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Highlights

  • In 1HFY25, VHP’s net property income increased by 2.64% YoY to NZD 74.3 million and gross property income rose 2.6% YoY to NZD 77.1 million.
  • VHP recorded 2.68% YoY drop in operating profit to NZD 36.5 million.
  • The company’s 9.75 cents per share guidance remains unchanged.

Vital Healthcare Property Trust (NZX:VHP) is a healthcare real estate investment firm that manages a diversified portfolio of healthcare and medical-related properties in Australia and New Zealand. In the first half of the financial year 2025 (1HFY25), VHP experienced both growth in rental income and the impact of macroeconomic uncertainties.

In 1HFY25, net property income increased by 2.64% YoY, reaching NZD 74.3 million, supported by rental growth under existing leases and significant leasing activity. Gross property income from rentals also rose 2.6% YoY to NZD 77.1 million in 1HFY25. However, operating profit saw a decline of 2.68% YoY to NZD 36.5 million.

During the reported period, over 47,000 sqm of VHP’s space was leased, extended, or renewed. This accounts for 18% of VHP’s total property portfolio by net lettable area and 21% by income.

Company Outlook 

Vital Healthcare continues to focus on owning high-quality, precinct-oriented assets diversified across tenants and regions, ensuring stable income security. The trust has maintained its FY 2025 distribution guidance at 9.75 cpu, payable quarterly. Its distribution reinvestment plan (DRP) remains active, with 5% of units and 25% of unitholders participating, although the 1% discount was removed in February 2024.

Distribution Update

In the second quarter of FY25, unitholders might receive a distribution of 2.4375 cents per unit, along with 0.4958 cpu in imputation credits. The record date of the distribution is 6 March 2025 and the payment is scheduled for 20 March 2025.

Top 10 shareholders of VHP

The top 10 shareholders of VHP have around 53.30% shareholding in the company. NorthWest Healthcare Properties Real Estate Investment Trust and Forsyth Barr Investment Management Limited have the highest stake in the firm with a shareholding of nearly 28.34% and 10.65%, respectively.

Share performance of VHP

VHP shares closed at NZD 1.805 per share on 24 February 2025 with a market cap of NZD 1.22 billion. In the last six months, the stock price has declined by approximately 12%.

52-week high of VHP is NZD 18.29 and 52-week low is NZD11.45.

Resistance and support summary

Note 1: Past performance is not a reliable indicator of future performance.

Note 2: The reference date for all price data, currency, technical indicators, support, and resistance levels is 24 February 2025. The reference data in this report has been partly sourced from EODHD/Others.

Technical Indicators Defined:

Support: A level at which the stock prices tend to find support if they are falling, and a downtrend may take a pause backed by demand or buying interest. Support 1 refers to the nearby support level for the stock and if the price breaches the level, then Support 2 may act as the crucial support level for the stock.

Resistance: A level at which the stock prices tend to find resistance when they are rising, and an uptrend may take a pause due to profit booking or selling interest. Resistance 1 refers to the nearby resistance level for the stock and if the price surpasses the level, then Resistance 2 may act as the crucial resistance level for the stock.