It’s been another strong year in which we have achieved significant long-term ambitions, which is testament to the continued hard work and commitment of the Sirius teams across Germany and the UK. In this blog post, I would like to take some time to reflect on the facts and figures, and highlight some areas in which we have made progress during the financial year – despite continued macro challenges.
Realising a landmark ambition
Casting our minds back to our 2018 Capital Markets Day in London, we set out a plan in order to reach a target funds from operation (FFO) of €100 million, and we are proud to say that Sirius achieved this ambition in the previous financial year.
This figure of €100 million, which represents a 36.9% year on year increase in FFO growth, allows us to be self-sufficient in funding our dividend, debt and capex all from positive operating cashflows. We’re now setting our sights on growing our FFO to €150 million, building on our momentum and looking to challenge ourselves and our business model to continue to accelerate the growth of the business.
What’s more, with a 28.8% increase in dividend year on year, this year marks the ninth year running of consecutive dividend increases.
We have been able to achieve this through the flexibility of our platform, which has enabled us to work closely with tenants to help provide the right mix of space and the right suite of services against sometimes challenging market conditions for our tenants.
A focus on sustainability
Another major milestone in the year came in the form of our first ESG report, titled ‘Shaping Our Future’ which was released in December 2022. As part of this report, we published our first ESG roadmap, which takes the insights from our materiality assessment conducted in FY2020/21 and informs the direction of our activities across key environmental, social and governance issues, meaning we have a clear trajectory for our activities and can more accurately focus efforts on the areas where we can have the greatest impact.
In addition, in the new financial year we have launched a full-time, dedicated ESG department to help us drive our sustainability ambitions in both Germany and the UK. We also intend to carry out our next full materiality assessment in FY2023/24.
Closing thoughts and looking ahead
It continues to be a privilege to work with Sirius’ dedicated, entrepreneurial team as we progress. Looking forward, the key word for us is growth, which will be driven organically as we add additional revenue streams. Ultimately, it’s the entrepreneurial abilities of Sirius that will help us generate additional revenue to grow our bottom line and together with the rest of the management team I am looking forward to driving this growth in the years to come
I look forward to sharing my next update on the progression of our business.