including space under construction) currently represents approximately 0.5GW of capacity.

The vast majority of this installed capacity is on SEGRO's Slough Trading Estate which we believe to be the largest hub of data centres in Europe. Our 34 existing data centres have been built as powered shells, where we provide the real estate and a power capacity allocation (as agreed with our energy partners) and our customers fit out and operate or sub-lease the space themselves.

Our track record and capabilities in this space, including knowledge, technical expertise and customer relationships, have enabled us to identify similar opportunities across our portfolio where we have secured, or believe we can secure, planning and power to create considerable further data centre capacity. We have a total opportunity set or "power bank" on sites we own where we have, or believe, we can secure power equating to over 2.3GW of potential capacity, including the 0.5GW of operational capacity mentioned above. We have progressed further opportunities during early 2025 and expect to add to this as our teams work hard to secure the necessary power and planning permissions. The Simplified Planning Zone status of the Slough Trading Estate, which was renewed last year, provides a significant competitive advantage in respect of several of these sites.

Most of our data centre development sites are located within key Availability Zones, close to major urban conurbations and aligned with our existing urban footprint, which means that our sites are well positioned to benefit from demand driven by growth in both the Cloud as well as the "inference" elements of AI that require close proximity to end users. Development sites with planning consents and access to power in such locations are in very short supply and, accordingly, we have a significant value creation opportunity available to us.

We have been carefully considering the best strategy for capturing this opportunity and earlier this year we announced an evolution of our strategy to include the development of fully fitted data centres. This increases the scope of development to include the mechanical and engineering fit out, but not the IT infrastructure which will be provided by the end customer who will then operate and maintain the space. This is more technically complex and requires significantly more capital investment but also significant increases the returns potential from a single site.

In order to manage the complexity of developing a fully fitted data centre we have decided to make our first steps into this new area in partnership with an established data centre developer and operator. In March, we announced the creation of a 50:50 joint venture with Pure Data Centres Group Limited ("Pure DC"), a data centre operator with over a decade of experience in the design, build and operation of world-class data centres for the most sophisticated hyperscale users. This joint venture intends to develop and deliver a 56MW fully fitted data centre in Park Royal, West London in a land and power-constrained key London Availability Zone where there is strong underlying demand.

The gross capital investment for this project is anticipated to be approximately £1 billion (including the land and power), of which SEGRO's cash equity contribution is expected to be c.£150 million, and is projected to deliver an unlevered net yield on cost (based on future rents and costs, excluding finance cost as per the data centre market convention) of 9 to 10 per cent. We expect the project to generate very attractive returns on our capital invested and deliver a significant amount of value over the development time horizon. We remain on track to submit planning in the second half of 2025 and are aiming to secure a pre-let to a hyperscaler in 2026.

The evolution of our strategy to include fully fitted data centres significantly increases the earnings and value creation opportunity within our 2.3GW+ land-enabled power bank. We now have the strategic flexibility and opportunity to follow both the powered shell and fully fitted models, which will ensure that we can best access the demand in each of our markets and allows us to deploy capital at scale to generate significant development profits.

For each opportunity, we will pursue the model which offers the most attractive opportunity and expected risk-adjusted returns, having regard to factors such as the site characteristics, the specific market supplydemand dynamics, risk and return expectations.

INTERIM DIVIDEND OF 9.7 PENCE PER SHARE

Consistent with its previous guidance that the interim dividend would normally be set at one-third of the previous year's total dividend, the Board has declared an increase in the interim dividend of 0.6 pence per share to 9.7 pence (H1 2024: 9.1 pence), a rise of 6.6 per cent. This will be paid as an Ordinary dividend on 19 September 2025 to shareholders on the register at the close of business on 8 August 2025.

The Board will not offer a scrip dividend option for the 2025 interim dividend due to the potentially dilutive impact given the current share price.

FINANCIAL REVIEW

Like-for-like net rental income growth and income from new developments and lower finance costs were the primary drivers of the 11 per cent increase in Adjusted profit before tax compared to H1 2024. Adjusted NAV per share increased by 3 pence to 910 pence compared to December 2024, primarily due to the valuation increase.

Financial highlights

	30 June	30 June	31 December
	2025	2024	2024
IFRS net asset value (NAV) per share (diluted) (p)	891	874	889
Adjusted NAV per share1 (diluted) (p)	910	891	907
IFRS profit before tax (£m)	264	235	636
Adjusted profit before tax2 (£m)	252	227	470
IFRS earnings per share (EPS) (p)	18.3	16.9	44.7
Adjusted EPS2 (p)	18.1	17.0	34.5

1. A reconciliation between IFRS NAV and Adjusted NAV is shown in Note 11.

2. A reconciliation between IFRS profit before tax and Adjusted profit before tax is shown in Note 2 and between IFRS EPS and Adjusted EPS is shown in Note 11.

Presentation of financial information

The condensed financial information is prepared under IFRS where the Group's interests in joint ventures and associates are shown as a single line item on the income statement and balance sheet, and subsidiaries are consolidated at 100 per cent.

The Adjusted profit measure better reflects the underlying recurring performance of the Group's property rental business, which is SEGRO's core operating activity. It is based on the Best Practices Recommendations of the European Public Real Estate Association (EPRA) which are widely used alternate metrics to their IFRS equivalents (further details on EPRA Best Practices Recommendations can be found at www.epra.com). In calculating Adjusted profit, the Directors may also exclude additional items considered to be non-recurring, not in the ordinary course of business or significant by virtue of size and nature.

No such adjustment has been included for the current period however an impairment of a loan to an associate of £1 million has been excluded in respect of H1 2024 (FY 2024: £nil). This is detailed, along with a reconciliation between Adjusted profit after tax and IFRS profit after tax, in Note 2 of the condensed financial information.

The Adjusted NAV per share measure reflects the EPRA Net Tangible Asset metric and based on the EPRA Best Practices Reporting Recommendations. A detailed reconciliation between Adjusted NAV and IFRS NAV is provided in Note 11(ii) of the condensed financial information.

The Supplementary Notes to the condensed financial information include other EPRA metrics as well as SEGRO's Adjusted income statement and balance sheet presented on a proportionately consolidated basis.

SEGRO monitors the above alternative metrics, as well as the EPRA metrics for vacancy rate, net asset value, loan-to-value ratio and total cost ratio, as they provide a transparent and consistent basis to enable comparison between European property companies.

Look-through metrics provided for like-for-like net rental income include joint ventures and associates at share in order that our full operations are captured, therefore providing more meaningful analysis.

ADJUSTED PROFIT

Adjusted profit

	Six months to	Six months to
	30 June 2025	30 June 2024
	£m	£m
Gross rental income	306	283
Property operating expenses	(42)	(43)
Net rental income	264	240
Joint venture management fee income	12	14
Management and development fee income	1	5
Net service charge and other income	1	–
Administrative expenses	(33)	(35)
Share of joint ventures and associates' Adjusted profit after tax1	38	41
Adjusted operating profit before interest and tax	283	265
Net finance costs	(31)	(38)
Adjusted profit before tax	252	227
Tax on Adjusted profit	(7)	(5)
Adjusted profit after tax2	245	222

1. Comprises net property rental income and management income less administrative expenses, net interest expenses and taxation.

2. A detailed reconciliation between Adjusted profit after tax and IFRS profit after tax is provided in Note 2 to the condensed financial information.

Adjusted profit before tax increased by £25 million (11 per cent) to £252 million (H1 2024: £227 million) during H1 2025. The results are largely driven by growth in net rental income (including joint ventures and associates at share) of £22 million and a decrease in net finance costs of £7 million as detailed further below.

Adjusted profit is detailed further in Note 2 of the condensed financial information.

Net rental income (including joint ventures and associates at share)

	Six months to	Six months to
Like-for-like net rental income	30 June 2025	30 June 2024	Change2
	£m	£m	%
UK	176	162	8.4
Continental Europe	109	102	6.7
Like-for-like net rental income before other items	285	264	7.8
Other1	(2)	(3)
Like-for-like net rental income (after other)	283	261	8.1
Development lettings	22	5
Properties taken back for development	4	12
Like-for-like net rental income plus developments	309	278
Properties acquired	13	–
Properties sold	–	16
Net rental income before surrenders, dilapidations and exchange	322	294
Lease surrender premiums and dilapidations income	1	5
Other items and rent lost from lease surrenders	5	5
Impact of exchange rate difference between periods	–	2
Net rental income (including joint ventures and associates at share)3	328	306
SEGRO share of joint venture management fees	(6)	(6)
Net rental income after SEGRO share of joint venture management fees	322	300

1. Other includes the corporate centre and other costs relating to the operational business which are not specifically allocated to a geographical business.

2. Percentage change has been calculated using numbers accurate to one decimal place.

3. The like-for-like net rental growth metric is based on properties held throughout both H1 2025 and H1 2024 on a proportionally consolidated basis. The value of the properties as at 30 June 2025 on a proportional basis were £14,524 million (30 June 2024: £14,484 million). This provides details of net rental income The like-for-like rental growth metric is based on properties held throughout both H1 2025 and H1 2024 and comprises wholly-owned assets (net rental income of £264 million) and SEGRO's share of net rental income held in joint ventures and associates (£64 million) totalling £328 million.

Net rental income increased by £22 million in H1 2025, primarily reflecting the positive impact of like-for-like rental growth of £22 million with additional income of £17 million from development lettings being offset by income lost from properties taken back for development and net disposals.

On a like-for-like basis, before other items, net rental income increased by £21 million, or 7.8 per cent, compared to H1 2024. In the UK there was a 8.4 per cent increase and in Continental Europe a 6.7 per cent increase primarily due to rent reviews and indexation across our portfolio.

Income from joint ventures and associates

SEGRO's share of joint ventures and associates' Adjusted profit after tax decreased by £3 million from £41 million in H1 2024 to £38 million in H1 2025 as a result of a slight reduction in net rental income in the SELP joint venture due to the impact of disposals in 2024 offsetting the impact of acquisitions and underlying rental growth. Joint venture management fee income decreased by £2 million to £12 million in H1 2025 as a result of lower development activity.

Administrative and operating costs

The Total Cost Ratio ('TCR') for H1 2025 of 19.0 per cent was lower than H1 2024 (20.2 per cent). This is a result of the growth of the income line (discussed above) whilst the cost base has remained in line with the prior period. Excluding the impact of share-based payments, the cost of which are directly linked to the relative total return of the property portfolio, the cost ratio of 18.4 per cent in H1 2025 was lower than H1 2024 (18.9 per cent). The calculations are set out in Table 9 of the Supplementary Notes to the condensed financial information.

Property operating expenses in the wholly-owned portfolio have remained broadly in line in the period with a £1 million decrease from £43 million in H1 2024 and similarly administrative expenses have decreased by £2 million, as a result of reduced staff costs including bonus being partially offset by higher depreciation from technology spend.

Net finance costs

Net finance costs have decreased by £7 million during the period from £38 million in H1 2024 to £31 million in H1 2025 primarily due to lower weighted average cost of debt, particularly EURIBOR. Furthermore, the equity raise undertaken in February 2024 had a positive impact on subsequent finance costs.

Taxation

The tax charge on Adjusted profit of £7 million (H1 2024: £5 million) reflects an effective tax rate of 2.8 per cent (H1 2024: 2.2 per cent) as there has been a change in the mix of profit across the countries in which we operate.

The Group's tax rate reflects the fact that over three-quarters of its wholly-owned assets are located in the UK and France and qualify for REIT and SIIC status respectively in those countries. This status means that income from rental profits and gains on disposals of assets in the UK and France are exempt from corporation tax, provided SEGRO meets a number of conditions including, but not limited to, distributing 90 per cent of UK taxable profits.

Adjusted earnings per share

Adjusted earnings per share were 18.1 pence (H1 2024: 17.0 pence) reflecting the increase in Adjusted profit after tax discussed above, slightly offset by the higher average number of shares in the current period following the equity placing during the prior period.

IFRS PROFIT

IFRS profit after tax was £247 million in H1 2025 (H1 2024: £220 million) primarily due to Adjusted profit after tax of £245 million described above. This equated to an IFRS earnings per share of 18.3 pence compared to an earnings per share of 16.9 pence in H1 2024.

IFRS profit after tax includes realised and unrealised property gains of £39 million including a revaluation surplus of £37 million (being a surplus of £15 million from the wholly owned investment property and £22 million in respect of the joint venture portfolio), and gains on disposal from the wholly owned investment property portfolio of £3 million (of which £2 million is in respect of investment properties and £1 million is in respect of trading properties). This is partially offset by a share of a loss on disposal from the joint venture portfolio of £1 million. Further breakdown is detailed in Note 7.

A reconciliation between Adjusted profit after tax and IFRS profit after tax is provided in Note 2 to the Condensed Financial Information.

