Results for the six months ended 30 June 2025

RNS Number : 4229Z

Harworth Group PLC

16 September 2025

HARWORTH GROUP PLC

('Harworth' or the 'Group' or the 'Company')

Half Year Results for the six months ended 30 June 2025

Strong momentum underpins continued NDV growth

Harworth Group plc, a leading regeneration and strategic land owner and developer, today announces its results for the six months ended 30 June 2025. See page 3 for summary of business and abbreviations¹.

Summary highlights²	H1-25	H1-24	FY24		H1-25	H1-24	FY24
Total accounting return (%)	1.1	4.0	9.1	Value gains (£m)	15.5	47.0	97.2
EPRA NDV per share (p)³	223.7	212.3	222.3	Total Property sales (£m)⁴	18.9	41.7	215.8
EPRA NDV (£m)³	725.0	687.0	719.5	Residential plots sales⁵	649	357	2,385
Net loan to portfolio value (%)	19.0	9.8	5.4	Inv. Portfolio value (£m)⁶	319.3	231.2	297.2
Liquidity (£m)	59.8	154.2	192.4	Inv. Portfolio Grade A (%)⁷	48	37	45

Financial highlights⁸	H1-25	H1-24	FY24		H1-25	H1-24	FY24
Total dividend per share (p)⁹	0.538	0.489	1.614	Operating profit (£m)	7.1	21.1	74.6
Net debt (£m)	179.4	80.5	46.7	Stat. portfolio value (£m)¹⁰	908.6	772.5	821.6
Net assets per share (p)	215.5	200.9	213.7	Net asset value (£m)	698.3	650.0	691.7

Lynda Shillaw, Chief Executive of Harworth, commented: "Our sustained operational momentum is providing a strong platform for future growth and reflects the strength of our execution in progressing our land bank. A key highlight during the period was the timely acquisition of our joint venture partner's shareholding at Gateway 45, which not only grows our I&L pipeline, but also adds attractive near-term opportunities with the release of HS2 land from Government safeguarding.

"We are advancing the planning status and de-risking the delivery of our land bank, with significant investment in enabling works to open up our consented sites and increase our serviced land capacity by year-end. This, coupled with the submission of a number of significant planning applications totalling 8.1m sq. ft, will add value as they move towards a consent, driving performance into the medium-term.

"Our teams are working hard to convert a strong transaction pipeline, with healthy demand across our I&L land and property portfolio. Whilst transaction timelines remain elongated, as occupier and investor sentiment continues to be impacted by macroeconomic weakness and soft UK growth, letting activity is beginning to crystallise and our de-risked serviced land products across both I&L and Residential remain appealing, with a solid pipeline in the second half of the year.

"We are seeing sustained demand for our residential serviced land, although costs to deliver increased in some instances impacting valuations and the market seems to be softer, an outlook we consider may continue to 2026, particularly with uncertainty around the UK Budget and the timing of further rate cuts. Our I&L portfolio continues to perform well with good momentum and the ability to generate material value.

"Our land bank remains one of our superpowers and with our proven track record in unlocking its embedded value, we remain focussed on identifying and executing those opportunities that optimise returns and drive the business forward to reach our strategic goals of £1bn of EPRA NDV and the growth of our core Investment Portfolio to £0.9bn by the end of 2029."

Strategic acquisitions underpinning future growth

· Completed acquisitions of 1.2m sq. ft and 2,000 plots, including taking 100% control at Gateway 45 (Leeds) | YAC | I&L | MD via the buyout of our joint venture ('JV') partner's shareholding, bringing an additional c. 0.4m sq. ft of consented I&L space (ownership now up to 0.8m sq. ft).

· Release from safeguarding of HS2 land has benefited 1.2m sq. ft of our portfolio. With Gateway 45 being the biggest beneficiary of land released, this provides momentum to move our near-term plans forward. The site is adjacent to Skelton Grange (Leeds) | YAC | I&L | MD, where we are undertaking enabling works on behalf of Microsoft for its proposed hyperscale data centre.

· New strategic partnership with Church Commissioners for England where we conditionally exchanged on a JV to deliver a significant mixed-use development in West Yorkshire. The JV will deliver c. 1.2m sq. ft of employment space and c. 1,500 Residential plots.

Financial firepower deployed to scale I&L

· Leveraged our balance sheet capacity to undertake strategic acquisitions and advance enabling works at our I&L sites. Available liquidity at period-end was £59.8m with LTV at 19.0% (FY2024: £192.4m, LTV 5.4%), within our self-imposed target of up to 25% during the year.

· Looking towards H2, when the majority of our sales typically close, we have a further 1,593 Residential plots either conditionally exchanged or subject to legal documentation in addition to continuing to recycle capital deployed as we complete asset management activity and evolve our core investment portfolio towards 100% grade A. Using these proceeds, coupled with receipts from deferred consideration on prior period sales, to pay down debt we would expect LTV to come down to within the 10%-15% range by the end of the year.

Significant investment in enabling works builds momentum in pipeline

· 3.3m sq. ft of enabling works were underway at period-end, primarily at the first phase at Wingates (Bolton) | NOW | I&L | MD and at Gascoigne Wood (North Yorkshire) | YAC | I&L | SL, alongside continuing progress on Plot 2 at Skelton Grange, in support of the £53.2m second phase of the sale to Microsoft for its proposed hyperscale data centre, targeted for completion in 2026.

