Big Yellow Group

Website: Big Yellow Group
Index: FTSE 250
EPIC: BYG
Supersector: Real Estate
Sector: Real Estate Investment Trusts
Subsector: Specialty REITs
Market Cap: £1.98B
Payout Frequency: Semi-Annual

Next Big Yellow Group Dividend

Big Yellow Group next goes ex-dividend on 02/01/2026. This will be the Interim dividend for 2026.

The dividend per share amount is 23.8000p (GBP) and the payment date is 23/01/2026.

Dividend Announcement Summary

Dividend: 23.8 pence per share (interim)
Type: 100% PID (Property Income Distribution)
Growth: +5% vs prior interim (22.6p)
Ex-dividend date: 02/01/2026
Record date: 05/01/2026
Payment date: 23/01/2026
Estimated cash cost: ~£46.6m (company disclosure)
Earnings cover (H1 EPRA EPS 30.0p): ~1.26x (payout ~79%)
Cash flow cover (H1 cash from ops pre-WC £56.9m vs interim cash cost £46.6m): ~1.2x

Context from Results Relevant to the Dividend

EPRA EPS: 30.0p (+7% YoY)
Adjusted PBT: £59.6m (+9%); Store EBITDA: £74.3m (+5%)
Cash from operations (pre-WC): £56.9m (+6%)
Net debt: £439.5m; Net debt/EBITDA: 3.3x; Interest cover: 6.3x
Average cost of debt: 4.8%; ~42% fixed, remainder floating; committed liquidity £131.2m
Operational trends: Like-for-like revenue +2%; occupancy down to 77.5% (from 80.5%), but modest improvement post period
Capex and pipeline: H1 capex £60.8m; cost to complete current development pipeline ~£224m; seven sites in construction

Sustainability and Growth Outlook

Coverage and cash generation: The interim payout is covered ~1.26x by H1 EPRA EPS and ~1.2x by operating cash flow. As a REIT, the dividend is tied to property income and remains well supported by recurring store EBITDA and tight cost control (store operating costs down 2–3%).
Payout discipline: A ~79% payout of EPRA EPS for H1 is consistent with REIT distributions, leaving a modest earnings buffer.
Earnings drivers: Net rent per sq ft grew 4% and costs eased, offsetting softer occupancy. New store openings (Staines, Queensbury) are currently dilutive but should contribute to EBITDA as they lease up, supporting medium-term dividend capacity.
Balance sheet and funding: Leverage at 3.3x EBITDA and interest cover 6.3x appear comfortable. Average borrowing costs fell with recent rate cuts; further declines would be an earnings tailwind given the floating exposure.
Headwinds: Occupancy softness and seasonality will weigh near term; prior-year insurance proceeds (£4m) create a tougher full-year comp. Heavy capex means free cash flow after investing is negative, so dividends are effectively funded from operating cash while growth capex is debt-funded.

Structural or Policy Changes Affecting Future Dividends

No change to dividend policy indicated; interim increased 5% and designated fully PID.
Development and asset recycling: Continued store rollout; intention to sell industrial estates at Harrow and Staines in 2026 once practical completion is achieved—could reduce debt and support balance sheet flexibility.
Financing: Revolving Credit Facility maturity extended to December 2028; liquidity of £131.2m supports ongoing commitments.
M&A/Corporate actions: No demergers or share consolidations. Minor strategic move: increased stake in DSOC to 74% (joint control); not material to dividend capacity.

Risks and Flags for Dividend Stability

Occupancy risk: Closing occupancy down to 77.5% (LFL -2.3ppts). Further weakness would pressure revenue despite rent growth.
Lease-up dilution: Newly opened and pipeline stores depress margins near term until stabilised, tempering immediate dividend cover.
Capex/Leverage: Significant remaining pipeline spend (~£224m) and rising net debt increase sensitivity to funding markets; planned disposals are future events.
Macro/interest rates: 58% floating exposure provides upside if rates fall, but adverse rate moves would raise finance costs.
One-offs: Prior-year insurance proceeds (£4m, £3m in H2 last year) create a headwind for reported YoY earnings growth in FY26.
Property valuation sensitivity: Portfolio values are sensitive to yields and stabilised occupancy; adverse moves could constrain balance sheet flexibility.

Dividends Used in Calculation:

Ex-Dividend Date	Payment Date	Type	Amount	Currency
02/01/2025	24/01/2025	Interim	22.60p	GBX
03/07/2025	25/07/2025	Final	23.80p	GBX

Total (Annual Dividends Per Share): 46.40p

Dividend Yield = Annual Dividends Per Share (46.40p) ÷ Share Price (1012p) = 4.58%

Ex Dividend Date	Payment Date	Type	Amount	Currency
02/01/2026	23/01/2026	Interim	23.8000p	GBX
03/07/2025	25/07/2025	Final	23.80p	GBX
02/01/2025	24/01/2025	Interim	22.60p	GBX
04/07/2024	26/07/2024	Final	22.60p	GBX
04/01/2024	26/01/2024	Interim	22.60p	GBX
06/07/2023	28/07/2023	Final	22.90p	GBX
05/01/2023	26/01/2023	Interim	22.30p	GBX
07/07/2022	29/07/2022	Final	21.40p	GBX
02/12/2021	07/01/2022	Interim	20.60p	GBX
08/07/2021	30/07/2021	Final	17.00p	GBX
03/12/2020	08/01/2021	Interim	17.00p	GBX
18/06/2020	10/08/2020	Final	16.70p	GBX
05/12/2019	10/01/2020	Interim	17.10p	GBX
20/06/2019	26/07/2019	Final	16.50p	GBX
06/12/2018	07/01/2019	Interim	16.70p	GBX
21/06/2018	27/07/2018	Final	15.50p	GBX
07/12/2017	05/01/2018	Interim	15.30p	GBX
22/06/2017	27/07/2017	Final	14.10p	GBX
08/12/2016	06/01/2017	Interim	13.50p	GBX
16/06/2016	28/07/2016	Final	12.80p	GBX
10/12/2015	07/01/2016	Interim	12.10p	GBX
11/06/2015	23/07/2015	Final	11.30p	GBX
11/12/2014	08/01/2015	Interim	10.40p	GBX
11/06/2014	24/07/2014	Final	8.40p	GBX
11/12/2013	09/01/2014	Interim	8.00p	GBX
12/06/2013	24/07/2013	Final	6.00p	GBX
05/12/2012	04/01/2013	Interim	5.00p	GBX

Year	Interim	Final	Currency	Total	Change
2024	22.600	22.600	GBX	45.200	0.000
2023	22.300	22.900	GBX	45.200	111.210
2022		21.400	GBX	21.400	-43.080
2021	20.600	17.000	GBX	37.600	11.570
2020	17.000	16.700	GBX	33.700	0.290
2019	17.100	16.500	GBX	33.600	4.340
2018	16.700	15.500	GBX	32.200	9.520
2017	15.300	14.100	GBX	29.400	11.780
2016	13.500	12.800	GBX	26.300	12.390
2015	12.100	11.300	GBX	23.400	24.460
2014	10.400	8.400	GBX	18.800	34.280
2013	8.000	6.000	GBX	14.000	180.000
2012	5.000		GBX	5.000

Number of Shares:

Payment	Paid	Amount
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