BALANCE SHEET

Adjusted net asset value

	£m	Shares million	Pence per share
Adjusted net assets attributable to ordinary shareholders at 31 December 2024	12,287	1,355.3	907
Adjusted profit after tax	245		18
Realised and unrealised property gains (including joint ventures and associates)	39		3
Dividend (2024 final)	(273)		(20)
Exchange rate movement (net of hedging)	49		4
Other	(17)		(2)
Adjusted net assets attributable to ordinary shareholders at 30 June 2025	12,330	1,354.6	910

Adjusted net asset value per share at 30 June 2025 was 910 pence measured on a diluted basis (31 December 2024: 907 pence), an increase of 3 pence in the period. The table above highlights the principal factors behind the movement. The impact of the dividend represents movement in respect of payment of the final dividend for 2024 whereas the profit movement is in respect of the 6 months to June 2025. At 30 June 2025, IFRS net assets attributable to ordinary shareholders (on a diluted basis) were £12,072 million (31 December 2024: £12,049 million), equating to 891 pence per share (31 December 2024: 889 pence).

A reconciliation between IFRS and Adjusted net assets is available in Note 11 to the Condensed Financial Statements.

CASH FLOW AND NET DEBT RECONCILIATION

Cash flow from operations for the period was £221 million, an increase of £18 million from H1 2024 (£203 million) following an increase in Adjusted profit in the period, discussed further above.

The significant cash outflow in the period relates to acquisitions and developments of investment properties at £216 million compared to £462 million in the prior period. The reduction is primarily due to reduced acquisition activity in the wholly owned business during the period. For details of the Group's investment activity during the period and ongoing development activity see Investment Update and Development sections above. Cash flows from investment property sales are £27 million, a significant reduction compared to £251 million representing lower sales activity.

Another significant financing cash outflow is dividends paid of £235 million (H1 2024: £129 million) primarily due to the level of scrip dividend take-up in the prior period. The prior period benefitted from a significant inflow of £889 million from an equity raise undertaken in February 2024.

As a result of these factors, there was a net outflow of £252 million during the period compared to a £678 million inflow in H1 2024.

	Six months to	Six months to
	30 June 2025	30 June 2024
Opening net debt	£m (4,244)	£m (4,972)
Cash flow from operations	221	203
Finance costs (net)	(53)	(70)
Dividends received	9	6
Tax (paid)/received	(26)	2
Free cash flow	151	141
Dividends paid	(235)	(129)
Acquisitions and development of investment properties	(216)	(462)
Investment property sales	27	251
Acquisitions of other interests in property and other investments	(3)	(2)
Proceeds from issue of ordinary shares	–	889
Net settlement of foreign exchange derivatives	(5)	(3)
Net investment in joint ventures and associates	34	(3)
Other items	(5)	(4)
Net funds flow	(252)	678
Non-cash movements	(3)	(5)
Exchange rate movements	(109)	86
Closing net debt	(4,608)	(4,213)

Capital expenditure

The table below sets out analysis of the capital expenditure on property assets during the period on a basis consistent with the EPRA Best Practices Recommendations. This includes acquisition and development spend, on an accruals basis, in respect of the Group's wholly-owned investment and trading property portfolios, as well as the equivalent amounts for joint ventures and associates at share.

Total spend for the period was £513 million, an increase of £26 million compared to H1 2024. Acquisitions for the period were £243 million, an increase of £53 million compared to H1 2024 and primarily related to activity in SELP where a portfolio of assets in Germany and the Netherlands were purchased from Titanium Ruth Holdco Limited (formerly known as Tritax EuroBox plc). Development capital expenditure for the period was £180 million, a decrease of £31 million compared to H1 2024.

As detailed further in Note 6, during the period, a joint venture was formed with Pure Data Centre Group into which SEGRO have contributed land. Given the nature of this transaction, it is not reflected in the table below.

Spend on existing completed properties totalled £23 million (H1 2024: £24 million), primarily for valueenhancing major refurbishment and fit-out costs prior to re-letting.

EPRA capital expenditure analysis

	Six months to 30 June 2025			Six months to 30 June 2024
	Wholly owned £m	Joint ventures and associates £m	Total £m	Wholly owned £m	Joint ventures and associates £m	Total £m
Acquisitions	151	2285	243	1901	–	190
Development	1752	5	180	1852	26	211
Capitalised interest3	31	1	32	33	1	34
Investment properties:
Incremental lettable space	–	–	–	–	–	–
Non-incremental lettable space	19	4	23	23	1	24
Tenant incentives4	28	7	35	19	9	28
Total capital expenditure	268	245	513	450	37	487

1. Being £15 million investment property and £nil trading property (H1 2024: £190 million and £nil respectively) see Note 12.

2. Being £174 million investment property and £1 million trading property (H1 2024: £185 million and £nil respectively) see Note 12.

3. Capitalised interest on development expenditure.

4. Includes tenant incentives and letting fees.

5. Excludes acquisitions of property sold from the Group's wholly owned portfolio to the Pure and SELP joint ventures.

FINANCIAL SUMMARY

Financial position at 30 June 2025

At 30 June 2025, the gross borrowings of the SEGRO Group and its share of gross borrowings in joint ventures and associates, after capitalised finance costs, totalled £5,921 million (31 December 2024: £5,536 million). Virtually the entirety of these gross borrowings are unsecured; £3 million (31 December 2024: £3 million) are secured by way of legal charges over specific assets. Cash and cash equivalent balances were £295 million (31 December 2024: £536 million). The average debt maturity was 6.4 years (31 December 2024: 6.9 years) and the average cost of debt (excluding non-cash interest and commitment fees) was 2.5 per cent (31 December 2024: 2.5 per cent).

Financial Position and Funding

SEGRO GROUP	30 June 2025	30 June 2024	31 December 2024
Net borrowings (£m)	4,608	4,213	4,244
Available cash and undrawn committed facilities (£m)1	1,483	1,885	1,705
Gearing (%)	38	35	35
LTV ratio (%)	30	28	28
Net debt: EBITDA ratio (times)2	8.8	8.5	8.6
Weighted average cost of debt (%)3	2.5	2.8	2.5
Interest cover (times)4	4.2	2.9	3.7
Average duration of debt (years)	7.3	7.6	7.8
SEGRO Group, JVs and associates at share
Net borrowings (£m)	5,626	5,218	5,000
Available cash and undrawn committed facilities (£m)1	1,893	2,087	2,125
LTV ratio (%)	31	30	28
Weighted average cost of debt (%)3	2.5	2.7	2.5
Interest cover (times)4	4.3	3.1	3.9
Average duration of debt (years)	6.4	6.8	6.9

1. Excludes tenant deposits held within cash and cash equivalents.

2. Calculation detailed in Table 2 in the Supplementary Notes.

3. Based on gross debt, excluding commitment fees and non-cash interest.

Funds available to the SEGRO Group (including its share of joint ventures and associates) at 30 June 2025 totalled £2,111 million (31 December 2024: £2,337 million), comprising £295 million of cash and short-term investments (which includes £73 million of tenant deposits) and £1,816 million of undrawn credit facilities (which includes £145 million of uncommitted facilities). Cash and cash equivalent balances, together with the Group's interest rate and foreign exchange derivatives portfolio, are spread amongst a strong group of banks, all of which have a credit rating of A- or better.

Financing

In January 2025, SELP issued a €500 million 3.75 per cent bond due in 2032.

In April 2025, SEGRO signed a new €1.6 billion revolving credit facility with its syndicate of eight relationship banks. The senior unsecured facility has an initial five-year term and may be further extended to a maximum of seven years, subject to lender approval. The new facility replaces the previous €1.0 billion and €0.6 billion syndicated revolving credit facilities, which were due to mature in 2027.

MONITORING AND MITIGATING FINANCIAL RISK

The Group monitors a number of financial metrics to assess the level of financial risk being taken and to mitigate that risk.

Treasury policies and governance

The Group Treasury function operates within a formal policy covering all aspects of treasury activity, including funding, counterparty exposure and management of interest rate, currency and liquidity risks. Group Treasury reports on compliance with these policies on a quarterly basis and policies are reviewed regularly by the Board.

Gearing and financial covenants

We consider the key leverage metric for SEGRO to be a proportionally consolidated ('look-through') loan to value ratio (LTV) which incorporates assets and net debt on SEGRO's balance sheet and SEGRO's share of assets and net debt on the balance sheets of its joint ventures and associates. The LTV at 30 June 2025 on this basis was 31 per cent (31 December 2024: 28 per cent).

SEGRO's borrowings contain gearing covenants based on Group net debt and net asset value, excluding debt in joint ventures. The gearing ratio of the Group at 30 June 2025, as defined within the principal debt funding arrangements of the Group, was 38 per cent (31 December 2024: 35 per cent).

This is significantly lower than the Group's tightest gearing financial covenant within these debt facilities of 160 per cent. Property valuations would need to fall by around 50 per cent from their 30 June 2025 values to reach the gearing covenant threshold of 160 per cent. A 50 per cent fall in property values would equate to an LTV ratio of approximately 62 per cent.

The Group's other key financial covenant within its principal debt funding arrangements is interest cover, requiring that net interest before capitalisation be covered at least 1.25 times by net property rental income. At 30 June 2025, the Group comfortably met this ratio at 4.2 times, calculated on a rolling 12 month basis in line with covenant requirements. Net property rental income would need to fall by 70 per cent from the 12 months ending 30 June 2025 levels, or the Group average interest rate would need to rise to in excess of 9 per cent to breach the interest cover covenant threshold. On a proportionally consolidated basis, including joint ventures, the interest cover ratio was 4.3 times.

SEGRO also monitors its leverage on a net debt: EBITDA basis which is an increasingly important metric for rating agencies and our investors. SEGRO's net debt: EBITDA ratio at 30 June 2025 was 8.8 times (31 December 2024: 8.6 times). SEGRO has a long-term issuer default rating of 'BBB+' and a senior unsecured rating of 'A-' from Fitch Ratings as at 30 June 2025. The outlook on the ratings remains 'stable'.

We mitigate the risk of over-gearing the Company and breaching debt covenants by carefully monitoring the impact of investment decisions on our LTV and by stress-testing our balance sheet to potential changes in property values. We also expect to continue to recycle assets which would also provide funding for future investment.

Our intention for the foreseeable future is to maintain our LTV at around 30 per cent, although the evolution of the property cycle will inevitably mean that there are periods of time when our LTV is higher or lower than this. However, this level of LTV through the cycle provides the flexibility to take advantage of investment opportunities arising and ensures significant headroom compared against our tightest gearing covenant should property values decline.

The weighted average maturity of the gross borrowings of the Group (including joint ventures at share) was 6.4 years, with the closest maturity being SELP's €500 million euro bond in November 2025, followed by SEGRO's €650 million euro bond in March 2026. This long average debt maturity comprises a well spread debt funding maturity profile which reduces future refinancing risk.

Interest rate risk

The Group's interest rate risk policy is designed to ensure that we limit our exposure to volatility in interest rates. The policy states that between 50 and 100 per cent of net borrowings (including the Group's share of borrowings in joint ventures and associates) should be at fixed or capped rates, including the impact of derivative financial instruments.

At 30 June 2025, including the impact of derivative instruments, 100 per cent (31 December 2024: 116 per cent) of the net borrowings of the Group (including the Group's share of borrowings within joint ventures) were either at fixed rates or are protected from rising interest rates with an active interest rate cap. The active interest rate cap portfolio has a spread of expiry dates over the next 4 years to 2029 and an average expiry of 2.4 years.

	30 June	30 June	31 December
Hedging position (% of net borrowings)	2025	2024	2024
SEGRO Group
Fixed rate borrowings	87	84	92
Floating rate borrowings subject to an active cap	9	22	23
Floating rate borrowings subject to an inactive cap	15	5	3
Floating rate borrowings not hedged	(8)	2	(9)
Total gross borrowings	103	113	109
Cash & cash equivalents	(3)	(13)	(9)
Total	100	100	100
SEGRO Group, JV's and associates at share
Fixed rate borrowings	92	86	97
Floating rate borrowings subject to an active cap	8	18	19
Floating rate borrowings subject to an inactive cap	12	4	3
Floating rate borrowings not hedged	(7)	3	(8)
Total gross borrowings	105	111	111
Cash & cash equivalents	(5)	(11)	(11)
TOTAL	100	100	100

As a result of the fixed and capped cover in place, if short term interest rates had been 100 basis points higher throughout the six month period to 30 June 2025, the adjusted net finance cost of the Group would have been approximately £2 million lower (30 June 2024: £1 million lower) representing 1 per cent (30 June 2024: 1 per cent) of Adjusted profit after tax. The sensitivity is currently inverted due to the floating rate income earned on the higher than usual cash balances during the six months ending 30 June 2025.

The Group elects not to hedge account its interest rate derivatives portfolio. Therefore, movements in derivative fair values are taken to the income statement but, in accordance with EPRA Best Practices Recommendations Guidelines, these gains and losses are excluded from Adjusted profit after tax.

Foreign currency translation risk

The Group has minimal transactional foreign currency exposure but does have a potentially significant currency translation exposure arising on the conversion of its foreign currency denominated assets (mainly euro) and euro denominated earnings into sterling in the Group consolidated accounts.

The Group seeks to limit its exposure to volatility in foreign exchange rates by hedging its foreign currency gross assets using either borrowings or derivative instruments. The Group targets a hedging range of between the most recent LTV ratio (31 per cent at 30 June 2025) and 100 per cent. At 30 June 2025 the Group was 72 per cent hedged by gross foreign currency denominated liabilities (31 December 2024: 75 per cent).

