Region Group（RGN.AU）UBS SnapShot： FY24 Result

Investment Rating - The report assigns a "Buy" rating to the company with a 12-month price target of A$2.58, while the current price is A$2.25 [5][9]. Core Insights - The company reported FY24 results that were 2% below UBS estimates due to lower net property income (NPI) and increased property expenses. FY25 guidance for funds from operations per unit (FFOpu) is also 3% below consensus [2][6]. - Key financial metrics include FFO of $178.4 million, which is lower than the expected $181.3 million, and a decrease in FFOpu to 15.4 cents, down 9% compared to the previous corresponding period [3][5]. - The company is experiencing growth in supermarket sales, with a moving annual total (MAT) increase of 3.0% and a 1.1% increase in discount department stores (DDS) [4]. Summary by Sections Key Numbers - FFO: $178.4 million vs. UBS estimate of $181.3 million; FFOpu: 15.4 cents (-9% vs. pcp) vs. UBS estimate of 15.6 cents [3]. - Gross rents increased to $880 per square meter from $856 per square meter [4]. - Specialty vacancy rate improved to 4.7% from 4.9% [4]. Result Highlights - Supermarkets MAT growth of 3.0% and DDS growth of 1.1% [4]. - Leasing spreads for renewals increased by 5.2% [4]. - The company’s net tangible assets (NTA) decreased to $2.42 from $2.45 [4]. Valuation - The valuation method used is a blended NAV SOTP/12-month forward DCF analysis, resulting in a price target of A$2.58 [5][13]. - The forecast price appreciation is 14.7%, with a forecast dividend yield of 6.4%, leading to a total forecast stock return of 21.1% [11]