· Completed enabling works at Chatterley Valley (Stoke) | NOW | I&L | MD, Gateway 36 (Barnsley) | YAC | I&L | MD, and Waverley AMP (Rotherham) | YAC | I&L | MD, , positioning the sites ready to deliver up to 2.4m sq. ft of I&L space.

· Practical completion achieved at Droitwich post period-end with the first phase of development at Chatterley Valley expected to start later this year.

EPRA NDV driven by value gains

· Period-end EPRA NDV per share of 223.7p (FY2024: 222.3p) was primarily driven by value gains. Adding paid dividends of 1.125p resulted in a total accounting return ('TAR') of 1.1%.

· Value gains of £15.5m comprised £21.7m in revaluation gains across our portfolio, driven by I&L overall, and partially offset by £6.3m in losses on sale, driven by higher site wide costs on a small number of mature Residential Major Developments ('MD').

Planning applications totalling 8.1m sq. ft submitted create the potential for medium-term value gains

· Planning applications for c. 1,200 Residential plots and 8.1m sq. ft of I&L space were submitted (HWG share 4.9m sq. ft), including the largest planning application in the North West at Northern Gateway (Greater Manchester) | NOW | I&L | SL). Since June, applications for a further 1.5m sq. ft of I&L space and c. 4,900 Residential plots (HWG share 2,800 plots) have been submitted.

· The land bank has capacity to deliver up to 34.6m sq. ft of I&L space, and 31,636 Residential plots, across the Midlands and the North of England.

Further growth in Grade A quality of highly reversionary I&L Investment Portfolio

· The Investment Portfolio was valued at £319.3m (FY2024: £297.2m), with EPRA vacancy rate reduced to 4.9% (FY2024: 5.6%)

· The sale of a 61,000 sq. ft of secondary I&L asset alongside the 80,000 sq. ft practical completion and letting to Technicut at the AMP (South Yorkshire) | YAC | I&L | IP increased the portfolio to 48% Grade A by area and 66% by value (Dec 2024: 45% by area, 63% by value).

· Leasing activity added £1.0m of headline rental income, achieving 1.9% increase on a like for like basis (2024: 2.4%), with renewals and rent reviews achieving, on average, a 16% uplift to previous passing rents.

· The Investment Portfolio is reversionary, with headline rental income 15% below year-end ERVs, alongside a net initial yield of 5.0% (2024: 4.8%), and a reversionary yield of 6.4% (2024: 6.5%).

Completed 649 Residential plot sales, on track to exceed annual target of 2,000

· Completed the sale of 649 Residential plots, including via a notable number of Planning Promotion Agreements ('PPAs'), generating fees of £4.0m as revenue in the period. A further 1,593 Residential plots sales were conditionally exchanged or subject to legal documentation at period-end, demonstrating resilience in the demand for our de-risked residential serviced land product, despite headwinds.

Delivering sustainable, innovative and scalable solutions across our land and property portfolio

· In our role as a responsible developer, we have taken a sector leadership position, launching and managing our first registered Biodiversity Gain Habitat Bank at Killamarsh (Sheffield) | YAC | R | SL, where we have sold Biodiversity Net Gain ('BNG') units alongside a serviced land sale. This continues to evolve our serviced land offering, issuing biodiversity units to meet our BNG obligations and allocating any surplus units to our other projects or for sale to other developers.

· We have incorporated renewable energy through an innovative green lease structure at our development for Technicut at the AMP, reaching practical completion in the period, and our delivery for communities continues with the recent openings of forest schools at Thoresby and Coalville, and Olive Lane, the local centre at Waverley.

About Harworth

We aim to create long-term, through-the-cycle value by focusing on:

Two structurally undersupplied sectors:

1. Industrial & Logistics ('I&L')
2. Residential ('R')

Two core products:

1. Serviced remediated land for sale
2. Development land to hold and for sale

Three portfolios:
1. I&L Investment Portfolio ('IP'),
2. Strategic Land ('SL')
3. Major Developments ('MD')

Three regions:
1. Yorkshire & Central ('YAC'),
2. Midlands ('MID')
3. North West ('NOW')

Our land bank stands at 34.6m sq. ft of I&L of which 71% is derisked¹² (Dec 2024: 33.6m sq. ft; 63% derisked) and 31,636 Residential plots of which 44% are derisked (Dec 2024: 31,264; 46% derisked).

Since 2021, we have achieved planning on 9.2m sq. ft of I&L space with an estimated Gross Development Value ('GDV') of £1.3bn, we have concluded on cumulative sales of c. £607m, including. 7,800 Residential plots and we have bought or taken options over I&L land totalling 14.3m sq. ft, with an estimated GDV of £2.1bn.

Harworth Group plc (LSE: HWG), is a leading regeneration and strategic land owner and developer focused on the Industrial & Logistics (I&L) and Residential sectors. We own, develop, and manage a portfolio of over 15,000 acres of Strategic Land over 100 sites located throughout the North of England and Midlands. We specialise in delivering long-term value for all stakeholders by regenerating large, complex sites, into new I&L developments and serviced remediated land for sale into the I&L and Residential land markets. Our long-term through-the-cycle business model is to create sustainable places, support new homes, jobs and communities where people want to live and work. Visit www.harworthgroup.com for further information. LEI: 213800R8JSSGK2KPFG21

Notes:

(1) All values are Harworth's share, unless noted otherwise

(2) Represent our Alternative Performance Measures (APMs). A full description of these is set out in Note 2 to the financial statements with a reconciliation between statutory measures and APMs set out in the appendix to the financial statements.