The exchange rate used to translate euro denominated assets and liabilities as at 30 June 2025 into sterling within the balance sheet of the Group was €1.17:£1 (31 December 2024: €1.21:£1). Including the impact of forward foreign exchange and currency swap contracts used to hedge foreign currency denominated net assets, if the value of the other currencies in which the Group operates at 30 June 2025 weakened by 10 per cent against sterling (€1.29, in the case of euros), net assets would have decreased by approximately £153 million and there would have been a reduction in gearing of approximately 2.4 per cent and in the LTV of approximately 1.4 per cent.

The average exchange rate used to translate euro denominated earnings generated during the six months ended 30 June 2025 into sterling within the consolidated income statement of the Group was €1.19:£1 (H1 2024: €1.17:£1). Based on the hedging position at 30 June 2025, and assuming that this position had applied throughout the six month period, if the euro had been 10 per cent weaker than the average exchange rate (€1.31:£1), Adjusted profit after tax for the six month period would have been approximately £6 million (2.4 per cent) lower than reported. If it had been 10 per cent stronger, adjusted profit after tax for the period would have been approximately £7 million (2.9 per cent) higher than reported.

GOING CONCERN

As noted in the Financial Position and Funding section above, the Group has significant available liquidity to meet its capital commitments, a long-dated debt maturity profile and substantial headroom against financial covenants.

• In April 2025 SEGRO signed a new €1.6 billion revolving credit facility with its syndicate of eight relationship banks. The senior unsecured facility has an initial five-year term and may be further extended to a maximum of seven years, subject to lender approval.
• Cash and available committed facilities, excluding tenant deposits, at 30 June 2025 were £1.5 billion.
• The Group continuously monitors its liquidity position compared to committed and expected capital and operating expenses on a rolling forward 18 month basis. The quantum of committed capital expenditure at any point in time is typically low due to the short timeframe to construct warehouse buildings
• The Group has sufficient facility headroom available to be able to refinance the €650 million bond (due in March 2026) from existing financial resources.
• The Group also regularly stress-tests its financial covenants. As noted above, at 30 June 2025, property values would need to fall by around 50 per cent before breaching the gearing covenant. In terms of interest cover, net rental income would need to fall by 70 per cent or the average interest rate would need to reach in excess of 9 per cent before breaching the interest cover covenant. All would be significantly in excess of the Group's experience during the financial crisis.

Having made enquiries and having considered the principal risks facing the Group, including liquidity and solvency risks, and material uncertainties, the Directors have a reasonable expectation that the Company and the Group have adequate resources to continue in operational existence for the foreseeable future (a period of at least 12 months from the date of approval of the financial statements). Accordingly, they continue to adopt the going concern basis in preparing these financial statements.

STATEMENT OF PRINCIPAL RISKS

The risk management process is designed to identify, evaluate and respond to the significant risks (including emerging risks) that may threaten the Group's objectives. As these risks cannot usually be completely eliminated or avoided, the process aims to understand, document and mitigate the risks. It therefore can only provide reasonable and not absolute assurance.

The Board has overall responsibility for ensuring that risk is effectively and consistently managed across the Group, and determines the Group's risk appetite and policy. The Audit Committee monitors the effectiveness of the Group's risk management process and internal control systems on behalf of the Board.

The 2024 Annual Report (pages 50 to 60) outlines the Group's risk management process, the framework for risk governance and the risk appetite. It provides an annual update on emerging and principal risks. During H1 2025, the Board has performed a robust assessment of the principal and emerging risks facing the Group and has concluded that the existing risks continue to apply and are expected to remain relevant for the remaining six months of the year.

The principal risks and uncertainties are summarised below. There is no material change to those reported in the 2024 Annual Report:

• Macroeconomic Impact on Market Cycle. The property market is cyclical in nature and there is a continuous risk that the Group could either misread or fail to react appropriately to a changing property market, the cost of finance or wider macroeconomic/geopolitical conditions. This could result in an incorrect strategy or the ability to deliver a strategy being inhibited, leading to impacts on property performance and shareholder value.
• Portfolio Strategy and Execution. The Group's Total Property and/or Shareholder Returns could underperform in absolute or relative terms, as a result of an inappropriate capital allocation, market assumptions, forecasting or due diligence.
• Major Event / Business Disruption. Unexpected global, regional or national events may result in severe adverse disruption to SEGRO, such as sustained asset value or revenue impairment, solvency or covenant stress, liquidity or business continuity challenges. Such events may be single or cumulative and may include a global financial crisis, health pandemic, power/water shortages, weather-related event, war or civil unrest, acts of terrorism, cyber-attack or other IT disruption.
• Health & Safety. A health and safety incident may occur which involves harm to an individual or loss of life. This may be due to the failure of Health & Safety management systems, failure of a building or other physical asset, or negligence of a third party. Furthermore, the Group may breach relevant legislation and fail to provide suitable employee welfare support.
• Environmental Sustainability and Climate Change. The increased severity and unpredictability of weather-related events may result in more frequent and/or prolonged damage to our buildings, causing disruption and increased costs to SEGRO and our customers. Non-compliance with changing laws, regulations, policies, and taxation could cause loss of value to the Group. There is a risk that SEGRO fail to keep pace with social attitudes and customer preferences whereby SEGRO may need to alter the design and build, and/or energy provision of their assets. SEGRO could misjudge or fail to deliver its net zero commitment.
• Development and Construction Execution. The Group has a current and future pipeline of developments, as well as extensive standing stock. This brings the risk of above-appetite exposure to non-income producing assets; below-appetite land holdings restricting opportunities; overoptimistic appraisals leading to reduced or uneconomic development yields; cost over-runs, for example, due to contractor default or poor performance and management; increased construction costs; failure to secure power; and additional costs, reputation damage, health & safety exposure or regulatory breach due to building defect or deleterious materials in buildings.
• Financing Strategy. The Group could suffer an acute liquidity or solvency crisis, financial loss or financial distress, as a result of a failure in the design or execution of its financing strategy. Such an event may be caused by a failure to obtain debtor equity funding; having an inappropriate debt structure; poor forecasting; defaulting on loan agreements as result of a breach of covenants; or counterparty default.
• Legal, Political and Regulatory. The Group could fail to comply with laws, regulations or governance obligations, which are applicable now or in the future. Such failures could lead to material litigation, censure, penalties and fines, as well as potentially significant reputational damage and loss of stakeholder confidence. Compliance with future new laws and / or regulations introduced in the countries in which the Group operates could potentially impact the business and its ability to achieve its strategic objectives. A lack of employee awareness of the legal obligations applicable to both them and the Company, could lead to illegal and / or unacceptable behaviour by employees and the Company.
• People. The performance of the business could be impaired due to SEGRO not having the appropriate culture, organisational structure, skilled people or resourcing levels. SEGRO may fail to attract, motivate and retain diverse talent as part of our Nurturing Talent ambition due to inappropriate reward and recognition, learning and development, performance management, hybrid working practices or social policies. SEGRO may fail to prepare adequate succession plans.
• Operational Delivery. The Group could suffer an operational failure such as major customer default, reporting error or treasury failure. Operational failures could also be caused by inappropriate or inaccurate valuation reporting, erroneous lease execution, poor customer insight and retention, or data being of poor quality or unavailable.

RESPONSIBILITY STATEMENT

We confirm that to the best of our knowledge:

• (a) the interim condensed set of financial statements has been prepared in accordance with IAS 34 'Interim Financial Reporting' as adopted by the United Kingdom and European Union;
• (b) the interim management report includes a fair review of the information required by DTR 4.2.7R (indication of important events during the first six months and description of principal risks and uncertainties for the remaining six months of the year); and
• (c) the interim management report includes a fair review of the information required by DTR 4.2.8R (disclosure of related parties' transactions and changes therein).

On behalf of the Board,

David Sleath Soumen Das

Chief Executive Chief Financial Officer

INDEPENDENT REVIEW REPORT TO SEGRO PLC

REPORT ON THE CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS

Our conclusion

We have reviewed SEGRO plc's condensed consolidated interim financial statements (the "interim financial statements") in the half year results of SEGRO plc for the 6-month period ended 30 June 2025 (the "period").

Based on our review, nothing has come to our attention that causes us to believe that the interim financial statements are not prepared, in all material respects, in accordance with UK adopted International Accounting Standard 34, 'Interim Financial Reporting', International Accounting Standard 34, 'Interim Financial Reporting' as adopted by the European Union and the Disclosure Guidance and Transparency Rules sourcebook of the United Kingdom's Financial Conduct Authority.

The interim financial statements comprise:

• the Condensed Group Balance Sheet as at 30 June 2025;
• the Condensed Group Income Statement and Condensed Group Statement of Comprehensive Income for the period then ended;
• the Condensed Group Cash Flow Statement for the period then ended;
• the Condensed Group Statement of Changes in Equity for the period then ended; and
• the explanatory notes to the interim financial statements.

The interim financial statements included in the half year results of SEGRO plc have been prepared in accordance with UK adopted International Accounting Standard 34, 'Interim Financial Reporting', International Accounting Standard 34, 'Interim Financial Reporting' as adopted by the European Union and the Disclosure Guidance and Transparency Rules sourcebook of the United Kingdom's Financial Conduct Authority.

Basis for conclusion

We conducted our review in accordance with International Standard on Review Engagements (UK) 2410, 'Review of Interim Financial Information Performed by the Independent Auditor of the Entity' issued by the Financial Reporting Council for use in the United Kingdom ("ISRE (UK) 2410"). A review of interim financial information consists of making enquiries, primarily of persons responsible for financial and accounting matters, and applying analytical and other review procedures.

A review is substantially less in scope than an audit conducted in accordance with International Standards on Auditing (UK) and, consequently, does not enable us to obtain assurance that we would become aware of all significant matters that might be identified in an audit. Accordingly, we do not express an audit opinion.

We have read the other information contained in the half year results and considered whether it contains any apparent misstatements or material inconsistencies with the information in the interim financial statements.

Conclusions relating to going concern

Based on our review procedures, which are less extensive than those performed in an audit as described in the Basis for conclusion section of this report, nothing has come to our attention to suggest that the directors have inappropriately adopted the going concern basis of accounting or that the directors have identified material uncertainties relating to going concern that are not appropriately disclosed. This conclusion is based on the review procedures performed in accordance with ISRE (UK) 2410. However, future events or conditions may cause the group to cease to continue as a going concern.

Responsibilities for the interim financial statements and the review

Our responsibilities and those of the directors

The half year results, including the interim financial statements, is the responsibility of, and has been approved by the directors. The directors are responsible for preparing the half year results in accordance with the Disclosure Guidance and Transparency Rules sourcebook of the United Kingdom's Financial Conduct Authority. In preparing the half year results, including the interim financial statements, the directors are responsible for assessing the group's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the directors either intend to liquidate the group or to cease operations, or have no realistic alternative but to do so.

Our responsibility is to express a conclusion on the interim financial statements in the half year results based on our review. Our conclusion, including our Conclusions relating to going concern, is based on procedures that are less extensive than audit procedures, as described in the Basis for conclusion paragraph of this report. This report, including the conclusion, has been prepared for and only for the company for the purpose of complying with the Disclosure Guidance and Transparency Rules sourcebook of the United Kingdom's Financial Conduct Authority and for no other purpose. We do not, in giving this conclusion, accept or assume responsibility for any other purpose or to any other person to whom this report is shown or into whose hands it may come save where expressly agreed by our prior consent in writing.

