REIZ Reports Strong Interim Results with USD3.3M Profit on Back of Strategic Acquisitions
Real Estate Investments Zambia PLC (REIZ), the country’s first listed Real Estate Investment Trust (REIT), has posted a profit after tax of USD 3.3 million for the half-year ended 30 June 2025, a significant increase compared to just USD 46,000 recorded in the same period last year.
The strong performance was attributed to the strategic acquisition of three prime commercial properties – Lewanika Mall, Jacaranda Mall and Acacia Park – effective 1 July 2024. This boosted rental income nearly fivefold, from USD 1.2 million in the first half of 2024 to USD 5.8 million in 2025.
The Group’s investment property portfolio was valued at USD 107 million, up sharply from USD 33 million as at 30 June 2024, reflecting the inclusion of the new high-yield assets. Independent professional valuers registered with the Zambia Institute of Valuation Surveyors carried out the midyear valuations.
While finance costs increased due to new loan facilities tied to the acquisitions, operational efficiency and rental growth drove profits. Net cash generated from operating activities rose from USD 270,000 in the prior year to USD 4.3 million in 2025, underscoring the positive impact of the expansion strategy.
The Board noted that REIZ’s transition to REIT status in May 2024, coupled with its dollar listing on the Lusaka Securities Exchange, has strengthened its appeal to foreign investors by reducing currency risk and enabling global comparability. As a REIT, REIZ also benefits from exemption from the 16% rental tax, with savings passed on to shareholders.
In line with REIT regulations, 80% of distributable income will be paid out as dividends, providing a guaranteed income stream for investors. Headline earnings per share rose to 0.0048 (USD/ZMW), compared to 0.0031 in the prior year, while the weighted average number of shares increased to 864.9 million from 214.9 million following the company’s restructuring.
Looking ahead, REIZ’s Board and management confirmed plans to pursue further high-quality acquisitions through share asset swap deals, a strategy aimed at increasing earnings per share while maintaining liquidity.
The announcement was authorised by Company Secretary Louis Pulu and approved by the Lusaka Securities Exchange, the Securities and Exchange Commission Zambia, and REIZ’s Board of Directors.
