Interim results for the half-year to 30 June 2026

Accelerating alignment to the UK’s strongest universities

Joe Lister, Chief Executive of Unite Group, commented:

“We are moving at pace to deliver our strategy to increase alignment to the UK’s strongest universities, where student demand is robust and growing. Following a detailed portfolio review, we have set out an ambitious plan to focus our portfolio on these universities. We are creating a higher-quality business, with strong and sustainable long-term growth prospects.

“In a less certain operating environment, performance in the first half has been encouraging, with reservations up year-on-year for Unite Students and Hello Student and earnings in line with our expectations. This reflects the strength of our market-leading operating platform, the appeal of our high-quality portfolio, and the dedication of our teams. As a result, we remain on track to deliver our full-year guidance.

“The progress in repositioning the business gives us confidence in our ability to return to earnings growth and create long-term value for shareholders.”

HIGHLIGHTS

Growing alignment to the UK’s strongest universities

• 7% growth in applications for high-tariff universities for the coming academic year

• Increasing alignment to the strongest universities where applicants are 2.3x available places

• Portfolio to focus on c.20 cities comprising c.55,000-60,000 beds (30 June 2026: 72,000 beds)

• Future portfolio delivering sustained high occupancy and superior rental growth

• Accelerating disposal programme with 15,000-20,000 beds identified for sale

• Majority of identified assets coming to market this year

• Attractive pipeline of university partnership opportunities with the strongest universities

Disposals funding reinvestment in high-quality student accommodation

• Completed disposals totalling £190 million (Unite share: £130 million) at 4.8% NOI yield

• On track to deliver £300-400 million (Unite share) disposals in 2026

• Reinvested c.£165 million through a share buyback at attractive returns

• 719-bed Hawthorne House development fully let for the 2026/27 academic year

• Newcastle and Manchester Metropolitan University JVs on track to deliver 4,300 beds between 2028-30

Best-in-class platform delivering operational excellence

• Continued sales momentum with Unite Students portfolio 89% reserved for 2026/27 (2025/26: LfL 87%)

• Sales progress supports 0-2% like-for-like income growth for 2026/27

• Expect 94-96% occupancy and 1-2% rental growth for 2026/27 (2025/26: 95.2% and 4.0%)

• Continued university demand with 53% of beds nominated for 2026/27 (2025/26: 58%)

• Hello Student portfolio 77% reserved for 2026/27 (2025/26: LfL 68%)

• Expect 88-90% Hello Student occupancy for 2026/27 (2025/26: 89%) and rental growth in line with Unite

• Hello Student cost synergies increased to £18 million p.a. from FY2027

H1 trading in line with expectations

• 27.1p adjusted EPS down 8% (H1 2025: 29.5p)1

• IFRS diluted EPS of (79.7p) (H1 2025: 37.9p), reflecting revaluation decline

• Reiterating FY2026 adjusted EPS guidance of 41.5-43.0p

• Interim dividend unchanged at 12.8p

Strong and flexible balance sheet

• EPRA NTA reduced 9% to 865p (2025: 955p), (7.5%) Total Accounting Return in H1 (H1 2025: 4.0%)

• £9.7 billion portfolio valuation (Unite share: £6.7 billion), 6.4%⁶ reduction on a like-for-like basis

• Pro forma net debt: EBITDA of 7.5x⁵ and LTV of 36% (31 December 2025: 6.0x and 27%)

• Cost of debt expected to increase to 4.3% in 2026 (2025: 3.9%)

1. Adjusted earnings and Adjusted EPS remove the impact of SaaS implementation costs from EPRA earnings and EPRA EPS. See Supplementary Disclosures for calculations and reconciliations.
2. The financial statements are prepared in accordance with International Financial Reporting Standards (IFRS). The Group uses alternative performance measures (APMs), which are not defined or specified under IFRS. These APMs, which are not considered a substitute for IFRS measures, provide additional helpful information and include measures based on the European Public Real Estate Association (EPRA) best practice recommendations. The metrics are also used internally to measure and manage the business. The adjustments to the IFRS results are intended to help users in the comparability of these results across other listed real estate companies in Europe and reflect how the Directors monitor the business.
3. Excludes IFRS 16 related balances recognised in respect of leased properties.
4. Wholly owned balances plus Unite’s share of balances relating to USAF and LSAV.
5. Pro forma, calculated on a 12-month look-back basis. EBITDA adjusted for: 12 months of Empiric and synergies, Hawthorne House opening and sale of St Pancras Way to USAF to better reflect stabilised operational performance.
6. At Unite share. Like-for-like properties owned at both 30 June 2026 and 31 December 2025, includes revaluation gains/(losses), capital expenditure, excludes development properties, leased properties and fire safety provisions.

PRESENTATION

A live webcast of the presentation including Q&A will be held today at 08:30am BST for investors and analysts. The webcast can be accessed via https://brrmedia.news/UTG_HY26 and will be available for playback on our website (https://www.unitegroup.com) after the event.

INVESTOR FAQs

You can find responses to frequently asked questions here, providing greater detail and insight into our strategy as we accelerate our alignment towards higher-tariff universities.