• Growth in underlying financial performance and $70.4 million capital raise
• Solid results with revenue and earnings growth driven by strong resident demand, rental growth and property valuations
• Continued expansion through acquisitions and developments

Eureka Group Holdings Ltd reported solid 1H25 results, with growth in underlying financial performance driven by strong resident demand, rental growth and property valuations. Revenue increased 11% to $22.6 million, while underlying EBITDA grew 16% to $8.2 million. Underlying EPS was 1.57 cents, up from 1.44 cents in the prior corresponding period. The company completed a $70.4 million capital raise and continued to expand its portfolio, acquiring a 55-unit village in South Australia and a mixed-use residential and caravan park in Gladstone, Queensland. Eureka also divested a non-core asset in South Australia and plans to recycle a further $25-30 million in assets over the next 12 months. The company's portfolio now totals 2,872 units under management, with a total asset value of $351 million. Eureka is well-positioned for continued growth, with a strong balance sheet, low gearing, and a robust acquisition and development pipeline.

Eureka expects FY25 underlying EBITDA growth of around 11% on FY24, and underlying EPS growth of around 2.6% on FY24. This is slightly lower than previous guidance due to minor transactional delays, occupancy softness and deferred rent increases.

Eureka is well-positioned for continued growth, with a strong balance sheet, low gearing, and a robust acquisition and development pipeline. The company is focused on expanding its portfolio through accretive acquisitions, developments and capital recycling initiatives, as well as leveraging its platform capabilities to drive organic growth.