Primary Health Properties Reports Strong H1 Earnings Growth
Primary Health Properties (PHP) reported a 9% increase in adjusted earnings per share for the first half of 2026, reaching 3.8 pence per share. This growth was driven by rental increases, Assura merger synergies, and full-year contributions from its acquisition. The company confirmed that its projected annual dividend of 7.3 pence is fully covered, extending a 30-year streak of consistent dividend growth. PHP has completed over 90% of the £9 million in anticipated cost savings from integrating Assura. It also refinanced £1.2 billion in debt and plans to repay remaining bridge facilities soon, aiming for lower leverage with a loan-to-value ratio below 50%. The company is pursuing a joint venture on its £700 million private hospital portfolio, expected to close later this summer. Rental growth contributed an additional £4 million in income during the period. Rent reviews resulted in a 6% uplift over previous rents and open-market rent increases of 6.3%. The company's property portfolio remains highly occupied at 99%, with strong government-backed income support.
Topics: acquisition integration debt refinancing dividend growth healthcare real estate