Highlights

  • Charter Hall lifted FY26 OEPS guidance by 3% to 103 cents per security, marking a 26.5% rise from FY25.
  • Institutional Capital momentum remained strong, with $6.5 billion in gross Equity inflows year-to-date.
  • Property Funds Management expanded, pushing funds under management to $74.7 billion, supporting recurring Earnings growth.

Overview

Charter Hall Group (ASX:CHC) has further upgraded its FY26 operating earnings per security (OEPS) guidance to 103 cents, reflecting continued momentum across its property funds management platform and a record year for capital raising. The revised guidance is up from the previously announced 100 cents and represents a 26.5% increase compared with FY25. Growth has been supported by strong institutional investor Demand, with year-to-date gross equity inflows reaching $6.5 billion and funds under management rising to $74.7 billion. Charter Hall’s diversified property platform continues to benefit from disciplined capital deployment, strong leasing activity, and higher Recurring Revenue from property services and investments. Management expects this momentum to support future earnings growth, with FY26 shaping up as one of the strongest capital raising years in the group’s history.

What Is Driving Charter Hall’s Strong FY26 Earnings Upgrade?

Charter Hall’s latest earnings guidance upgrade has been driven primarily by robust institutional capital inflows and expansion across its property funds management Business. Year-to-date gross equity inflows of $6.5 billion represent the strongest capital raising period in the group’s history, with both existing investors increasing allocations and new institutional investors entering the platform. This capital has been deployed into diversified institutional mandates, sector-specific funds, and strategic partnerships across industrial, office, and social infrastructure Assets. Funds under management have increased to $74.7 billion, boosting recurring base management and property services earnings. The company also benefited from higher leasing activity and development management income, which contributed positively to overall EBITDA growth across the property funds management segment.

Can Charter Hall Sustain This Growth Into FY27?

Management believes current momentum could support earnings growth beyond FY26 due to the annualized benefit of higher funds under management and recurring fee income. Charter Hall highlighted that recent capital deployment into long-WALE assets, logistics developments, office partnerships, and infrastructure-related investments should continue to contribute to earnings in FY27 and beyond. The property investments segment is also expected to benefit from Retained Earnings being reinvested into accretive Balance Sheet assets. Charter Hall sees broader macro tailwinds as well, noting that changes to residential property tax settings may encourage investors to shift toward higher-yielding Commercial Real Estate. With strong capital inflows, platform scale, and recurring earnings growth, management remains confident in its medium-term outlook.