The Centuria Industrial REIT (ASX: CIP) share price was in focus today after its half-year 2026 results showed funds from operations of $57.3 million, 5.1% net operating income growth, and reaffirmed guidance for FY26.
What did Centuria Industrial REIT report?
- Funds from Operations (FFO): $57.3 million, or 9.1 cents per unit (cpu), up from 8.9 cpu in HY25
- Distribution per Unit: 8.4 cpu, increased from 8.1 cpu a year earlier
- Net Tangible Assets (NTA): $3.95 per unit
- Like-for-like Net Operating Income (NOI) growth: 5.1%
- Portfolio occupancy: 95.7%, with a 7.1-year weighted average lease expiry
- Portfolio valuation gain: $75 million, the fourth consecutive period of gain
What else do investors need to know?
Centuria Industrial REIT completed a $36 million buy-back of its units, with the share price still trading at around a 20% discount to its net tangible assets. The trust also refinanced $775 million of debt, extending its average debt maturity to four years and locked in a new $325 million Exchangeable Note at a 3.5% coupon.
Leasing activity was robust, with about 144,000 square metres of lease terms agreedâcovering 12% of the portfolioâand data centre exposure increased with recent acquisitions and ongoing development applications. The REIT maintained a Baa2 stable Moody’s rating, and gearing remains conservative at 35.9%.
What did Centuria Industrial REIT management say?
Grant Nichols, CIP Fund Manager and Head of Listed Funds, said:
During the period, CIP reinforced its earnings growth profile through prudent capital management and significant leasing activity, capturing robust rental reversion. The REIT benefits from continued tenant demand for urban infill assets with CIP’s portfolio 85% weighted to these markets⦠Further earnings growth potential is evident across CIP’s portfolio with 60% of leases expiring over the next three years being under-rented, providing an opportunity to execute positive rent reversions.
What’s next for Centuria Industrial REIT?
CIP reaffirmed its upgraded full-year funds from operations guidance, expecting 18.2 to 18.5 cpu, with distributions set at 16.8 cpu, paid quarterly. The trust continues to focus on unlocking rental upside from under-rented properties and value-add development, including more exposure to the growing data centre sector.
Management’s outlook remains positive on the back of strong tenant demand, low national vacancy, and ongoing momentum in industrial asset values. Completion of development and leasing initiatives is expected to underpin future earnings and asset growth.
Centuria Industrial REIT share price snapshot
Over the past 12 months, Centuria Industrial REIT shares have risen 11%, outperforming the S&P/ASX 200 Index (ASX: XJO) which has risen 5% over the same period.
The post Centuria Industrial REIT grows earnings and holds guidance for HY26 appeared first on The Motley Fool Australia.
Should you invest $1,000 in Centuria Industrial REIT right now?
Before you buy Centuria Industrial REIT shares, consider this:
Motley Fool investing expert Scott Phillips just revealed what he believes are the 5 best stocks for investors to buy right now… and Centuria Industrial REIT wasn’t one of them.
The online investing service he’s run for over a decade, Motley Fool Share Advisor, has provided thousands of paying members with stock picks that have doubled, tripled or even more.*
And right now, Scott thinks there are 5 stocks that may be better buys…
* Returns as of 1 Jan 2026
.custom-cta-button p {
margin-bottom: 0 !important;
}
More reading
- Santos 2025 Annual Reserves statement: higher reserves and long-life assets
- National Storage REIT grows profit and portfolio in 1H FY26 results
- Evolution Mining unlocks $120m Northparkes deal with Triple Flag
- Evolution Mining half-year results: record profit and higher dividend
- GQG Partners lifts FUM to US$165.7b in January update
Motley Fool contributor Laura Stewart has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips. This article was prepared with the assistance of Large Language Model (LLM) tools for the initial summary of the company announcement. Any content assisted by AI is subject to our robust human-in-the-loop quality control framework, involving thorough review, substantial editing, and fact-checking by our experienced writers and editors holding appropriate credentials. The Motley Fool Australia stands behind the work of our editorial team and takes ultimate responsibility for the content published by The Motley Fool Australia.