PricewaterhouseCoopers LLP Chartered Accountants London 30 July 2025

CONDENSED GROUP INCOME STATEMENT

For the six months ended 30 June 2025

		Half year to		Year to
		30 June	30 June	31 December
		2025	2024	2024
	Notes	(unaudited) £m	(unaudited) £m	(audited) £m
Revenue	4	351	327	675
Costs	5	(73)	(68)	(144)
		278	259	531
Administrative expenses		(33)	(35)	(76)
Share of profit from joint ventures and associates after tax	6	54	1	53
Realised and unrealised property gains	7	17	53	195
Impairment loss on loan due from associate	2	–	(1)	–
Operating profit		316	277	703
Finance income	8	16	43	92
Finance costs	8	(68)	(85)	(159)
Profit before tax		264	235	636
Tax	9	(17)	(15)	(42)
Profit after tax		247	220	594
Earnings per share (pence)
Basic	11	18.3	16.9	44.7
Diluted	11	18.2	16.8	44.6

CONDENSED GROUP STATEMENT OF COMPREHENSIVE INCOME

For the six months ended 30 June 2025

	Half year to	Half year to	Year to
	30 June	30 June	31 December
	2025	2024	2024
	(unaudited)	(unaudited)	(audited)
	£m	£m	£m
Profit for the period	247	220	594
Items that may be reclassified subsequently to profit or loss
Foreign exchange movement arising on translation of international operations	112	(89)	(172)
Fair value movements on derivatives and borrowings in effective hedge relationships	(63)	48	95
	49	(41)	(77)
Tax on components of other comprehensive income	–	–	–
Other comprehensive income/(expense)	49	(41)	(77)
Total comprehensive income for the period	296	179	517

CONDENSED GROUP BALANCE SHEET

As at 30 June 2025

		30 June	30 June	31 December
		2025	2024	2024
		(unaudited) £m	(unaudited)	(audited)
	Notes		£m	£m
Assets
Non-current assets
Intangible assets		39	34	37
Investment properties	12	15,625	15,055	15,303
Other interests in property		20	14	17
Property, plant and equipment		35	29	34
Investments in joint ventures and associates	6	1,685	1,592	1,552
Other investments		13	12	12
Other receivables		2	6	2
Derivative financial instruments		30	63	48
		17,449	16,805	17,005
Current assets
Trading properties		2	3	6
Trade and other receivables		199	196	178
Tax asset		17	20	19
Derivative financial instruments		1	2	3
Cash and cash equivalents	13	141	546	363
		360	767	569
Total assets		17,809	17,572	17,574
Liabilities
Non-current liabilities
Borrowings	13	4,195	4,758	4,607
Deferred tax liabilities	9	209	175	192
Trade and other payables		81	71	70
Derivative financial instruments		81	149	75
		4,566	5,153	4,944
Current liabilities
Trade and other payables		551	536	502
Borrowings	13	554	1	–
Derivative financial instruments		52	3	44
Tax liabilities		14	49	35
		1,171	589	581
Total liabilities		5,737	5,742	5,525
Net assets		12,072	11,830	12,049
Equity
Share capital		135	135	135
Share premium		4,569	4,565	4,569
Capital redemption reserve		114	114	114
Own shares held		(4)	(2)	(4)
Other reserves		166	157	124
Retained earnings		7,092	6,861	7,111
Total equity		12,072	11,830	12,049
Net assets per ordinary share (pence)
Basic	11	892	875	891
Diluted	11	891	874	889

CONDENSED GROUP STATEMENT OF CHANGES IN EQUITY

For the six months ended 30 June 2025

						Other reserves
(unaudited)	Ordinary share capital £m	Share premium £m	Capital redemption reserve £m	Own shares held £m	Share based payment reserves £m	Translation, hedging and other reserves £m	Merger reserve £m	Retained earnings £m	Total equity £m
Balance at 1 January 2025	135	4,569	114	(4)	25	(70)	169	7,111	12,049
Profit for the period	–	–	–	–	–	–	–	247	247
Other comprehensive income	–	–	–	–	–	49	–	–	49
Total comprehensive income for the period	–	–	–	–	–	49	–	247	296
Transactions with owners of the Company
Issue of shares	–	–	–	–	–	–	–	–	–
Own shares acquired	–	–	–	(3)	–	–	–	–	(3)
Equity-settled share-based payment transactions	–	–	–	3	(7)	–	–	7	3
Dividends	–	–	–	–	–	–	–	(273)	(273)
Total transactions with owners of the	–	–	–	–	(7)	–	–	(266)	(273)
C Balance at 30 June 2025	135	4,569	114	(4)	18	(21)	169	7,092	12,072

For the six months ended 30 June 2024

		Share premium £m	Capital redemption reserve £m	Own shares held £m	Other reserves
(unaudited)	Ordinary share capital £m				Share based payment reserves £m	Translation, hedging and other reserves £m	Merger reserve £m	Retained earnings £m	Total equity £m
Balance at 1 January 2024	123	3,577	114	(2)	28	7	169	6,888	10,904
Profit for the period	–	–	–	–	–	–	–	220	220
Other comprehensive expense	–	–	–	–	–	(41)	–	–	(41)
Total comprehensive income/(expense) for the period	–	–	–	–	–	(41)	–	220	179
Transactions with owners of the Company
Issue of shares	11	878	–	–	–	–	–	–	889
Own shares acquired	–	–	–	(3)	–	–	–	–	(3)
Equity-settled share-based payment transactions	–	–	–	3	(6)	–	–	9	6
Dividends	1	110	–	–	–	–	–	(256)	(145)
Total transactions with owners of the	12	988	–	–	(6)	–	–	(247)	747
Balance at 30 June 2024	135	4,565	114	(2)	22	(34)	169	6,861	11,830

For the year ended 31 December 2024

		Other reserves
(audited)	Ordinary share capital £m	Share premium £m	Capital redemption reserve £m	Own shares held £m	Share based payment reserves £m	Translation, hedging and other reserves £m	Merger reserve £m	Retained earnings £m	Total equity £m
Balance at 1 January 2024	123	3,577	114	(2)	28	7	169	6,888	10,904
Profit for the year	–	–	–	–	–	–	–	594	594
Other comprehensive expense	–	–	–	–	–	(77)	–	–	(77)
Total comprehensive income/(expense) for the year	–	–	–	–	–	(77)	–	594	517
Transactions with owners of the Company
Issue of shares	11	878	–	–	–	–	–	–	889
Own shares acquired	–	–	–	(5)	–	–	–	–	(5)
Equity-settled share-based payment transactions	–	–	–	3	(3)	–	–	8	8
Dividends	1	114	–	–	–	–	–	(379)	(264)
Total transactions with owners of the
Company	12	992	–	(2)	(3)	–	–	(371)	628
Balance at 31 December 2024	135	4,569	114	(4)	25	(70)	169	7,111	12,049

CONDENSED GROUP CASH FLOW STATEMENT

For the six months ended 30 June 2025

		Half year to	Half year to	Year to
		30 June	30 June	31 December
		2025	2024	2024
		(unaudited)	(unaudited)	(audited)
	Notes	£m	£m	£m
Cash flows from operating activities
Cash generated from operations	14	221	203	459
Interest received		22	43	75
Dividends received		9	6	29
Interest paid		(74)	(108)	(209)
Cost of new interest rate derivatives transacted		(1)	(5)	(7)
Tax (paid)/received		(26)	2	(17)
Net cash received from operating activities		151	141	330
Cash flows from investing activities
Purchase and development of investment properties		(216)	(462)	(1,000)
Sale of investment properties		27	251	623
Acquisition of other interests in property		(3)	(1)	(4)
Refunds from other interest in property		–	9	11
Purchase of plant and equipment and intangibles		(8)	(9)	(24)
Acquisition of other investments		–	(1)	(2)
Investment and loans to joint ventures and associates		(4)	(3)	(3)
Divestment from and repayment of loans by joint ventures and
associates		38	–	30
Net cash used in investing activities		(166)	(216)	(369)
Cash flows from financing activities
Dividends paid	10	(235)	(129)	(277)
Proceeds from borrowings	14	125	5	419
Repayment of borrowings	14	(88)	(512)	(999)
Principal element of lease payments		(1)	(2)	(2)
Settlement of foreign exchange derivatives		(5)	(3)	1
Proceeds from issue of ordinary shares		–	889	889
Purchase of ordinary shares		(3)	(3)	(5)
Net cash (used)/generated from financing activities		(207)	245	26
Net (decrease)/increase in cash and cash equivalents		(222)	170	(13)
Cash and cash equivalents at the beginning of the period		363	376	376
Effect of foreign exchange rate changes		–	–	–
Cash and cash equivalents at the end of the period	13	141	546	363

NOTES TO THE CONDENSED FINANCIAL STATEMENTS

1. BASIS OF PREPARATION

The condensed set of financial statements for the six months ended 30 June 2025 were approved by the Board of Directors on 30 July 2025.

The condensed set of financial statements for the six months ended 30 June 2025 is unaudited and does not constitute statutory accounts within the meaning of Section 434 of the Companies Act 2006. The financial information contained in this report for the year ended 31 December 2024 does not constitute statutory accounts within the meaning of Section 434 of the Companies Act 2006 and has been extracted from the statutory accounts, which were prepared in accordance with UK-adopted International Accounting Standards (IAS) and the requirements of the Companies Act 2006 as applicable to companies reporting under those standards and International Financial Reporting Standards (IFRS) adopted pursuant to Regulation (EC) No 1606/2002 as it applies in the European Union and were delivered to the Registrar of Companies. The auditor's opinion on these accounts was unqualified, did not draw attention to any matters by way of emphasis and did not contain a statement made under S498(2) or S498(3) of the Companies Act 2006. The condensed set of financial statements included in this half-yearly report has been prepared in accordance with both UK-adopted International Accounting Standard 34 'Interim Financial Reporting', and the Disclosure Rules and Transparency Rules of the United Kingdom's Financial Conduct Authority as well as EU-adopted International Accounting Standard 34 'Interim Financial Reporting'.

UK-adopted International Accounting Standards differs in certain respects from International Financial Reporting Standards as adopted by the EU. The differences have no material impact on the Group's condensed financial statements for the periods presented, which therefore also comply with International Financial Reporting Standards as adopted by the EU.

The condensed set of financial statements have been prepared on a going concern basis as discussed further in the Financial Review section, the Directors have a reasonable expectation that the Group have adequate resources to continue in operational existence for a period of at least 12 months from the date of approval of the condensed set of financial statements. At 30 June 2025, the Group held cash and available committed facilities, excluding tenant deposits of £1.5 billion with a long-dated debt maturity profile. This provides significant liquidity to meet the Group's operational requirements and capital commitments for the foreseeable future and the ability to refinance the €650 million bond (due in March 2026) from existing financial resources. The financial covenants have been stress tested and substantial headroom exists against the gearing and interest cover covenants at 30 June 2025 and the covenants are not expected to be breached for a period of at least 12 months from the date of approval of the condensed financial statements.

The same accounting policies, presentation and methods of computation are followed in the condensed set of financial statements as applied in the Group's latest financial statements, unless otherwise stated below.

The following new accounting amendments became effective for the financial year beginning on 1 January 2025:

• Amendments to IAS 21 – Lack of Exchangeability

The amendments did not have any impact on the amounts recognised in the prior or current period and are not expected to significantly affect future periods.

The principal exchange rates used to translate foreign currency denominated amounts are: Balance sheet: £1 = €1.17 (30 June 2024: £1 = €1.18; 31 December 2024: £1 = €1.21) Income statement: £1 = €1.19 (30 June 2024: £1 = €1.17; 31 December 2024: £1 = €1.18)

The Group's business is not seasonal, and the results relate to continuing operations unless otherwise stated.

2. ADJUSTED PROFIT

Adjusted profit is a non-GAAP measure and is the Group's measure of underlying profit, which is used by the Board and senior management to measure and monitor the Group's income performance.

It is based on the Best Practices Recommendations of European Public Real Estate Association (EPRA), which calculate profit excluding investment and development property revaluations and gains or losses on disposals, changes in the fair value of financial instruments and associated close-out costs and their related taxation, as well as other permitted one-off items. Refer to the Supplementary Notes for all EPRA adjustments.

The Directors may also exclude from the EPRA profit measure additional items (gains and losses) which are considered by them to be non-recurring, not in the ordinary course of business or significant by virtue of size and nature. No non-EPRA adjustments to underlying profit were made in the current period and the year ended 31 December 2024.

An impairment loss of £1 million on a loan due from an associate was recognised in the half year ended 30 June 2024. The impairment of the loan is directly related to a wider property transaction entered into by the Group and has arisen due to a fair value deficit on land held by an associate. As the nature of the impairment does not reflect the underlying performance of the business this has been treated as a Company specific adjustment.

The following table provides a reconciliation of Adjusted profit to IFRS profit:

		Half year to	Half year to	Year to
		30 June 2025	30 June 2024	31 December 2024
	Notes	£m	£m	£m
Gross rental income	4	306	283	592
Property operating expenses	5	(42)	(43)	(92)
Net rental income		264	240	500
Joint venture management fee income	4	12	14	26
Management and development fee income	4	1	5	6
Net service charge and other income2		1	–	(1)
Administrative expenses		(33)	(35)	(76)
Share of joint ventures and associates' adjusted profit after tax1	6	38	41	83
Adjusted operating profit before interest and tax		283	265	538
Net finance costs (including adjustments)	8	(31)	(38)	(68)
Adjusted profit before tax		252	227	470
Adjustments to reconcile to IFRS:
Adjustments to the share of profit/loss from joint ventures and associates after
tax1	6	16	(40)	(30)
Realised and unrealised property gains	7	17	53	195
Profit on sale of trading properties	7	1	–	–
Cost of early close out of debt	8	–	–	(2)
Net fair value (loss)/gain on interest rate swaps and other derivatives	8	(21)	(4)	3
Impairment of loan due from associate		–	(1)	–
Solar panel depreciation2		(1)	–	–
Total adjustments		12	8	166
Profit before tax		264	235	636
Tax
On Adjusted profit	9	(7)	(5)	(12)
In respect of adjustments	9	(10)	(10)	(30)
Total tax adjustments		(17)	(15)	(42)
Profit after tax		247	220	594
Of which:
Adjusted profit after tax		245	222	458
Total adjustments after tax		2	(2)	136

1. A detailed breakdown of the adjustments to the share of profit/loss from joint ventures and associates is included in Note 6.

2. Net service charge and other income of £1 million (31 December 2024: £1 million expense; 30 June 2024: £nil) is calculated as Service charge and other income of £26 million (31 December 2024: £51 million; 30 June 2024: £25 million) shown in Note 4, less Service charge and other expenses of £26 million (31 December 2024: £52 million; 30 June 2024: £25 million) shown in Note 5 and adds back solar panel depreciation of £1 million (31 December 2024: £nil, 30 June 2024: £nil). Solar depreciation is shown outside of Adjusted Profit in line with the updated EPRA guidelines for reporting periods after 1 October 2024.

3. SEGMENTAL ANALYSIS

The Group's reportable segments are the two property businesses, United Kingdom (UK) and Continental Europe (CE). These two property businesses are managed, and their operating results reported to the Executive Directors ('chief operating decision maker', 'CODM') as separate and distinct businesses.