(3) European Public Real Estate Association Net Disposal Value

(4) Total property sales for H1-25 include £10.9m development property sales, £3.0m of Investment Portfolio properties, and £5.0m of Industrial & Logistics land sales and other sales

(5) Residential plot sales for H1-25 includes 149 freehold plot sales and 500 plot sales through Planning Promotion Agreements (PPAs)

(6) The Investment Portfolio represents our primary income generating Industrial & Logistics portfolio. It excludes Strategic Land, Major Developments, Natural Resources, and Agricultural land

(7) Measured by area. Grade A by value is 66%
(8) The financial highlights represent our statutory measures

(9) The Ex-dividend date, Record date and Payment date for the 2025 interim dividend can be found in the Shareholder Information section of this announcement

(10) Statutory portfolio value includes investment properties, development properties, AHFS, occupied properties and investment in joint-ventures, refer to Note 2 to the financial statements

(11) European Public Real Estate Association vacancy rate

(12) Pipeline with a consent or in the planning system

For further information

Harworth Group plc
Lynda Shillaw (Chief Executive) Kitty Patmore (Chief Financial Officer) Juliana Weiss Dalton (Investor Relations)	T: +44 (0)114 349 3131 E: [email protected]

FTI Consulting
Dido Laurimore Richard Gotla Eve Kirmatzis	T: +44 (0)20 3727 1000 E: [email protected]

Results presentation

Harworth will host a presentation for analysts and investors at 9.30am today. A live webcast and playback of this can be accessed at the following link: https://brrmedia.news/HWG_HY_25

Engage Investor presentation

A presentation relating to these results will also be hosted via the Engage Investor platform on 22 September 2025 at 4.00pm. Harworth welcomes all current and interested shareholders and encourages investors to pre-submit questions. Investors can also submit questions at any time during the live presentation.

Investors can sign up to Engage Investor at no cost and follow Harworth Group plc from their personalised investor hub. Please register for the event here: https://engageinvestor.news/HWG_IP_0925

Chief Executive's review

For the six months ended 30 June 2025

We are now more than halfway through our strategic plan. The positive and sustained operational momentum of the business and the consistency of that delivery against our milestones, especially in challenging markets, reinforce the strength of our through-the-cycle business model.

Operational performance

Having launched our strategy in 2021 to grow EPRA NDV to £1bn by the end of 2027 and in mid-2024 to grow our Investment Portfolio to £0.9bn by the end of 2029, we have followed a clear road map and transparent set of growth drivers against which to judge our progress, as set out in the table below. In a challenging market, we continue to focus on the areas we can control to drive our extensive land bank forward and remain committed to achieving our goals by accelerating the delivery of our sites whilst achieving our Net Zero Carbon ('NZC') ambitions, drawing on our highly specialist expertise.

Growth drivers	2020¹	2024	2025 progress to June	Ambition by the end of 2027
Repositioning our core Investment Portfolio to modern Grade A	<10% Grade A at year-end	45% Grade A by area / 63% by value	48% Grade A by area / 66% by value	100% of core Investment Portfolio to be Grade A
Increasing direct development of I&L stock	200,000 sq. ft completed² 0.4m sq. ft of enabling works	107,000 sq. ft completed 270,000 sq. ft started 3.1m sq. ft of enabling works³	100,500 sq. ft completed 187,000 sq. ft in progress 3.3m sq. ft of enabling works underway at period-end 2.4m sq. ft now enabled and ready for development, supporting the targeted delivery of 4.0m sq. ft, including serviced land sales, by the end of 2027	800,000 sq. ft run-rate of space (average per annum)
Accelerating sales and broadening the range of our Residential products	862 plots sold²	2,385 plots sold	649 plots sold	2,000 plots sold on average per annum
Scaling up through land acquisitions and promotion activities	Land supply of 12 to 15 years		Maintained 12 to 15-year land supply through acquisitions representing 1.2m sq. ft and 2,000 plots	Maintain a land supply of 12 to 15 years
Targets
Grow EPRA NDV	£515.9m⁴	£719.5m	£725.0m	£1bn
Grow Investment Portfolio		£297.2m⁵	£319.3m	£0.9bn by end of 2029

(1) Targets announced 2021. FY20 used as baseline.

(2) Annual average 2015 to 2020.

(3) Total enabling works in 2024 included 1.3m sq. ft of works completed and 1.8m sq. ft underway at year-end

(4) EPRA NDV at 31 December 2020.

(5) Target announced H2 2024. FY2023 used as baseline.

Our Investment Portfolio stood at £319.3m at 30 June 2025, comprising 34% of the overall portfolio. Repositioning our Investment Portfolio to modern Grade A continues to progress and stood at 48% by area and 66% by value, from a starting point of <10% by area, five years earlier. Our aim is to use a combination of sales of secondary and some older Grade A assets, where we have already maximised value through asset management or re-development initiatives, with direct development, letting of new space, and selective acquisitions, where appropriate, to achieve our 100% Grade A target.

Our I&L Major Developments ('MD') portfolio value was £179.0m, comprising 19% of the overall portfolio. It is the main driver of direct development, together with our I&L Strategic Land ('SL') portfolio providing future sites. The I&L MD portfolio consists of 9 sites at various stages of development, ranging from early enabling works, like Wingates, to near-complete Grade A units, like Droitwich. In the first six months of 2025, we either completed or progressed 287,500 sq. ft of modern Grade A I&L space, of which almost 250,000 sq. ft has either already transferred or will transfer, once built, into our Investment Portfolio. Our target is to deliver 800,000 sq. ft run-rate of I&L space by 2027 and a cumulative total of 4m sq. ft. This is split between c. 40% developed for our Investment Portfolio, with the remaining 60% to be delivered via either traditional serviced land sales, built-to-suit (serviced land sale with a development management fee) or forward funding (serviced land sale with a development management and asset management fee).

