Stoneweg Europe Stapled Trust (SERT) posted distributable income of €74.8 million for the year ended 31 Dec 2025, down 5.7% year-on-year, as higher finance costs offset a firmer operating performance. Gross revenue inched up 0.8% to €214.6 million, supported chiefly by stronger contributions from the logistics and light-industrial portfolio.

Full-year distribution per stapled security (DPS) came in at 13.390 Euro cents, 5.1% below the preceding year but at the upper end of market expectations. The managers declared a second-half DPS of 6.837 Euro cents—4.3% higher than in the first half—to be paid on 31 Mar 2026, with 3 Mar 2026 as the last cum-entitlement trading day.

Net property income (NPI) rose 2.5% to €134.4 million, as like-for-like NPI climbed 5.0%, led by a 9.2% increase in the logistics/light-industrial segment. Active leasing secured about 300,000 sq m of space—20% of the portfolio—and delivered a 9.8% portfolio-wide positive rent reversion. The trust’s portfolio occupancy remained broadly steady at 92.6%, while weighted average lease expiry stood at roughly five years.

Balance-sheet strength was maintained after refinancing activities that pushed all debt maturities out to 2030 and locked in a 3.86% weighted average cost of debt. Net gearing was 38.0% as at end-December, with €325 million of cash and committed undrawn facilities available. A €10 million buyback during the year was 1.1% accretive to DPS.

SERT continued to recycle capital, disposing of €140 million in non-core assets at an 11% premium to valuation and booking a 1% portfolio valuation uplift to €2.16 billion. Its 6.7% stake in AiOnX, the sponsor’s pan-European data-centre platform, generated a 41.1% fair-value gain (€20.5 million) in FY 2025.

Looking ahead, the board expects FY 2026 DPS to be broadly in line with FY 2025, implying an 8.1% forward yield at the current trading price. Management is reviewing more than €70 million of near-term logistics and data-centre acquisitions, funded in part by a matching slate of divestments, and plans to keep gearing near the upper end of its 35–40% policy band.

Chief executive Simon Garing said the like-for-like NPI growth was driven by resilient tenant demand and “portfolio-wide rent reversion”. He noted that the trust’s early move into data-centre developments via AiOnX, combined with the sponsor’s recent majority acquisition of NVIDIA partner Polarise, positions SERT to capture rising AI-related demand. Garing also highlighted that stable financing costs and the absence of debt maturities until 2030 provide “ample flexibility” for further acquisitions and development projects despite macroeconomic uncertainties.

Industry forecasts from CBRE point to continued recovery in European logistics, with vacancy expected to stabilise around 5–6% and investment volumes rebounding on improved funding conditions. Against this backdrop, SERT will prioritise Western Europe logistics assets, progress roughly €200 million of redevelopment projects awaiting permits, and monitor geopolitical and rate-market movements that could affect capital flows.