	Gross rental income	Net rental income	Share of joint ventures and associates' Adjusted profit	Adjusted operating PBIT2	Valuation surplus/ (deficit) on investment properties	Total directly owned property assets	Investments in joint ventures and associates	Capital expenditure3
	£m	£m	£m	£m	£m	£m	£m	£m
				30 June 2025
UK	221	204	–	203	9	11,531	100	133
CE	85	66	53	128	6	4,096	2,657	107
Other1	–	(6)	(15)	(48)	–	–	4 (1,072)	8
Total	306	264	38	283	15	15,627	1,685	248
				30 June 2024
UK	209	194	–	192	66	11,244	28	176
CE	74	53	57	123	(63)	3,814	2,615	255
Other1	–	(7)	(16)	(50)	–	–	(1,051)4	9
Total	283	240	41	265	3	15,058	1,592	440
				31 December 2024
UK	437	399	–	395	170	11,463	28	562
CE	155	113	111	244	(50)	3,846	2,428	434
Other1	–	(12)	(28)	(101)	–	–	(904)4	24
Total	592	500	83	538	120	15,309	1,552	1,020

1. 'Other' category includes the corporate centre, SELP holding companies and costs relating to the operational business which are not specifically allocated to the two property businesses.

2. A reconciliation of total Adjusted PBIT to the IFRS profit before tax is provided in Note 2.

3. Capital expenditure includes additions and acquisitions of investment and trading properties but does not include tenant incentives and letting fees. The "Other" category includes non-property related spend, primarily IT.

4. Includes the bonds held by SELP Finance S.à.r.l, a Luxembourg entity.

4. REVENUE

	Half year to	Half year to	Year to
	30 June 2025	30 June 2024	31 December 2024
	£m	£m	£m
Rental income from investment and trading properties	292	277	574
Rent averaging	13	3	14
Surrender premiums	1	3	4
Gross rental income1	306	283	592
Joint venture fees – management fees*	12	14	26
Joint venture fee income	12	14	26
Management and development fee income*	1	5	6
Service charge and other income*2	26	25	51
Proceeds from sale of trading properties*	6	–	–
Total revenue	351	327	675

* The above income streams are recognised under IFRS 15 Revenue from Contracts with Customers and total £45 million (31 December 2024: £83 million; 30 June 2024: £44 million).

1. Net rental income of £264 million (31 December 2024: £500 million; 30 June 2024: £240 million) is calculated as gross rental income of £306 million (31 December 2024: £592 million; 30 June 2024: £283 million) less total property operating expenses of £42 million (31 December 2024: £92 million; 30 June 2024: £43 million) shown in Note 5.

2. Other income includes income from solar energy sold to national grids or direct to occupiers.

5. COSTS

	Half year to 30 June 2025 £m	Half year to 30 June 2024 £m	Year to 31 December 2024 £m
Vacant property costs	8	7	18
Letting, marketing, legal and professional fees	7	8	16
Loss allowance and impairment of receivables	–	–	1
Other expenses	5	5	11
Property management expenses	20	20	46
Property administrative expenses1	27	28	56
Costs capitalised2	(5)	(5)	(10)
Total property operating expenses	42	43	92
Service charge and other expenses3	26	25	52
Trading properties cost of sales	5	–	–
Total costs	73	68	144

1. Property administrative expenses predominantly relate to the employee staff costs of personnel directly involved in managing the property portfolio.

2. Costs capitalised relate to staff costs of those internal employees directly involved in developing the property portfolio.

3. Other expenses includes expenses relating to the provision of solar energy including a £1 million depreciation charge (31 December 2024: £nil; 30 June 2024: £nil).

6. INVESTMENTS IN JOINT VENTURES AND ASSOCIATES

The table below presents a summary Income Statement of the Group's largest joint ventures and associates, all of which are accounted for using the equity method. SEGRO European Logistics Partnership (SELP) is incorporated in Luxembourg and owns logistics property assets in Continental Europe. The Group holds 50 per cent of the share capital and voting rights in the material joint ventures.

During H1 2025 SEGRO formed SEGRO Pure Premier Park Data Centre Limited, a 50:50 joint venture with Pure Data Centre Group. The joint venture has been created with the intent to develop and deliver a fully fitted data centre in Park Royal, West London. As part of the transaction SEGRO have contributed land into the joint venture at market value.

6(i) Share of profit from joint ventures and associates after tax

	Half year to	Half year to	Year to
	30 June 2025	30 June 2024	31 December 2024
	£m	£m	£m
Revenue1	183	190	370
Gross rental income	136	139	274
Property operating expenses:
-underlying property operating expenses	(7)	(7)	(15)
-vacant property costs	(2)	(1)	(3)
-property management fees2	(12)	(12)	(23)
Net rental income	115	119	233
Management fee income	2	2	4
Administrative expenses	(2)	(2)	(5)
Net finance costs (including adjustments)	(23)	(24)	(44)
Adjusted profit before tax	92	95	188
Tax	(15)	(13)	(22)
Adjusted profit after tax	77	82	166
At share	38	41	83
Adjustments:
(Loss)/profit on sale of investment properties	(1)	–	5
Valuation surplus/(deficit) on investment properties	43	(93)	(60)
Tax in respect of adjustments	(11)	12	(5)
Total adjustments	31	(81)	(60)
At share	16	(40)	(30)
Profit after tax	108	1	106
At share	54	1	53
Total comprehensive income for the period	108	1	106
At share	54	1	53

1. Total revenue at 100 per cent of £183 million (31 December 2024: £370 million; 30 June 2024: £190 million) includes: Gross rental income £136 million (31 December 2024: £274 million; 30 June 2024: £139 million); service charge income £45 million (31 December 2024: £92 million; 30 June 2024: £49 million); and management fee income of £2 million (31 December 2024 £4 million; 30 June 2024: £2 million). Service charge income is netted against the equal and opposite service charge expense in calculating Adjusted profit before tax.

2. Property management fees paid to SEGRO.

6(ii) Summarised balance sheet information of the Group's share of joint ventures and associates

	As at	As at	As at 31
	30 June 2025	30 June 2024	December 2024
	£m	£m	£m
Investment properties	5,894	5,655	5,052
Property, plant and equipment	23	16	19
Other receivables	3	2	3
Total non-current assets	5,920	5,673	5,074
Trade and other receivables	80	68	52
Cash and cash equivalents	309	58	346
Total current assets	389	126	398
Total assets	6,309	5,799	5,472
Borrowings	(1,918)	(2,068)	(1,444)
Deferred tax liabilities	(364)	(364)	(359)
Other liabilities	(9)	(32)	–
Total non-current liabilities	(2,291)	(2,464)	(1,803)
Borrowings	(427)	–	(413)
Trade and other liabilities	(221)	(178)	(152)
Total current liabilities	(648)	(178)	(565)
Total liabilities	(2,939)	(2,642)	(2,368)
Unrecognised share of losses	–	28	–
Net assets	3,370	3,185	3,104
At share	1,685	1,592	1,552

The Group has not recognised cumulative losses totalling £nil at share (31 December 2024: £nil; 30 June 2024: £14 million) in relation to its interests in associates, because the Group has no obligation in respect of these losses.

Fees

SEGRO provides certain services, including venture advisory and asset management, to the SELP joint venture and receives fees for doing so.

Performance fees may also be payable from SELP to SEGRO based on its IRR subject to certain hurdle rates over the performance period. The current performance period commenced in October 2023 and is over a circa three-year and circa six-year period. The first performance period and potential payment due ends in June 2026, but 50 per cent of any payment is subject to clawback based on performance over the six-year period to June 2029. If the IRR increases by June 2029 relative to June 2026, additional fees might be triggered.

Based on the current estimates of the IRR calculation from October 2023 to 30 June 2025, no performance fee is due to SEGRO in June 2026. Therefore, no fee has been recognised in the period as the recognition criteria under IFRS 15 has not been met. The performance fee is not considered to be a significant area of estimation uncertainty at this point.

7. REALISED AND UNREALISED PROPERTY GAINS

	Half year to	Half year to	Year to 31
	30 June 2025	30 June 2024	December 2024
	£m	£m	£m
Profit on sale of investment properties	2	50	75
Valuation surplus on investment properties1	15	3	120
Total realised and unrealised property gains	17	53	195

1. Includes £15 million valuation gain on investment properties (31 December 2024: £121 million gain; 30 June 2024: £4 million gain) less £nil valuation loss on head lease ROU asset (31 December 2024: £1 million loss; 30 June 2024: £1 million loss).

The above table does not include realised gains on sale of trading properties of £1 million (31 December 2024: £nil; 30 June 2024: £nil) as detailed further in Note 2.

The total valuation surplus on investment and trading properties is £37 million (31 December 2024: £90 million surplus; 30 June 2024: £43 million deficit). This comprises £15 million surplus from investment properties (31 December 2024: £120 million surplus; 30 June 2024: £3 million surplus) and £22 million surplus from joint ventures and associates at share (31 December 2024: £30 million deficit; 30 June 2024: £46 million deficit).

The total property gain on investment and trading properties is £39 million (31 December 2024: £167 million; 30 June 2024: £7 million). This comprises the total valuation surplus on investment properties and trading properties of £37 million (31 December 2024: £90 million surplus; 30 June 2024: £43 million deficit), plus £2 million profit on sale of investment properties (31 December 2024: £75 million; 30 June 2024: £50 million), £1 million loss on sale of investment properties from joint ventures and associates at share (31 December 2024: £2 million profit; 30 June 2024: £nil) and £1 million profit on sale of trading property (31 December 2024: £nil; 30 June 2024: £nil).

Valuation movements are discussed further in the Portfolio Update section above.

8. NET FINANCE COSTS

	Half year to 30 June 2025	Half year to 30 June 2024	Year to 31 December 2024
Finance income	£m	£m	£m
Interest received on bank deposits and related derivatives	15	34	56
Fair value gain on interest rate swaps and other derivatives	1	9	35
Exchange differences	–	–	1
Total finance income	16	43	92
Finance costs
Interest on overdrafts, loans and related derivatives	(71)	(99)	(179)
Cost of early close out of debt	–	–	(2)
Amortisation of issue costs	(4)	(5)	(10)
Interest on lease liabilities	(1)	(1)	(3)
Total borrowing costs	(76)	(105)	(194)
Less amount capitalised on the development of properties	31	33	67
Net borrowing costs	(45)	(72)	(127)
Fair value loss on interest rate swaps and other derivatives	(22)	(13)	(32)
Exchange differences	(1)	–	–
Total finance costs	(68)	(85)	(159)
Net finance costs	(52)	(42)	(67)

Net finance costs (including adjustments) in Adjusted profit (Note 2) are £31 million (31 December 2024: £68 million; 30 June 2024: £38 million). This excludes net fair value gains and losses on interest rate swaps and other derivatives of £21 million loss (31 December 2024: gain of £3 million; 30 June 2024: loss of £4 million) and the cost of early close out debt of £nil (31 December 2024: £2 million; 30 June 2024: £nil) in the table above.

9. TAX 9(i) Tax on profit

	Half year to	Half year to	Year to
	30 June 2025	30 June 2024	31 December 2024
	£m	£m	£m
Tax:
On Adjusted profit	(7)	(5)	(12)
In respect of adjustments	(10)	(10)	(30)
Total tax charge	(17)	(15)	(42)
Current tax
Current tax charge	(7)	(27)	(32)
Total current tax charge	(7)	(27)	(32)
Deferred tax
Origination and reversal of temporary differences	(7)	(6)	(14)
Released in respect of property disposals in the period	(1)	5	14
On valuation movements	(1)	13	(9)
Total deferred tax in respect of investment properties	(9)	12	(9)
Other deferred tax	(1)	–	(1)
Total deferred tax (charge)/credit	(10)	12	(10)
Total tax charge on profit on ordinary activities	(17)	(15)	(42)

The Group operates in a number of jurisdictions and is subject to periodic challenges by local tax authorities on a range of tax matters during the normal course of business. The tax impact can be uncertain until a conclusion is reached with the relevant tax authority or through a legal process. The Group uses in-house expertise when assessing uncertain tax positions and seeks the advice of external professional advisors where appropriate. The Group believes that its provisions for tax liabilities and associated penalties are adequate for all open tax years based on its assessment of many factors, including tax laws and prior experience. The most significant assessment relates to the recognition of withholding tax in France.

9(ii) Deferred tax liabilities

Movement in deferred tax was as follows:

	Balance 1 January 2025 £m	Exchange movement £m	Recognised in income £m	Balance 30 June 2025 £m	Balance 30 June 2024 £m
Valuation surplus and deficits on properties/accelerated tax allowances	178	6	9	193	162
Others	14	1	1	16	13
Total deferred tax liabilities	192	7	10	209	175

10. DIVIDENDS

		Year to
		31 December 2024
		£m
		–
		123
		256
273	256	379
		379
		(115)
		13
235	129	277
	Half year to 30 June 2025 £m 273 – – 273 – (38)	Half year to 30 June 2024 £m – – 256 256 (111) (16)

The Board has declared an interim dividend of 9.7 pence per ordinary share (2024: 9.1 pence). This dividend has not been recognised in the condensed financial statements.