Regardless of the route, our enabling works create development platforms for vertical construction, are a critical component of our pipeline to reach our direct development targets. As such, we will continue to scale our enabling works to hold sufficient serviced land to support these ambitious delivery targets. Whilst our programme to 2027 remains back-end weighted, in the period, we leveraged our balance sheet capacity to invest in our sites, in the creation of service land parcels. At period end our total completed enabling works had capacity to deliver 2.4m sq. ft of I&L space, with Chatterley Valley (Stoke) and Gateway 36 (Barnsley) forming the majority of this future capacity. At period-end, a further 3.3m sq. ft of enabling works were underway.

We completed 649 Residential plot sales in the period, with 149 freehold plot sales generating headline sales of £10.0m and 500 plots through PPAs, generating fee revenue of £4.0m. Refer to Financial review for further detail. A further 1,593 Residential plots sales were conditionally exchanged or subject to legal documentation at period-end, demonstrating the depth of demand for our de-risked serviced land product in the face of softening market dynamics. Residential sales were completed at headline sales values in line with FY24 book values before transaction costs and the impact of increased site wide costs on a small number of mature residential development sites.

Scaling up our land bank through acquisitions and promotions of our high-quality strategic land is a key skillset and fundamental to our business model. Both the quality of the land bank and our ownership structure have a role to play. We are increasingly pursuing more capital light ownership, including strategic partnerships, to ensure we are well placed to deliver product into the market and optimise returns. In the period, we completed acquisitions of 1.2m sq. ft and 2,000 plots, including taking 100% control at Gateway 45 (Leeds) | YAC | I&L | MD via the buyout of our JV partner's shareholding, bringing an additional c. 0.4m sq. ft of consented I&L space (ownership now up to 0.8m sq. ft).

We are committed to our sustainability targets and our framework, The Harworth Way, integrates sustainability and social value into our business and the developments we create. A key element to our approach is placemaking. This is the work we do across our sites that makes them places where people want to live and work. It is at the heart of our business, drives value for our communities and our shareholders, and is critical to the success of our schemes. All our schemes have placemaking initiatives and we have continued to be active throughout 2025 including opening the heart of the community Olive Lane development at Waverley and, post period end, achieving practical completion of Thoresby Vale Primary Academy and Greenstone Primary School at our Coalville site in time for the new school year. We have also incorporated renewable energy through an innovative green lease structure on completed direct development at the AMP (Rotherham) and launched and managed our first registered Biodiversity Gain Habitat Bank, generating income for the Group while helping to address developers' challenges in meeting BNG legislation.

Our markets

We concentrate on the I&L and residential markets, with two-thirds of our portfolio weighted towards I&L. Both sectors remain critical to the UK's economic growth whilst continuing to face structural undersupply. Their success depends on the delivery of essential infrastructure, making them a key focus for the Government and highlights the importance of our key sites to regional growth. Recent policy initiatives, including the Revised National Planning Policy Framework, the Planning and Infrastructure Bill, the Modern Industrial Strategy, the English Devolution and Community Empowerment Bill and AI Opportunities Action Plan are set to provide strong support for these priority areas over the medium-term. Against this backdrop, broader market sentiment is cautious, impacting decision-making and keeping the market polarised towards high quality assets. The cumulative impact of Government policies and fiscal and monetary decisions, a weaker growth outlook and global, economic and geopolitical tensions continue to affect many facets of the economy.

Industrial & Logistics

The UK's industrial & logistics property sector remains well supported by structural demand drivers and increasing infrastructure requirements from cloud computing, online retail, the government's commitment to AI and advanced manufacturing whilst national security is also expected to increase demand for space. According to JLL, take-up in H1 2025 reached 12.7m sq. ft for big-box units (over 100,000 sq. ft), up 33% on the previous six months. Occupiers' priorities for modern, efficient space are driving strong demand for Grade A space, with new space accounting for 79% of units. Grade A supply increased to 45m sq. ft with new space comprising 51%. Prime headline rents grew by 2% nationally, with the North West benefiting from more attractive rental growth, in excess of 6% annually, driven by rents in and around Manchester, where we hold a significant portfolio including our Northern Gateway JV, for which we have recently submitted a 6.5m sq. ft planning application.

Data centres

In the data centre sector, 2025 is set to be a record-breaking year. The Government's recognition of data centres as 'Critical National Infrastructure' will help to drive schemes through planning and shorten delivery timelines. The sector is driven by unprecedented demand for cloud services, AI computing and data storage. Data centres are increasingly competing directly with industrial & logistics for resources - namely land, power, infrastructure and planning consent - blurring the line between digital infrastructure and traditional industrial real estate. While London and the South East have traditionally been the go-to locations, the Midland and North of England are proving to be important alternatives, evidenced by our own site at Skelton Grange, where Microsoft is pursuing its hyperscale data centre. Proximity to robust power grids, fibre connectivity, good transportation access and planning permission potential remain key for data centre operators' ambitions for strategic sites.

