Attacq Limited has reported a 25.6% increase in its distributable income per share (DIPS) to 108.3 cents for FY2025, with a full-year dividend of 87 cents per share – growth of 26.1%.

Attacq’s CFO, Raj Nana, says the increase in the REIT’s DIPS is underpinned by improved net operating income (NOI), lower net finance costs, and higher municipal recoveries, supported by its rooftop PV roll-out. “The successful execution of our debt strategy, including another major refinance, the R760 million raised under our DMTN programme, and our first long-term credit rating of A+_[ZA], have resulted in our average cost of debt reducing by 80 basis points from the prior year, a low gearing level of 25.3% and interest cover ratio of 2.95 times,” he says. “Our DIPS has grown by more than 50% from two years ago, which is a remarkable performance.”

The REIT’s portfolio reported high occupancies and collection rates for the period of 91.6% and 100% respectively (FY2024: 92.8% and 100.2%) with weighted average annual trading density growth of 5% (FY2024: 5.8%).

In Waterfall City, Attacq launched Aspire Waterfall City in May 2025, a 19-storey, 217-unit residential tower with integrated mixed-use space valued at R295.5 million. The Company says early market response has been strong with 112 units i.e., 51.6% of the development by number of units sold within months of launch. Waterfall City Junction was also launched with the 627 582m² site including 313 791m² of bulk, envisioned as a secure, environmentally sustainable logistics park. Phase 1 infrastructure was completed in FY2025 with formal proclamation expected in Q1 FY2026.

Attacq’s developments under construction, and approved pipeline construction at Waterfall City totals 90 644m² (effective 39 641m²) of gross lettable area (GLA) with a total cost of R2.3 billion (effective R1 billion) (FY2024: total GLA 43 766m², total cost R1.7 billion).

The REIT repaid interest-bearing borrowings from sales proceeds and refinanced R5.9 billion in bank debt at lower margins which together with the launch of its DMTN programme, raised R760 million at materially lower margins, resulting in a reduced weighted average cost of debt of 9.2%. The Group interest cover ratio improved to 2.95 times while its gearing was maintained at 25.3%.

Its balance sheet performance was supported by a 7.3% rise in total assets to R24.6 billion and a 6% increase in its net asset value (NAV) to R16.6 billion. NAV attributable to Attacq equity owners increased to R13.3 billion, equating to R18.94 per share.

“Over the past year, we have navigated sustained headwinds and a challenging operating environment by prioritizing disciplined capital allocation, NOI growth, cost containment, and a thriving working culture that has delivered an exceptional set of results,” comments Attacq CEO, Jackie van Niekerk.

“We are encouraged by the growth in market rentals across all sectors, and leasing activity was robust with the full-year benefit of the landmark Waterfall City transaction and 100% ownership from Mall of Africa for the year. Development activity across Waterfall City further continues to create long-term value. We remain focused on driving sustainable growth and delivering quality spaces in South Africa that meet the evolving needs of our communities.”

Attacq anticipates growth in DIPS of between 7% and 10% for FY2026 with its payout ratio holding steady at 80%.