11. EARNINGS AND NET ASSETS PER SHARE

The earnings per share calculations use the weighted average number of shares in issue during the period and the net assets per share calculations use the number of shares in issue at the period end. Earnings per share calculations exclude 0.7 million shares (0.5 million for the full year 2024 and 0.4 million for half year 2024) being the average number of shares held on trust during the period for employee share schemes and net assets per share exclude 0.8 million shares (0.7 million for the full year 2024 and 0.5 million for the half year 2024) being the actual number of shares held on trust for employee share schemes at the period end.

11(i) Earnings per ordinary share (EPS)

	Half year to 30 June 2025			Half year to 30 June 2024			Year to 31 December 2024
	Earnings £m	Shares million	Pence per share	Earnings £m	Shares million	Pence per share	Earnings £m	Shares million	Pence per share
Basic EPS	247	1,352.5	18.3		220 1,305.1	16.9	594	1,328.7	44.7
Dilution adjustments:
Share schemes	–	2.6	(0.1)	–	2.9	(0.1)	–	3.3	(0.1)
Diluted EPS	247	1,355.1	18.2		220 1,308.0	16.8	594	1,332.0	44.6
Basic EPS	247	1,352.5	18.3		220 1,305.1	16.9	594	1,328.7	44.7
Adjustments to profit before tax1	(12)		(0.9)	(8)		(0.7)	(166)		(12.5)
Tax in respect of Adjustments	10		0.7	10		0.8	30		2.3
Adjusted Basic EPS	245	1,352.5	18.1		222 1,305.1	17.0	458	1,328.7	34.5
Adjusted Diluted EPS	245	1,355.1	18.1		222 1,308.0	17.0	458	1,332.0	34.4

1. Details of adjustments are included in Note 2.

11(ii) Net asset value per share (NAV)

The EPRA Net Tangible Assets (NTA) metric is considered to be most consistent with the nature of SEGRO's business as a UK REIT providing long-term progressive and sustainable returns. EPRA NTA acts as the primary measure of net asset value and is also referred to as Adjusted Net Asset Value (or Adjusted NAV).

A reconciliation from IFRS NAV to Adjusted NAV is set out in the table below along with the net asset per share metrics.

Table 5 of the supplementary notes provides a reconciliation for each of the three EPRA net asset value metrics.

		As at 30 June 2025			As at 30 June 2024		As at 31 December 2024
	Equity attributable to ordinary shareholders £m	Shares million	Pence per share	Equity attributable to ordinary shareholders £m	Shares million	Pence per share	Equity attributable to ordinary shareholders £m	Shares million	Pence per share
Basic NAV	12,072	1,352.7	892	11,830	1,351.9	875	12,049	1,352.2	891
Dilution adjustments:
Share schemes	–	1.9	(1)	–	2.2	(1)	–	3.1	(2)
Diluted NAV	12,072	1,354.6	891	11,830	1,354.1	874	12,049	1,355.3	889
Fair value adjustment in respect of interest rate derivatives – Group Fair value adjustment in respect of trading properties – Group Deferred tax in respect of depreciation and	113 –		8 –	104 1		8 –	95 2		7 –
valuation surpluses – Group1 Deferred tax in respect of depreciation and valuation surpluses – Joint ventures and associates1	97 87		7 7	81 87		6 6	90 88		7 7
Intangible assets	(39)		(3)	(34)		(3)	(37)		(3)
Adjusted NAV
(EPRA NTA)	12,330	1,354.6	910	12,069	1,354.1	891	12,287	1,355.3	907

1. 50 per cent of deferred tax in respect of depreciation and valuation surpluses has been excluded in calculating Adjusted NAV in line with option 3 of EPRA Best Practices Recommendations guidelines.

12. INVESTMENT PROPERTIES

	Completed £m	Development £m	Total £m
At 1 January 2025	12,827	2,224	15,051
Exchange movement	104	28	132
Property acquisitions	–	15	15
Additions to existing investment properties	19	205	224
Disposals3,4	(91)	–	(91)
Transfers on completion of development and completed properties taken back for redevelopment	281	(281)	–
Revaluation surplus/(deficit) during the period	97	(82)	15
At 30 June 2025 Add tenant lease incentives and letting fees1	13,237 200	2,109 –	15,346 200
Investment properties excluding head lease liabilities at 30 June 2025	13,437	2,109	15,546
Add head lease liabilities (ROU assets)2	79	–	79
Total investment properties at 30 June 2025	13,516	2,109	15,625
Total investment properties at 30 June 2024	12,942	2,113	15,055

1. At 30 June 2025 investment properties included £200 million tenant lease incentives and letting fees (31 December 2024: £185 million; 30 June 2024: £179 million).

2. At 30 June 2025 investment properties included £79 million (31 December 2024: £67 million; 30 June 2024: £69 million) for the head lease liabilities (ROU assets) recognised under IFRS 16.

3. Disposals includes the land contributed to SEGRO Pure Premier Park Data Centre Limited joint venture as detailed in Note 6.

4. Total disposals completed in H1 2025 of £35 million shown in the Investment Update section includes: Carrying value of investment properties disposed by SEGRO Group of £91 million and profit generated on disposal of £2 million (see Note 7); proceeds from the sale of trading properties by SEGRO Group of £6 million; share of joint venture and associates disposal proceeds of £2 million; and excludes net disposal proceeds for assets sold by SEGRO Group to joint ventures of £66 million.

Investment properties are stated at fair value based on external valuations performed by professionally qualified, independent valuers. The Group's wholly-owned property portfolio and joint venture and associates property valuations were performed by CBRE Ltd. The valuations conform to International Valuation Standards and were arrived at by reference to market evidence of the transaction prices paid for similar properties. In estimating the fair value of the properties, the valuers consider the highest and best use of the properties. All investment property would be classified as level 3 fair value measurements, there has been no change in the valuation technique and no significant changes in the assumptions used during the period. The valuation surplus recognised during the period is discussed further in the Portfolio Update section above.

CBRE Ltd also undertakes some professional and agency work on behalf of the Group. This is carried out by departments separate from the Valuation team in CBRE and overall the total fees earned from the Group are below 5 per cent of CBRE's total income. This work does not therefore lead to a conflict of interest for the properties being valued by CBRE at the period end.

Completed properties include buildings that are occupied or are available for occupation. Development properties include land available for development (land bank), land under development, construction in progress and future development land which is currently income-generating ("covered land"). The carrying value of covered land held within Development properties is £617 million (31 December 2024: £619 million; 30 June 2024: £636 million).

The carrying value of investment properties situated on land held under leaseholds amount to £173 million (excluding head lease ROU assets) (31 December 2024: £170 million; 30 June 2024: £178 million).

During the period net proceeds for investment and trading properties sold from the Group's wholly owned portfolio to joint ventures were £66 million (31 December 2024: £nil; 30 June 2024: £nil).

Sensitivity analysis

An increase/decrease to ERV will increase/decrease valuations, while an increase/decrease to yield will decrease/increase valuations. Sensitivity analysis showing the impact on valuations of changes in yields and ERV on the property portfolio (including joint ventures and associates at share) and the impact on valuations of changes in development costs on the development property and land portfolio (including joint ventures

and associates at share) is shown below. Management continues to consider a +/- 25bp change in yield, a +/- 5 per cent change in ERV and a +/- 10 per cent change in development costs to be reasonably possible changes to the assumptions.

			Impact on valuation of 25bp change in equivalent yield	Impact on valuation of 5% change in estimated rental value (ERV)		Impact on valuation of 10% change in estimated development costs
	Group1	Increase	Decrease	Increase	Decrease	Increase	Decrease
	£m	£m	£m	£m	£m	£m	£m
30 June 2025 Completed property Development property and land	16,258 2,237	(768) (181)	845 194	603 275	(594) (275)	– (342)	– 342
Group total property portfolio	18,495	(949)	1,039	878	(869)	(342)	342
30 June 2024
Completed property	15,629	(749)	825	573	(568)	–	–
Development property and land	2,188	(187)	200	295	(295)	(382)	382
Group total property portfolio	17,817	(936)	1,025	868	(863)	(382)	382
31 December 2024
Completed property	15,453	(734)	807	576	(571)	–	–
Development
property and land	2,317	(190)	203	287	(287)	(351)	351
Group total property portfolio	17,770	(924)	1,010	863	(858)	(351)	351

1. For further details see Table 7 of the supplementary notes.

There are interrelationships between all these inputs as they are determined by market conditions. The existence of an increase in more than one input would be to magnify the impact on the valuation. The impact on the valuation will be mitigated by the interrelationship of two inputs in opposite directions, for example an increase in rent may be offset by an increase in yield.

13. NET BORROWINGS AND FINANCIAL INSTRUMENTS

	As at	As at	As at
	30 June 2025	30 June 2024	31 December 2024
	£m	£m	£m
In one year or less	554	1	–
In more than one year but less than two	–	894	535
In more than two years but less than five	1,579	787	1,103
In more than five years but less than ten	1,429	1,695	1,598
In more than ten years	1,187	1,382	1,371
In more than one year	4,195	4,758	4,607
Total borrowings	4,749	4,759	4,607
Cash and cash equivalents1	(141)	(546)	(363)
Net borrowings	4,608	4,213	4,244
Total borrowings is split between secured and unsecured as follows:
Secured (on land and buildings)	–	1	–
Unsecured	4,749	4,758	4,607
Total borrowings	4,749	4,759	4,607
Currency profile of total borrowings after derivative instruments
Sterling	839	1,089	918
Euros	3,910	3,670	3,689
Total borrowings	4,749	4,759	4,607
Maturity profile of undrawn borrowing facilities
In one year or less	145	144	140
In more than one year but less than two	–	–	–
In more than two years	1,414	1,403	1,413
Total available undrawn facilities2	1,559	1,547	1,553
Fair value of financial instruments
Book value of debt	4,749	4,759	4,607
Interest rate derivatives	113	104	95
Foreign exchange derivatives	(11)	(17)	(27)
Book value of debt including derivatives	4,851	4,846	4,675
Net fair market value	4,555	4,429	4,392
Mark to market adjustment (pre-tax)	(296)	(417)	(283)

1. Cash and cash equivalents also include tenant deposits held in separate designated bank accounts of £72 million (31 December 2024: £71 million; 30 June 2024: £64 million), the use of the deposits is subject to restrictions as set out in the tenant lease agreement and therefore not available for general use by the Group.

2. Total available undrawn facilities include committed facilities of £1,414 million (31 December 2024: £1,413 million; 30 June 2024: £1,403 million) and uncommitted facilities of £145 million (31 December 2024: £140 million; 30 June 2024: £144 million).

The debt financing is discussed in more detail in the Financial Position and Funding section.

14. NOTES TO THE CONDENSED GROUP CASH FLOW STATEMENTS

14(i) Reconciliation of cash generated from operations

			Year to
	Half year to	Half year to	31 December
	30 June 2025	30 June 2024	2024
	£m	£m	£m
Operating profit	316	277	703
Adjustments for:
Depreciation of property, plant and equipment and amortisation of
intangibles	7	5	12
Share of profit from joint ventures and associates after tax	(54)	(1)	(53)
Profit on sale of investment properties	(2)	(50)	(75)
Revaluation surplus on investment properties	(15)	(3)	(120)
Other provisions	1	2	5
	253	230	472
Changes in working capital:
Decrease/(increase) in trading properties	4	–	(3)
Increase in debtors and tenant incentives	(19)	(12)	(18)
(Decrease)/increase in creditors	(17)	(15)	8
Net cash inflow generated from operations	221	203	459

14(ii) Analysis of net debt

		Cash movements			Non-cash movements
	At 1 January 2025 £m	Cash inflow1 £m	Cash Outflow2 £m	Exchange movement £m	Other non-cash adjustments3 £m	At 30 June 2025 £m
Bank loans and loan capital Capitalised finance costs	4,641 (34)	125 –	(88) (7)	109 –	– 3	4,787 (38)
Total borrowings	4,607	125	(95)	109	3	4,749
Cash in hand and at bank	(363)	–	222	–	–	(141)
Net debt	4,244	125	127	109	3	4,608

1. Proceeds from borrowings of £125 million.

2. Cash outflow of £95 million, comprises the repayment of borrowings of £88 million and capitalised costs of £7 million.

3. Total other non-cash adjustments of £3 million relates to the amortisation of issue costs offset against borrowings.

15. RELATED PARTY TRANSACTIONS

There have been no undisclosed material changes in the related party transactions as described in the last annual report.

SUPPLEMENTARY NOTES NOT PART OF CONDENSED FINANCIAL INFORMATION

TABLE 1: EPRA PERFORMANCE MEASURES SUMMARY

		Half year to		Half year to		Year to
		30 June 2025		30 June 2024		31 December 2024
			Pence per		Pence per		Pence per
	Notes	£m	share	£m	share	£m	share
EPRA Earnings	Table 4	245	18.1	221	16.9	458	34.5
EPRA NTA (Adjusted NAV) Table 5		12,330	910	12,069	891	12,287	907
EPRA NRV	Table 5	13,585	1,003	13,248	978	13,477	994
EPRA NDV	Table 5	12,379	914	12,293	908	12,354	912
EPRA LTV	Table 6		33.1%		32.0%		30.6%
EPRA net initial yield	Table 7		4.1%		4.1%		4.1%
EPRA 'topped up' net initial
yield	Table 7		4.6%		4.4%		4.4%
EPRA vacancy rate	Table 8		5.7%		5.4%		6.0%
EPRA cost ratio (including
vacant property costs)	Table 9		19.0%		20.4%		21.7%
EPRA cost ratio (excluding
vacant property costs)	Table 9		16.6%		18.3%		19.1%

(Adjustments set out in the EPRA BPR Guidelines that are not applicable and have a zero value are not disclosed in the EPRA tables).