Residential

The first half of 2025 saw the UK housing market stabilise, with demand proving resilient in the North and Midlands, even as higher interest rates continued to challenge affordability. House price growth in these regions edged up modestly year-on-year to 30 June 2025, and our own regions saw attractive growth of +3.3% in the North West, +3.5% in West Midlands, +5.1% in Yorkshire, outpacing the South where growth was closer to zero. Given economic uncertainties, housebuilders are being selective and focused on prime sites. Land values remained broadly flat overall amid ongoing viability pressures for high-density sites. Despite subdued investment volumes, there is cautious optimism for the second half of the year, particularly for high-demand regions like the North West and Yorkshire, with increased overseas investor interest, a return to larger deal size and renewed demand for the 'living' sectors, including Build-to-rent and affordable housing as government supply initiatives start to feed into the market.

Volume housebuilders are faced with multiple headwinds, including inflation, regulations and associated higher build costs from the likes of the Building Safety Levy. These, in combination with strained demand - from the expiry of temporary stamp duty relief in March, continued affordability challenges and finance-constrained housing associations unable to underpin demand for affordable homes, are having a knock-on effect on site feasibility and volumes. According to Knight Frank, 98% of housebuilders polled said they do not believe the Government will hit its annual 300,000 new homes target this year. These factors are compounded by a sluggish planning system, despite planning policy reforms; according to BNP Paribas, planning approvals are at a two-decade low, justifying concerns about the Government's targets.

Outlook

Our long-term, through-the-cycle approach means we can navigate through changing conditions and various cycles. The business is underpinned by a high-quality, substantial land bank and our proven expertise in unlocking value as we take sites through the planning process and deliver serviced, remediated land to the market, for sale or development. Since unveiling our strategy in 2021, we have focused on advancing our sites, growing our business, and investing in our teams-planning, development, and acquisitions-to drive progress. To support our strategic priorities, stakeholder management and continued operational success, we announced that Kitty Patmore, under her existing role as CFO has expanded her leadership role for the Group across Portfolio Strategy, Strategic Partnerships and Sustainability, Energy & Natural Capital.

As we move through the second half of the year and the next phase of our strategy, we are advancing an 8.7m sq. ft consented I&L pipeline, targeting delivery of approximately £0.6bn of GDV by the end of 2027. We continue to explore alternative higher value uses, including data centres and energy assets on our I&L sites, and senior living opportunities on our Residential sites, in combination with alternative ways to generate additional revenue streams from natural capital on our sites, including surface water drainage and BNG units. These initiatives will help us unlock the full potential of our 34.6m sq. ft I&L portfolio and our 31,636 plot Residential pipeline, while continuing to drive better outcomes for our people, the planet, and communities.

I&L makes up two-thirds of our portfolio with the ambition to drive this to 85% by 2029. The I&L market's structural demand drivers - such as online retail, Third Party Logistics (3PLs) and manufacturing - are robust, with sectors such as data centres and defence beginning to emerge, while supply of suitable sites and power capacities remain constrained. These emerging sectors, and other high value uses, improve the opportunities across, and liquidity of, our consented land bank. Our portfolio is well-positioned to deliver into the market, and we have healthy levels of interest in our near-term sites, which we are working hard to convert. However, given short-term economic uncertainties, we are taking a prudent approach by continuing to prioritise pre-let and build-to-suit opportunities, as well as land sales to de-risk development.

Our Residential portfolio continues to bring forward an attractive de-risked serviced land product to a range of buyers, including housebuilders, developers and social housing operators. The market is experiencing a range of challenges, including the Building Safety Act and Future Home Standards, adding to costs and delivery times, which, when combined with affordability constraints, are contributing to a softening market, albeit government policy is firmly focussed on increasing housing delivery. Notwithstanding these constraints, our diversified product range and the limited availability of development-ready land in the market support our sales targets. So far this year, we have reached practical completion on our first phase of affordable housing at Wheatley Hall Road for Great Places with homes now occupied, and we are delivering on a further two sites.

Our land bank remains one of our superpowers and we continue to invest through-the-cycle to make our consented sites as liquid as possible, putting us into a strong position to deliver into what we are expecting to be an improving market. With a proven track record in unlocking the embedded value in our land bank, we remain focussed on identifying and executing those opportunities that optimise returns and drive the business forward to reach our strategic goals of £1bn of EPRA NDV and the growth of our Investment Portfolio to £0.9bn.

Lynda Shillaw

Chief Executive

15 September 2025

Operational review

The land & property portfolio value totalled £944.2m (FY2024: £858.8m) and is weighted two-thirds to I&L. The income generation portfolio makes up 37% of the portfolio value and comprises the I&L Investment Portfolio and Natural Resources & Agriculture, with the remaining 63% being the capital growth portfolio of SL and MD across I&L and Residential. The portfolio split sets out in the table below alongside movements since year-end. Our investment in opening up sites and acquisitions were the biggest contributors, followed by revaluation movements.

Land & property portfolio value

(£m)	H1-2025	FY2024
I&L
Strategic Land	125.2	109.7
Major Developments	179.0	138.1
Investment Portfolio	319.3	297.2
Subtotal I&L	623.5	545.0
Residential
Strategic Land	62.9	61.0
Major Developments	225.5	223.8
Subtotal Residential	288.4	284.8
Total NRS & other	32.3	29.0
Total portfolio value	944.2	858.8

Portfolio value movements

(£m)
31-Dec-2024	858.8
Development spend	54.0
Acquisitions	23.7
Revaluations	21.7
Disposals	(14.9)
Net JV invests. / dists.	0.8
30-Jun-2025	944.2

INDUSTRIAL & LOGISTICS (I&L)

Land portfolio

At 30 June, the I&L pipeline totalled 34.6 m sq. ft (FY2024: 33.6m sq. ft) comprising a consented pipeline of 8.7m sq. ft (FY2024: 8.4m sq. ft). The I&L pipeline & planning progress table below sets out the stage our pipeline had reached at 30 June 2025 in comparison to the year-end. More of our pipeline is either consented or in the planning system, with 71% de-risked at the end of the period. The pipeline was 49% owned freehold, with the remaining 51% controlled through JV arrangements 8%, options 37% or PPAs 5% (FY2024: 50% freehold).

