The Scentre Group (ASX: SCG) share price is in focus today after the company reported funds from operations (FFO) of $612 million for the first half of 2026, up 4.4%, and upgraded its full year guidance for both earnings and distributions.
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What did Scentre Group report?
- FFO for the half year: $612 million, up 4.4% (11.73 cents per security)
- Distribution for the half: $481 million, up 4.9% (9.215 cents per security)
- Statutory profit: $975 million, boosted by an unrealised property valuation increase of $478 million
- Annual customer visitations reached 552 million, a record for the business
- Occupancy remained high at 99.8%, the best in over a decade
- Upgraded 2026 full year guidance to at least 23.79 cents FFO and a distribution of 18.473 cents per security
What else do investors need to know?
Scentre Group delivered solid customer engagement and strong operational metrics. Customer advocacy improved, with its Net Promoter Score rising 12 points to 65, and Westfield membership grew to 5.2 million, up 11% on the previous year.
The group completed 1,401 leasing deals, with average specialty rent escalations of 5.5%. Business partners' sales for the year reached a record $30.3 billion, growing 4.2% year on year. Scentre remains highly engaged in ongoing redevelopments at key destinations, including Westfield Bondi, Penrith, and Tuggerah.
On the capital management front, Scentre successfully introduced Australian Retirement Trust as a joint venture partner at Westfield Mt Gravatt and reduced its average debt margin from 2.6% to 1.6%. There is ample liquidity, with $3.5 billion available and all pandemic-era debt refinanced.
What did Scentre Group management say?
Scentre Group CEO Elliott Rusanow said:
Our focus is to continue generating long term earnings growth from our Westfield business in Australia and New Zealand and create significant additional value from our substantial land holdings.
What's next for Scentre Group?
Management has upgraded full year 2026 FFO and distribution guidance, pointing to growth of at least 4.25%. Scentre is continuing to invest in its retail destinations and progress major redevelopments, especially at Westfield Bondi and other key sites.
At the same time, the group is looking to unlock value from its strategic land holdings by progressing plans to deliver up to 25,600 dwellings, working collaboratively with governments on housing supply. Scentre also aims to strengthen partnerships and drive further economic activity in and around its Westfield centres.
Scentre Group share price snapshot
The Scentre Group share price has underperformed the S&P/ASX 200 index (ASX: XJO) on a 12-month basis with a decline of around 8%.
