Region Group (ASX: RGN) Reports AUD 17Mn Profit in FY24, Rebounding from FY23 Loss

Highlights

• In FY24, RGN’s revenue increased by 0.9% YoY to AUD 380.4 million.
• The company achieved a net profit of AUD 17.3 million in FY24, reversing a net loss of AUD 123.6 million in FY23.
• RGN maintains AUD 262.4 million in available liquidity with no debt maturities until FY27.

Region Group (ASX:RGN) is an ASX-listed REIT company that comprises two internally managed real estate investment trusts that own a portfolio of convenience-focused retail properties across Australia.

In the financial year 2024 (FY24), RGN recorded increase in revenue by 0.9% YoY to AUD 380.4 million, while net profit reached AUD 17.3 million, marking a significant recovery from the AUD 123.6 million net loss in FY23. During the reported period, net cash flow from operating activities also improved by 3.4% YoY to AUD 182.8 million.

In FY24, funds from operations (FFO) stood at 15.4 cents per security and adjusted funds from operations (AFFO) reached 13.6 cents per security. The company announced distribution of 13.7 cents per security in FY24, translating to a payout ratio of 89% of FFO and 101% of AFFO.

As of 30 June 2024, the company has AUD 262.4 million in liquidity and no debt maturities until FY27. Operationally, portfolio occupancy improved to 98.1% from 97.8%, while specialty tenant vacancy decreased to 4.7% from 5.0% in FY24.

Outlook

RGN remains committed to its core strategy of delivering stable and resilient cash flows to support secure and growing long-term distributions for its security holders. The company targets a 3% growth in comparable Net Operating Income (NOI) while focusing on selective capital transactions and repositioning initiatives for its centers. To achieve these goals, RGN plans to maintain a flexible and dynamic capital management framework.

Assuming stable market conditions, the company forecasts FY25 earnings of 15.5 cents per security for FFO and 13.7 cents per security for AFFO, with an expected distribution payout ratio of approximately 90% of FFO and 100% of AFFO.

Top 10 shareholders of RGN

The top 10 shareholders of RGN have ~35.80% shareholding in the company. The Vanguard Group, Inc. has the highest stake in the firm with a percentage holding of 8.01%, followed by Vanguard Investments Australia Ltd. holding 5.55%.

Share performance of RGN

RGN shares closed 2.24% higher at AUD 2.12 per share on 14 December 2025. Over the past year, RGN’s share price has dropped by almost 4.07% and in the last three months, the share price has decreased by 7.83%.

52-week high of RGN is AUD 2.40, recorded on 2 April 2024 and 52-week low is AUD 2.05, recorded on 30 December 2024.

Note 1: Past performance is neither an Indicator nor a guarantee of future performance.

Note 2: The reference date for all price data, and currency, is 14 January 2025. The reference data in this report has been partly sourced from EODHD/Others.

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