Planning

I&L pipeline & planning progress¹

(m sq. ft)	H1-2025	FY2024
Pre-planning	9.9	12.5
Draft allocations	4.0	2.9
Allocations	2.9	4.9
Awaiting determination	9.1	4.9
Consented	8.7	8.4
Total pipeline	34.6	33.6
De-risked²	71%	63%

(1) Harworth's share
(2) Consented or in the planning system

· In the period, draft allocations were received for 1.1m sq. ft (total draft allocations now 4.0m sq. ft) and allocations were received for 3.5m sq. ft on sites at Northern Gateway (Greater Manchester) and Junction 15 (Northampton), both are now awaiting determination and with planning applications submitted as set out below.

· Applications totalling 9.1m sq. ft are in the planning system awaiting determination. This is up significantly from year-end, mainly due to new planning applications submitted for 1.5m sq. ft of I&L employment space at Junction 15 (Northampton) MID | I&L | SL, where we benefit from an option agreement and a draft allocation for strategic warehousing, and Northern Gateway (Greater Manchester) | NOW| I&L | SL where our JV benefits from being within an allocation of 11m sq. ft, primarily for advanced manufacturing and I&L space. In the period, the largest planning application in the North West was submitted for 6.5m sq. ft as part of the phase 1 development at this site. These sit alongside planning applications at Rothwell (North Northamptonshire) | MID | I&L | SL for 1.8m sq. ft and Bradholme (Doncaster) YAC | I&L | SL for 2.9m sq. ft already in the planning system.

Land assembly

· At Gateway 45 (Leeds), we acquired our JV partner's 50% holding in what was previously called the Aire Valley Land LLP JV. Adjacent to our Skelton Grange (Leeds) site, where we are undertaking enabling works on behalf of Microsoft for its proposed hyperscale data centre, this tactical acquisition underpins the future growth of the broader site as the land was recently released from HS2 safeguarding and has the capacity to deliver up to 0.8m sq. ft of I&L space.

· This took our I&L pipeline to 34.6m sq. ft at 30 June 2025 (FY2024: 33.6m sq. ft), reflecting the sales of Ansty (Rugby) | MID | I&L | SL and land at Skelton Grange (Leeds) |YAC | I&L | MD late in 2024.

Direct development

· At the Advanced Manufacturing Park (AMP) (Rotherham) YAC | I&L | IP, we completed an 80,000 sq. ft unit pre-let to Sheffield-based Technicut, a global leader in the design and manufacture of high-performance components for the aerospace industry. This advanced manufacturing facility included the incorporation of renewable energy through an innovative green lease structure and transferred into our Investment Portfolio during the period.

· At Droitwich (Worcester) MID | I&L | MD, our largest development in the year, at 169,300 sq. ft of Grade A I&L space, practical completion was achieved post period-end.

· Enabling works to create development platforms for vertical construction, are a critical component of our progress towards our direct development targets. In the period, we invested significantly in our sites in the creation of serviced land parcels. We have enabled sites which will have capacity to deliver 2.4m sq. ft of I&L space, with Chatterley Valley (Stoke) and Gateway 36 (Barnsley) forming the majority of this capacity.

· At period-end, a further 3.3m sq. ft of enabling works were underway primarily at Phase 1, Wingates (Bolton) and at Gascoigne Wood (North Yorkshire) | YAC | I&L | SL, alongside continuing progress on Plot 2 at Skelton Grange, in support of the £53.2m second phase of the sale to Microsoft for its proposed hyperscale data centre, targeted for completion in 2026.

Key I&L development sites

Site	Site type / Ownership¹	Sold or developed (sq. ft)	Consented / planned (sq. ft)	Estimated GDV remaining to develop (£)	Stage	Forecast site completion
Advanced Manufacturing Park (AMP) (Rotherham)	MD / FH	1.8m	0.2m / 0.0m	£30m - £40m	Direct development or plot sale	2026-27
Gateway 36 (Barnsley)	MD / FH	0.4m	0.6m / 0.5m	£130m - £150m	Direct development or plot sale	2033
Chatterley Valley (Stoke-on-Trent)	MD / FH	0.0m	1.2m / 0.0m	£160m - £170m	Land remediation and infrastructure development	2027
Wingates (Bolton)	MD & SL / FH & O	0.0m	1.0m / 1.9m	£510m - £540m	Land remediation and infrastructure development	2033
Skelton Grange (Leeds)	SL / FH	0.6m	0.5m / 0.3m	Confidential	Land remediation and infrastructure development	2026
Gateway 45 (Leeds)	MD / FH	0.0m	0.8m / 0.0m	£110m-£120m	Planning approval	2029
Cinderhill (Derby)	SL / FH & PPA	0.0m	1.5m / 0.0m	£180m - £190m	Planning approval	2030
Gascoigne Wood (Selby)	SL / FH	0.0m	1.5m / 0.5m	£270m - £290m	Planning approval	2028
Northern Gateway² (Greater Manchester)	SL / JV & O	0.0m	0.0m / 3.3m	Confidential	Masterplanning	2026-2035
N. Yorkshire site	SL / O	0.0m	0.0m / 3.3m	Confidential	Masterplanning	2040
Rothwell (Kettering)	SL / FH	0.0m	0.0m / 1.8m	£310m - £330m	Masterplanning	2028
Junction 15 (Northampton)	SL / O	0.0m	0.0m / 1.5m	£260m - £280m	Masterplanning	2030

