(Alliance News) - Empiric Student Property PLC said on Wednesday that revenue occupancy rates for the academic year ending in 2022 are at the top end of guidance.
The London-based owner and operator of student accommodation said despite the impacts of the pandemic, it had a revenue occupancy rate of 84% for the 2021/22 academic year. This is an increase from its November figure for the year of 81%, and it is at the upper end of its previous guidance. It is an increase year-on-year from 68%.
Empiric has seen a shift in customer demographics following the pandemic. UK domestic students now make up 48% of bookings, with Chinese students at 25% and other international students at 26%. Each group had constituted roughly a third in pre-Covid times.
Empiric continues to expect to re-instate regular dividends, to be paid quarterly commencing this quarter. It is targeting a payment of 2.5 pence per share for 2022.
Looking ahead, it is "encouraged" by the start of the booking cycle for the next academic year, expecting strong demand from both domestic and international students following the easing of travel restrictions.
Duncan Garrood, Empiric's chief executive officer, said: "We continue to make good progress in actively managing our portfolio to recycle capital and drive returns for our shareholders. With our latest disposal of a portfolio of five assets for GBP26.5 million in line with the latest book value, we have now sold a total of GBP44.6 million of non-core assets, with ongoing discussions regarding further non-core property disposals."
Empiric's share price was up 5.7% to 93.00 pence each in London on Wednesday morning.
It will release full-year results for 2021 on March 3.
By Elizabeth Winter; elizabethwinter@alliancenews.com
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Empiric (ESP)