Primary Health Properties (PHP) has reported 2025 results in line with market expectations, with adjusted EPS of 7.3p comfortably covering DPS of 7.1p (+3%). The company has entered 2026 with strong momentum in both organic rental income and the integration of Assura, and management targets a 2026 fully covered DPS of 7.3p (the 30th consecutive year of growth). 83% of the expected £9m cost synergies have been put in place and plans are well advanced to reduce leverage back to within the targeted range ahead of previous expectations, including an expansion of its primary care joint venture (JV) and establishing a new strategic JV for the private hospital portfolio.

Primary Health Properties (PHP) ended a transformational year with strong momentum in both organic rental income and the integration of Assura into the enlarged group. In the two months since the Competition and Markets Authority gave clearance for the combination, 60% of the expected £9m cost synergies have been put in place and good progress has been made with plans to reduce leverage back to within the targeted range. Underlining management’s confidence, and the robust and visible nature of underlying earnings, a Q126 DPS of 1.825p was declared, annualised to 7.3p, up from 7.1p in FY25, marking the 30^th year of consecutive growth.

Primary Health Properties’ (PHP’s) £1.6bn accretive acquisition of Assura creates a sector specialist REIT of scale, strongly positioned to profitably deliver the investment that primary healthcare systems in both the UK and Ireland require. While UK market rental growth accelerates, the acquisition synergies provide a new driver of earnings and dividend growth. Yet the shares are yielding a highly attractive c 8%, more than 300 basis points above 10-year gilts, with a strong outlook for DPS growth.