Rural Funds Group Reports Strong 1H25 Financial Performance.

Feb 21, 2025

Rural Funds Group (ASX: RFF) reported a 17.3% increase in net property income to AU$45.5 million for 1H25, primarily driven by additional rental income from macadamia developments. Adjusted funds from operations (AFFO) reached 5.73 cents per unit (cpu), aligning with full-year forecasts, while distributions per unit (DPU) stood at 5.87 cpu. The adjusted net asset value (NAV) declined 1.2% to AU$3.10 per unit, mainly due to interest rate swap revaluations. 

Leasing activity included eight properties worth AU$119 million, securing a weighted average lease term of 9.7 years. Developments remain fully funded, with a bank debt facility headroom of AU$155.9 million compared to committed capex of AU$104.6 million. RFF reaffirmed FY25 and FY26 distribution forecasts of 11.73 cpu. The portfolio maintains strong diversification across 64 properties, with 79% of FY25 forecasted income coming from corporate and institutional lessees.

 

 

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