(1) Site type includes SL: Strategic Land, and MD: Major Developments,
Ownership includes FH: Freehold, PPA: Planning Promotion Agreement, JV: Join- venture and O: Option

(2) Harworth's share of a joint-venture, adjacent to the M62 and close to the M66, Northern Gateway is the core site of the Atom Valley Mayoral Development Zone, comprising a mix of freehold and optioned land.

I&L INVESTMENT PORTFOLIO

Our Investment Portfolio targets of transforming the portfolio to 100% Grade A by the end of 2027 and growing the portfolio to £0.9bn by the end of 2029 are being delivered through a direct development programme where we plan to retain c. 40% of sites that we develop in the medium term alongside selective acquisitions and disposals. The portfolio generates recurring rental income, with the potential for capital value growth via active asset management.

At 30 June 2025, the I&L IP was valued at £319.3m, up 7% on the year end (FY2024: £297.2m), reflecting the completion of the Technicut unit at the AMP (Rotherham) and subsequent transfer to the Investment Portfolio as well as valuation gains following asset management on the portfolio. The portfolio comprised 11 sites covering 2.8m sq. ft. Headline rental income stood at £18.3m and annual passing rental income was £16.9m, increased from £15.8m at the year end. This equates to a net initial yield of 5.0% and a reversionary yield of 6.4% (FY2024: 6.5%) demonstrating reversionary potential. At period-end, the quality of the portfolio had increased to 48% Grade A by area, equating to 66% by value.

I&L Investment Portfolio

	H1-2025	FY2024	% change
Portfolio value (£m)	319.3	297.2	+7
Number of sites	11	12	-8
Area (m sq. ft)	2.8	2.8	-
Grade A space - by area (%)	48	45	3pp¹
Grade A space - by value (%)	66	63	3pp¹
Annual Passing rental income (£m)	16.9	15.8	+7
Weighted average passing rent² (£ psf)	6.27	5.90	+6
Grade A ERV³ (£ psf)	9.44	9.10	+4
WAULT⁴ to first break (years)	9.3	10.1	-8
WAULT⁴ to expiry (years)	10.4	11.4	-9
EPRA vacancy⁵ (%)	4.9	5.6	-0.7pp¹
Net initial yield (%)	5.0	4.8	+0.2pp¹
Reversionary yield (%)	6.4	6.5	-0.1pp¹

(1) Percentage points

(2) Calculated on occupied space

(3) Estimated rental values

(4) Weighted average unexpired lease term

(5) European Public Real Estate Association vacancy

Disposals

As part of our strategy to transition the core IP to 100% Grade A, we will continue to selectively dispose of secondary assets and older Grade A assets where we have delivered our asset management plans and where the viability to transform or upgrade is limited. During the period, we sold the A19 Business Park (Selby, North Yorkshire) ahead of its December 2024 book value; this is a 61,000 sq. ft secondary, multi-let asset. Post period-end, we also sold Brierley Hill (West Midlands), a 373,000 sq. ft secondary multi-let asset, with headline pricing ahead of its December 2024 book value.

Asset management

During the period, 634,500 sq. ft of leasing activity was completed (H1-2024: 45,000 sq. ft), including 106,000 sq. ft of new leases (H1-2024: 146,000 sq. ft) at a headline rent of £1.0m. The largest contributor was a new 80,000 sq. ft lease to Technicut at the AMP (Rotherham). Lettings on existing space, renewals and reviews were completed 16.0% ahead of annualised previous passing rents. Post period-end, we let the final vacant unit of 50,000 sq. ft at Gateway 36 (Barnsley), at a headline rent ahead of valuers' ERVs This, alongside the post period-end sale of Brierley Hill further reduces the EPRA vacancy rate from 4.9% to 3.2%.

Investment Portfolio sites

Site	Location	Region	Ownership	Area (sq. ft)
Advanced Manufacturing Park (AMP)	South Yorkshire	YAC	FH	442,000
Bardon Hill	Leicestershire	MID	FH	338,000
Catalyst	South Yorkshire	YAC	FH	285,000
Bradford	West Yorkshire	YAC	FH	252,000
Knowsley	Merseyside	NOW	FH	422,000
Logistics North	Greater Manchester	NOW	FH	104,000
Multiply Logistics North	Greater Manchester	NOW	20% JV	87,000
Brierley Hill¹	West Midlands	MID	FH	373,000
Gateway 36	South Yorkshire	YAC	FH	110,000
Sherburn in Elmet	North Yorkshire	YAC	FH	253,000
Glossop	Derbyshire	NOW	FH	168,000

(1) Brierley Hill was sold after the period end

RESIDENTIAL PORTFOLIO

At 30 June 2025, the Residential pipeline totalled 31,636 plots (FY2024: 31,264 plots) including 3,919 consented plots (FY2024: 4,568 plots). The Residential pipeline & planning progress table below shows the stage our pipeline had reached at 30 June 2025 in comparison to the year-end. The pipeline that is either consented or in the planning system sits at 44%, marginally down on 46% at year-end. The pipeline was 40% owned freehold, with the remaining 60% controlled through JV arrangements 13%, options 9% or PPAs 38% (H12024: 48% freehold, FY2024: 41% freehold), continuing our strategy of increasingly favouring more capital light ownership structures to facilitate growth and maximise returns.