TABLE 2: INCOME STATEMENT, PROPORTIONALLY CONSOLIDATED

	Half year to 30 June 2025					Half year to 30 June 2024		Year to 31 December 2024
			JV and			JV and			JV and
		Group	associates	Total	Group	associates	Total	Group	associates	Total
	Notes	£m	£m	£m	£m	£m	£m	£m	£m	£m
Gross rental income	2, 6	306	68	374	283	70	353	592	137	729
Property operating expenses	2, 6	(42)	(4)	(46)	(43)	(4)	(47)	(92)	(9)	(101)
Net rental income		264	64	328	240	66	306	500	128	628
Joint venture management fee income1	2	12	(6)	6	14	(6)	8	26	(12)	14
Management and development fee income	2	1	1	2	5	1	6	6	2	8
Net service charge and other income	2	1	–	1	–	–	–	(1)	–	(1)
Administrative expenses	2	(33)	(1)	(34)	(35)	(1)	(36)	(76)	(2)	(78)
Adjusted operating profit before interest and tax		245	58	303	224	60	284	455	116	571
Net finance costs (including adjustments)	2, 6	(31)	(12)	(43)	(38)	(12)	(50)	(68)	(22)	(90)
Adjusted profit before tax		214	46	260	186	48	234	387	94	481
Tax on adjusted profit	2, 6	(7)	(8)	(15)	(5)	(7)	(12)	(12)	(11)	(23)
Adjusted earnings after tax (A)		207	38	245	181	41	222	375	83	458
Number of shares, million				1,352.5			1,305.1			1,328.7
Adjusted EPS, pence per share				18.1			17.0			34.5
Number of shares, million Adjusted EPS, pence per				1,355.1			1,308.0			1,332.0
share – diluted				18.1			17.0			34.4
EPRA earnings
Adjusted earnings after tax (A)		207	38	245	181	41	222	375	83	458
Impairment loss on loan due from associates	2	–	–	–	(1)	–	(1)	–	–	–
EPRA earnings after tax		207	38	245	180	41	221	375	83	458
Number of shares, million				1,352.5			1,305.1			1,328.7
EPRA, EPS, pence per share				18.1			16.9			34.5
Number of shares, million				1,355.1			1,308.0			1,332.0
EPRA, EPS, pence per share – diluted				18.1			16.9			34.4

1. Joint venture management fee income includes the cost of such fees borne by the joint ventures which are shown in Note 6 within net rental income.

2. Group net debt: EBITDA ratio as defined in the glossary was 8.8 times at 30 June 2025 (30 June 2024: 8.5 times; 31 December 2024: 8.6 times). Group net debt being £4,608 million (30 June 2024: £4,213 million; 31 December 2024: £4,244 million), per Note 13. Group EBITDA being £522 million for the 12 months to 30 June 2025 (12 months to 30 June 2024: £496 million; 12 months to 31 December 2024: £496 million) which takes Adjusted operating profit before interest and tax, less share of joint ventures and associates' adjusted profit, of £476 million (12 months to 30 June 2024: £447 million; 12 months to 31 December 2024: £455 million), adding back depreciation and amortisation charges of £14 million (12 months to 30 June 2024: £8 million; 12 months to 31 December 2024: £12 million) and includes dividends received from joint ventures and associates of £32 million (12 months to 30 June 2024: £41 million; 12 months to 31 December 2024: £29 million).

TABLE 3: BALANCE SHEET, PROPORTIONAL CONSOLIDATION

			As at 30 June 2025		As at 30 June 2024			As at 31 December 2024
			JV and			JV and			JV and
		Group	associates	Total	Group	associates	Total	Group	associates	Total
	Notes	£m	£m	£m	£m	£m	£m	£m	£m	£m
Investment properties	12, 6	15,625	2,947	18,572	15,055	2,827	17,882	15,303	2,526	17,829
Trading properties	12, 6	2	–	2	3	–	3	6	–	6
Total properties		15,627	2,947	18,574	15,058	2,827	17,885	15,309	2,526	17,835
Investment in joint ventures and associates	6	1,685	(1,685)	–	1,592	(1,592)	–	1,552	(1,552)	–
Other net liabilities		(632)	(244)	(876)	(607)	(230)	(837)	(568)	(218)	(786)
Net borrowings	13,6	(4,608)	(1,018)	(5,626)	(4,213)	(1,005)	(5,218)	(4,244)	(756)	(5,000)
Total equity		12,072	–	12,072	11,830	–	11,830	12,049	–	12,049
EPRA adjustments	11			258			239			238
Adjusted NAV	11			12,330			12,069			12,287
Number of shares, million	11			1,354.6			1,354.1			1,355.3
Adjusted NAV pence per share	11			910			891			907

The portfolio valuation surplus of 0.5 per cent (£87 million) shown in the Portfolio Update section is not directly derivable from the condensed financial statements and is calculated to be comparable with published MSCI Real Estate indices against which SEGRO's portfolio performance is measured. Based on the condensed financial statements there is a valuation surplus of £37 million (see Note 7) and property value of £18,495 million (see Table 7) giving a valuation surplus of 0.2 per cent. The primary differences are due to the portfolio valuation surplus of £87 million excluding the impact of rent free incentives (£19 million) and capitalised interest (£32 million).

TABLE 4: EPRA EARNINGS

	Half year to	Half year to	Year to 31 December 2024
Notes	£m	£m	£m
	247	220	594
			(120)
			(75)
			–
			21
			2
			(3)
			9
			30
			–
			458
			1,328.7
			34.5
			–
			458
	18.1	17.0	34.5
	7 7 7 8 8 6 5 11 2	30 June 2025 (15) (2) (1) 1 – 21 9 (16) 1 245 1,352.5 18.1 – 245	30 June 2024 (3) (50) – 23 – 4 (13) 40 – 221 1,305.1 16.9 1 222

1. Total tax charge in respect of adjustments per Note 2 of £10 million (H1 2024: £10 million , FY 2024: £30 million) comprises tax charge on profits on disposals of £1 million (H1 2024: £23 million charge, FY 2024: £21 million charge) and a deferred tax charge of £9 million (H1 2024: £13 million credit, FY 2024: £9 million charge).

2. See Note 2 for further details on the Company specific adjustments to exclude the net impact of the impairment of loan from associate from Adjusted earnings.

3. The updated EPRA BPR Guidelines on EPRA Earnings are applicable for reporting periods starting after 1 October 2024 and have been applied in calculating EPRA Earnings for the period ended 30 June 2025. Solar depreciation is shown outside of Adjusted Profit in line with the updated Guidelines, there is no impact on the prior period comparatives.

TABLE 5: EPRA NET ASSET MEASURES

The European Public Real Estate Association ('EPRA') Best Practices Recommendations (BPR) for financial disclosures by public real estate companies sets out three net asset value measures: EPRA net tangible assets (NTA), EPRA net reinstatement value (NRV) and EPRA net disposal value (NDV).

The EPRA Net Tangible Assets (NTA) metric is considered to be most consistent with the nature of SEGRO's business as a UK REIT providing long-term progressive and sustainable returns. EPRA NTA acts as the primary measure of net asset value and is also referred to as Adjusted Net Asset Value (or Adjusted NAV).

A reconciliation of the three EPRA NAV metrics from IFRS NAV is shown in the table below.

	EPRA measures
	EPRA NTA	EPRA	EPRA
As at 30 June 2025	(Adjusted NAV)	NRV	NDV
	£m	£m	£m
Equity attributable to ordinary shareholders	12,072	12,072	12,072
Fair value adjustment in respect of interest rate derivatives – Group	113	113	–
Fair value adjustment in respect of trading properties – Group	–	–	–
Deferred tax in respect of depreciation and valuation surpluses – Group1	97	193
Deferred tax in respect of depreciation and valuation surpluses –	87	174	–
Joint ventures and associates1
Intangible assets	(39)	–	–
Fair value adjustment in respect of debt – Group	–	–	296
Fair value adjustment in respect of debt – Joint ventures and associates	–	–	11
Real estate transfer tax2	–	1,033	–
Net assets	12,330	13,585	12,379
Diluted shares (million)	1,354.6	1,354.6	1,354.6
Diluted net assets per share	910	1,003	914

1. 50 per cent of deferred tax in respect of depreciation and valuation surpluses has been excluded in calculating EPRA NTA in line with option 3 of EPRA BPR guidelines.

2. EPRA NTA and EPRA NDV reflect IFRS values which are net of purchasers' costs (primarily "Real estate transfer tax"). Purchasers' costs are added back when calculating EPRA NRV.

	EPRA measures
	EPRA NTA	EPRA	EPRA
As at 30 June 2024	(Adjusted NAV)	NRV	NDV
	£m	£m	£m
Equity attributable to ordinary shareholders	11,830	11,830	11,830
Fair value adjustment in respect of interest rate derivatives – Group	104	104	–
Fair value adjustment in respect of trading properties – Group	1	1	1
Deferred tax in respect of depreciation and valuation surpluses – Group1	81	162	–
Deferred tax in respect of depreciation and valuation surpluses – Joint ventures and associates1	87	174	–
Intangible assets	(34)	–	–
Fair value adjustment in respect of debt – Group	–	–	417
Fair value adjustment in respect of debt – Joint ventures and associates	–	–	45
Real estate transfer tax2	–	977	–
Net assets	12,069	13,248	12,293
Diluted shares (million)	1,354.1	1,354.1	1,354.1
Diluted net assets per share	891	978	908

1. 50 per cent of deferred tax in respect of depreciation and valuation surpluses has been excluded in calculating EPRA NTA in line with option 3 of EPRA BPR guidelines.

2. EPRA NTA and EPRA NDV reflect IFRS values which are net of purchasers' costs (primarily "Real estate transfer tax"). Purchasers' costs are added back when calculating EPRA NRV.

	EPRA measures
	EPRA NTA
	(Adjusted	EPRA	EPRA
As at 31 December 2024	NAV)	NRV	NDV
	£m	£m	£m
Equity attributable to ordinary shareholders	12,049	12,049	12,049
Fair value adjustment in respect of interest rate derivatives –
Group	95	95	–
Fair value adjustment in respect of trading properties – Group	2	2	2
Deferred tax in respect of depreciation and valuation surpluses –
Group1	90	179	–
Deferred tax in respect of depreciation and valuation surpluses –
Joint ventures and associates1	88	176	–
Intangible assets	(37)	–	–
Fair value adjustment in respect of debt – Group	–	–	283
Fair value adjustment in respect of debt – Joint ventures and
associates	–	–	20
Real estate transfer tax2	–	976	–
Net assets	12,287	13,477	12,354
Diluted shares (million)	1,355.3	1,355.3	1,355.3
Diluted net assets per share	907	994	912

1. 50 per cent of deferred tax in respect of depreciation and valuation surpluses has been excluded in calculating EPRA NTA in line with option 3 of EPRA BPR guidelines.

2. EPRA NTA and EPRA NDV reflect IFRS values which are net of purchasers' costs (primarily "Real estate transfer tax"). Purchasers' costs are added back when calculating EPRA NRV.

TABLE 6: EPRA LTV, PROPORTIONAL CONSOLIDATION

	As at 30 June 2025				As at 30 June 2024			As at 31 December 2024
			JV and			JV and			JV and
		Group	associates	Total	Group	associates	Total	Group	associates	Total
	Notes	£m	£m	£m	£m	£m	£m	£m	£m	£m
Borrowings1,2		1,649	3	1,652	2,096	86	2,182	1,564	3	1,567
Bonds1,2		3,138	1,175	4,313	2,698	953	3,651	3,077	930	4,007
Exclude:
Cash and cash
equivalents	13	(141)	(154)	(295)	(546)	(29)	(575)	(363)	(173)	(536)
Net Debt (before
capitalised finance
costs) (a)		4,646	1,024	5,670	4,248	1,010	5,258	4,278	760	5,038
Foreign currency derivatives	13	(11)	–	(11)	(17)	–	(17)	(27)	–	(27)
Net payables3		428	74	502	434	71	505	408	49	457
EPRA Net Debt (b)		5,063	1,098	6,161	4,665	1,081	5,746	4,659	809	5,468
Investment properties at fair value (excluding head
lease ROU asset)	12	15,546	2,947	18,493	14,986	2,827	17,813	15,236		2,526 17,762
Trading properties	12	2	–	2	3	–	3	6	–	6
Total Property Value (c)		15,548	2,947	18,495	14,989	2,827	17,816	15,242		2,526 17,768
Head lease ROU asset	12	79	–	79	69	–	69	67	–	67
Unrecognised valuation surplus on trading
properties	12	–	–	–	1	–	1	2	–	2
Other interest in property		20	–	20	14	–	14	17	–	17
Intangibles		39	–	39	34	–	34	37	–	37
EPRA Total Property
Value (d)		15,686	2,947	18,633	15,107	2,827	17,934	15,365		2,526 17,891
LTV (a/c)		29.9%		30.7%	28.3%		29.5%	28.1%		28.4%
EPRA LTV (b/d)		32.3%		33.1%	30.9%		32.0%	30.3%		30.6%

1. Total borrowings as at 30 June 2025 per Note 13 of £4,749 million (30 June 2024: £4,759 million; 31 December 2024: £4,607 million) consists of: Nominal value of borrowings from financial institutions of £1,649 million (30 June 2024: £2,096 million; 31 December 2024: £1,564 million) less unamortised finance costs of £14 million (30 June 2024: £12 million; 31 December 2024: £8 million) and nominal value of bond loans of £3,138 million (30 June 2024: £2,698 million; 31 December 2024: £3,077 million) less unamortised finance costs of £24 million (30 June 2024: £23 million; 31 December 2024: £26 million).

