Unite Group: 2Q26 Conf.call: Confident on occupancy-led growth; Valuation pressure largely macro-driven

Research evidence excerpt

Unite Group: 2Q26 Conf.call: Confident on occupancy-led growth; Valuation pressure largely macro-driven

C A Z E N O V E Europe Equity Research

08 July 2026

Unite Group Overweight

UTG.L, UTG LN

2Q26 Conf.call: Confident on occupancy-led growth; Price (07 Jul 26):520p

Valuation pressure largely macro-driven Price Target (Dec-27):690p

We present our key takeaways from today’s conference call. European Property

Neil Green, CFA AC

• CEO: Reservations have improved to 86%, now 1ppt ahead of last year after (44-20) 7134-4478

previously trailing. Unite continues to see a competitive leasing environment, neil.d.green@jpmorgan.com

but strong university relationships, targeted sales and marketing, improved J.P. Morgan Securities plc

digital conversion, and selective pricing actions have helped accelerate Vanessa M Guy

bookings. Management guides to 94–96% occupancy, 1–2% rental growth and (44-20) 7742-4521

0–2% income growth for AY26/27, with a greater focus on securing occupancy vanessa.guy@jpmorgan.com

than maximizing rate growth. J.P. Morgan Securities plc

Krishna Sathwik Beechu

• Nomination bookings are down 1ppt since the last update, mainly at weaker (91-22) 6157 5847

universities, reflecting continued caution from universities committing to bed krishna.s.beechu@jpmchase.com

allocations before student numbers are confirmed. However, Unite has J.P. Morgan India Private Limited

successfully resold these beds through direct channels and its occupancy

guidance does not assume any recovery in nominations.

• Demand expectations remain supported by 1–3% growth in UK and

international undergraduate intake, while international postgraduate

demand remains weak but appears to be stabilising.

• Pricing growth is softer, but stronger occupancy is expected to offset this,