Target Healthcare REIT Reports Improved Earnings and Portfolio Performance for H2
Target Healthcare REIT (LON:THRL) reported strong financial results for the year ended June 30, 2026. Adjusted EPRA earnings rose to £40.6 million from £37.7 million in the prior year, with adjusted EPRA earnings per share increasing by 7.6% to 6.54 pence. The company also saw an improvement in dividend cover to 109%, and declared a 2.5% increase in its annual dividend to 6.03 pence per share. The REIT optimized its portfolio through the sale of 11 care homes for £97 million at an average 11% premium, while acquiring new assets and reducing net loan-to-value from 21.8% to 16.1%. The company now holds a pipeline targeting yields above 6%, with committed capital of £75 million. Management expects leverage to rise toward the 25%-30% range as investments are deployed. Portfolio performance was further supported by full rent collection at year-end and an increase in like-for-like valuation by 4.9%. The CEO highlighted a total accounting return of 12% for the period, with an annualized return since its IPO standing at 7.8%.
Topics: Dividend Performance Healthcare REITs Portfolio Management Real Estate