2. JV and associates borrowings as at 30 June 2025 per Note 6 of £1,172 million at share (30 June 2024: £1,034 million; 31 December 2024: £929 million) consists of: Nominal value of borrowings from financial institutions of £3 million (30 June 2024: £86 million; 31 December 2024: £3 million) less unamortised finance costs of £nil (30 June 2024: £1 million; 31 December 2024: £nil) and nominal value of bond loans of £1,175 million (30 June 2024: £953 million; 31 December 2024: £930 million) less unamortised finance costs of £6 million (30 June 2024: £4 million; 31 December 2024: £4 million).

3. Net payables is calculated as the net position of the following line items shown on the Balance Sheet: Non-current other receivables, current trade and other receivables, tax asset, non-current trade and other payables, non-current tax liabilities, current trade and other payables and current tax liabilities.

TABLE 7: EPRA NET INITIAL YIELD AND TOPPED-UP NET INITIAL YIELD

Combined property portfolio including joint ventures and associates at share – 30 June 2025	Notes	UK £m	Continental Europe £m	Total £m
Total properties per financial statements	Table 3	11,629	6,945	18,574
Add valuation surplus not recognised on trading properties1		–	–	–
Less head lease ROU assets	12	–	(79)	(79)
Combined property portfolio per external valuers' report		11,629	6,866	18,495
Less development properties (investment, trading and joint venture and associates)		(1,350)	(887)	(2,237)
Net valuation of completed properties		10,279	5,979	16,258
Add notional purchasers' costs		698	335	1,033
Gross valuation of completed properties including notional purchasers' costs	A	10,977	6,314	17,291
Income
Gross passing rents2		420	302	722
Less irrecoverable property costs		(4)	(11)	(15)
Net passing rents	B	416	291	707
Adjustment for notional rent in respect of rent frees		56	27	83
Topped up net rent	C	472	318	790
Including fixed/minimum uplifts3		9	1	10
Total topped up net rent		481	319	800
		UK	Continental

Yields – 30 June 2025		UK %	Europe %	Total %
EPRA net initial yield4	B/A	3.8	4.6	4.1
EPRA topped up net initial yield4	C/A	4.3	5.0	4.6
Net true equivalent yield		5.3	5.6	5.4

1. Trading properties are recorded in the Condensed Financial Information at the lower of cost and net realisable value, therefore valuations above cost have not been recognised.

2. Gross passing rent excludes short term lettings and licences.

3. Certain leases contain clauses which guarantee future rental increases, whereas most leases contain five yearly, upwards-only rent review clauses (UK) or indexation clauses (Continental Europe).

4. In accordance with the Best Practices Recommendations of EPRA.

5. Total assets under management of £21,442 million includes Combined property portfolio (including JV and associates at share) of £18,495 million plus 50 per cent of JV and associates properties not owned but under management of £2,947 million.

TABLE 8: EPRA VACANCY RATE

	Half year to	Half year to	Year to
	30 June 2025	30 June 2024	31 December 2024
	£m	£m	£m
Annualised potential rental value of vacant premises	54	49	54
Annualised potential rental value for the completed property portfolio	950	911	900
EPRA vacancy rate1,2	5.7%	5.4%	6.0%

1. EPRA vacancy rate has been calculated using the figures presented in the table above in millions accurate to one decimal place.

2. There are no significant or distorting factors influencing the EPRA vacancy rate.

TABLE 9: TOTAL COST RATIO / EPRA COST RATIO

				Year to
		Half year to	Half year to	31 December
		30 June 2025	30 June 2024	2024
Total cost ratio	Notes	£m	£m	£m
Costs
Property operating expenses1	5	42	43	92
Administrative expenses Share of joint venture and associates' property operating		33	35	76
and administrative expenses	6	11	11	23
Less:
Joint venture management fee income, management fees
and other costs recovered through rents but not separately invoiced2		(16)	(18)	(34)
Total costs (A)		70	71	157
Gross rental income
Gross rental income	4	306	283	592
Share of joint venture and associates gross rental income	6	68	70	137
Less:
Other costs recovered through rents but not separately
invoiced2		(2)	(2)	(4)
Total gross rental income (B)		372	351	725
Total cost ratio (A)/(B)3		19.0%	20.2%	21.7%
Total costs (A)		70	71	157
Share-based payments		(2)	(4)	(7)
Total costs after share based payments (C)		68	67	150
Total cost ratio after share based payments (C)/(B)3		18.4%	18.9%	20.7%
EPRA cost ratio
Total costs (A)		70	71	157
Impairment loss on loan due from associates	2	–	1	–
EPRA total costs including vacant property costs (D)		70	72	157
Group vacant property costs	5	(8)	(7)	(18)
Share of joint venture and associates vacant property costs	6	(1)	–	(1)
EPRA total costs excluding vacant property costs (E)		61	65	138
Total gross rental income (B)		372	351	725
Total EPRA costs ratio (including vacant property
costs) (D)/(B)3		19.0%	20.4%	21.7%
Total EPRA costs ratio (excluding vacant property costs) (E)/(B)3		16.6%	18.3%	19.1%

1. Property operating expenses are net of costs capitalised in accordance with IFRS of £5 million (H1 2024: £5 million; FY 2024: £10 million) (see Note 5 for further detail on the nature of costs capitalised).

2. Total deduction of £16 million (H1 2024: £18 million; FY 2024: £34 million) from costs includes: joint venture management fees income of £12 million (H1 2024: £14 million; FY 2024: £26 million), management fees and other costs recovered through rents but not separately invoiced, including joint ventures and associates, of £4 million (H1 2024: £4 million; FY 2024: £8 million). These items have been represented as an offset against costs rather than a component of income in accordance with EPRA BPR Guidelines as they are reimbursing the Group for costs incurred. Gross rental income of £306 million (H1 2024: £283 million; FY 2024: £592 million) does not include joint venture and associates management fee income and management fee income and these fees are not required to be included in the total deduction to income.

3. Cost ratio percentages have been calculated using the figures presented in the table above in millions accurate to one decimal place.

GLOSSARY OF TERMS

Associate: An entity in which the Group has significant influence but not control or joint control. This is generally the case where the Group holds between 20 per cent and 50 per cent of the voting rights.

BREEAM: BREEAM provides sustainability assessment and certification for real estate assets.

Completed portfolio: The completed investment properties and the Group's share of joint ventures and associates' completed investment properties. Includes properties held throughout the period, completed developments and properties acquired during the period.

Covered land: Income-producing assets acquired with the explicit intention to take back for redevelopment in the short to medium term. Valued on the balance sheet as land plus remaining contracted income.

Development pipeline: The Group's current programme of developments authorised or in the course of construction at the Balance Sheet date (Current Pipeline), together with potential schemes not yet commenced on land owned or controlled by the Group (Future Pipeline).

Development yield: The expected gross yield based on the estimated current market rental value (ERV) of the developments when fully let, divided by the book value of the developments at the earlier of commencement of the development or the balance sheet date, plus future development costs and estimated finance costs to completion.

Earnings before interest, tax, depreciation and amortisation (EBITDA): Adjusted operating profit before interest and tax, adding back depreciation and amortisation charges, less share of joint ventures' and associates' adjusted profit and including dividends received.

EPRA: The European Public Real Estate Association, a real estate industry body, which has issued Best Practices Recommendations Guidelines in order to provide consistency and transparency in real estate reporting across Europe.

Equivalent yield: The internal rate of return from an investment property, based on the value of the property assuming the current passing rent reverts to ERV and assuming the property becomes fully occupied over time. It assumes that rent is received annually in arrears.

ESG: Environmental, Social and Governance issues.

Estimated cost to completion: Costs still to be expended on a development or redevelopment to practical completion, including attributable interest.

Estimated rental value (ERV): The estimated annual market rental value of lettable space as determined biannually by the Group's valuers. This will normally be different from the rent being paid.

Gearing: Net borrowings divided by total shareholders' equity excluding intangible assets and deferred tax provisions.

GRESB: An organisation which provides independent benchmarking of ESG metrics for the property industry.

Gross rental income: Contracted rental income recognised in the period in the Income Statement, including surrender premiums. Lease incentives, initial costs and any contracted future rental increases are amortised on a straight line basis over the lease term.

Headline rent: The annual rental income currently receivable on a property as at the balance sheet date (which may be more or less than the ERV) ignoring any rent-free period.

Hectares (Ha): The area of land measurement used in this analysis. The conversion factor used, where appropriate, is 1 hectare = 2.471 acres.

Investment property: Completed land and buildings held for rental income return and/or capital appreciation.

Joint venture: An entity in which the Group holds an interest and which is jointly controlled by the Group and one or more partners under a contractual arrangement whereby decisions on financial and operating policies essential to the operation, performance and financial position of the venture require each partner's consent.

Life cycle assessments: Life cycle assessment (LCA) is a methodology for assessing the environmental impacts associated with all the stages of the life cycle of a building.

Loan to value (LTV): Net borrowings excluding capitalised transaction costs divided by the carrying value of total property assets (investment, owner occupied and trading properties and excludes head lease ROU asset). This is reported on a 'look-through' basis (including joint ventures and associates at share) except where stated.

MSCI: MSCI Real Estate calculates indices of real estate performance around the world.

Net debt:EBITDA ratio: Net debt divided by EBITDA.

Net debt: Borrowings less cash and cash equivalents.

Net initial yield: Passing rent less non recoverable property expenses such as empty rates, divided by the property valuation plus notional purchasers' costs. This is in accordance with EPRA's Best Practices Recommendations.

Net rental income: Gross rental income less ground rents paid and property operating expenses.

Net true equivalent yield: The internal rate of return from an investment property, based on the value of the property assuming the current passing rent reverts to ERV and assuming the property becomes fully occupied over time. Rent is assumed to be paid quarterly in advance, in line with standard UK lease terms.

Passing rent: The annual rental income currently receivable on a property as at the Balance Sheet date (which may be more or less than the ERV). Excludes rental income where a rent free period is in operation. Excludes service charge income.

Pre-let: A lease signed with an occupier prior to commencing construction of a building.

REIT: A qualifying entity which has elected to be treated as a Real Estate Investment Trust for tax purposes. In the UK, such entities must be listed on a recognised stock exchange, must be predominantly engaged in property investment activities and must meet certain ongoing qualifications. SEGRO plc and its UK subsidiaries achieved REIT status with effect from 1 January 2007.

Rent-free period: An incentive provided usually at commencement of a lease during which a customer pays no rent. The amount of rent free is the difference between passing rent and headline rent.

Rent roll: See Passing Rent.

SELP: SEGRO European Logistics Partnership, a 50-50 joint venture between SEGRO and Public Sector Pension Investment Board (PSP Investments).

SIIC: Sociétés d'investissements Immobiliers Cotées are the French equivalent of UK Real Estate Investment Trusts (see REIT).

Speculative development: Where a development has commenced prior to a lease agreement being signed in relation to that development.

Square metres (sq. m): The area of buildings measurements used in this analysis. The conversion factor used, where appropriate, is one square metre = 10.7639 square feet.

Take-back: Rental income lost due to lease expiry, exercise of break option, surrender or insolvency.

Topped up net initial yield: Net initial yield adjusted to include notional rent in respect of let properties which are subject to a rent free period at the valuation date. This is in accordance with EPRA's Best Practices Recommendations.

Total accounting return (TAR): A measure of the growth in Net Asset Value (NAV) per share calculated as change in Adjusted NAV per share in the period plus dividend per share paid in the period, expressed as a percentage of Adjusted NAV per share at the beginning of the period.

Total property return (TPR): A measure of the ungeared return for the portfolio and is calculated as the change in capital value, less any capital expenditure incurred, plus net income, expressed as a percentage of capital employed over the period concerned, as calculated by MSCI Real Estate and excluding land.

Total shareholder return (TSR): A measure of return based upon share price movement over the period and assuming reinvestment of dividends.

Trading property: Property being developed for sale or one which is being held for sale after development is complete.

Yield on cost: Differs from the development yield as defined above and used to show anticipated returns on fully fitted data centre projects. It is based on the estimated current market rental value (ERV) of the developments when fully let, divided by the book value of the developments at the earlier of commencement of the development or the balance sheet date, plus future development costs - it does not include finance costs as per market convention.

Yield on new money/new capital invested: The development yield excluding the book value of land if the land is owned by the Group in the reporting period prior to commencement of the development.