Earnings call transcript: Centuria Industrial REIT posts solid FY 2026 growth

Centuria Industrial REIT reported a 4% increase in funds from operations (FFO) to AUD 114.1 million, or AUD 0.182 per unit, in FY 2026, compared to the previous year. The trust's distribution per unit remained steady at AUD 0.168, in line with expectations. The shares traded at $3.07, marking a 1.32% increase from the previous close of $3.03.

The industrial REIT offered investors a dividend yield of 5.5% and held a P/E ratio of 13.8, positioning itself as a reliable income generator in the industrial property sector. Centuria's like-for-like net operating income grew 5.2% in FY 2026, despite facing lower occupancy rates than in FY 2025. The property portfolio remains anchored in urban infill locations, with about 86% of assets situated in core markets close to population centers and infrastructure.

The trust's assets are currently around 17% under-rented on average, providing ample room for potential rental growth. The Australian industrial real estate market remains relatively tight, with national vacancy rates below 4%, which should support rent growth and occupancy in the coming years.