Planning

Residential pipeline & planning progress¹

(m sq. ft)	H1-2025	FY2024
Pre-planning	17,735	17,035
Draft allocations	2,655	2,275
Allocations	4,080	5,250
Awaiting determination	3,247	2,136
Consented	3,919	4,568
Total pipeline	31,636	31,264
De-risked²	44%	46%

(1) Harworth's share
(2) Consented or in the planning system

· At 30 June 2025, 3,247 plots across seven sites continued to await determination in the planning system. The increase reflects planning applications submitted in the period at Coalville (Leicester) MID | R | MD | and Cefn Park (Wrexham) NOW | R | PPA.

· At Diseworth West (East Midlands) MID | R | SL | FH/ PPA, a mixed-use development, a planning application was submitted for 2,275 Residential plots post period end.

Acquisition & land assembly

· We conditionally exchanged on a new strategic partnership with the Church Commissioners for England to deliver a significant mixed-use development in West Yorkshire of c. 1,500 Residential plots and c. 1.2m sq. ft of I&L employment space.

Key Residential development sites

Site	Site type / Ownership¹	Sold (plots)	Consented / planned (plots)	Stage	Forecast site completion
Waverley (Rotherham)	MD / FH	2,727	244 / -	Mixed tenure delivery or plot sale	2025
Thoresby Vale (Nottingham)	MD / FH	650	150 / 286	Mixed tenure delivery or plot sale	2027
Staveley (Chesterfield)	SL / FH	-	- / 950	Masterplanning	2030
Rossington (Doncaster)	MD / FH	927	273 / 206	Mixed tenure delivery or plot sale	2027
Stewartby (Bedford)	MD / FH	-	1,000 / -	Planning approval	2029
Ironbridge (Telford)	MD / FH	312	688 / 350	Mixed tenure delivery or plot sale	2030
Coalville (Leicester)	MD / FH	1,334	682 / 290	Mixed tenure delivery or plot sale	2030
Diseworth (East Midlands)	SL / FH & PPA	-	- / 2,275	Masterplanning	2035
Cinderhill (Derby)	SL / FH & PPA	-	150 / 1,200	Planning approval	2039
Grimsby West (Grimsby)	SL / JV	-	- / 3,044	Acquisitions and land assembly	2044

(1) Ownership includes FH: Freehold, PPA: Planning Promotion Agreement, JV: Joint-venture and O: Option. Site type includes SL: Strategic Land and MD: Major Developments.

Land sales on track to beat target of 2,000 plots per annum

We operate a diversified serviced land sales model including freehold serviced land, mixed-tenure products such as social housing, build-to-rent and senior living. These sales can be freehold as well as through PPAs, which generate fees.

By 30 June 2025, we had completed 649 Residential plot sales, comprising 500 plots through PPAs generating fee revenue, and 149 freehold plots at Waverley. Together, the transactions delivered attractive headline sales totalling £46.9m. At period-end, a further 1,593 Residential plots sales had conditionally exchanged or were subject to legal documentation, of which 146 have since completed, demonstrating that our de-risked residential serviced land product continues to progress, despite headwinds.

NATURAL RESOURCES PORTFOLIO

At 30 June 2025, the Natural Resources portfolio had a value of £21.1m (FY2024: £21.5m) and headline rental income of £2.0m (FY2024: £2.1m). The portfolio comprises sites used for a wide range of energy production, including wind and solar energy, battery storage, and reforestation schemes, delivered as part of our Energy & Natural Capital strategy. The aim is to leverage our land and property to grow this portfolio, alongside strategic partners where appropriate, through developing renewable energy generation solutions and other sustainability initiatives such as battery storage, solar, EV charging, multi-fuel hubs and reforestation/rewilding. The strategy has a wider focus on embedding these energy concepts and future-proofing principles across all Harworth sites to maximise energy availability and resilience, create economic value, and help fulfil the Group's NZC ambitions.

As part of our strategy to deliver our serviced land product as a responsible developer, alongside addressing developers' challenge to meet Biodiversity Net Gain legislation, we have taken a sector leadership position, launching and managing our first registered Biodiversity Gain Habitat Bank at our site at Killamarsh (Sheffield) | YAC | R | SL. On this site, as part of the sale of a parcel of serviced land to a housebuilder, we were able to sell BNG units on the wider land at the same time. We retain some BNG units on this site and see the potential to drive growth in future years as this market continues to develop, issuing biodiversity units to meet our own obligations and allocating any surplus units to our other projects alongside selling units to other developers.

Financial review

Overview

Our first half financial performance delivered a Total Accounting Return[1] of 1.1% (H1 2024: 4.0%) reflecting revaluation gains on our I&L assets partly offset by lower valuations on Residential major development sites, predominantly driven by increased costs of delivery.

During the period the Group acquired the remaining ownership of the Aire Valley Land Joint Venture, adjacent to the Group's Skelton Grange site, for £20.0m leading to its de-recognition as a joint venture and full incorporation into the Group balance sheet.

Sales of serviced land and property, in addition to income from rent, royalties, development and other fees, resulted in Group revenue of £47.5m (H1 2024: £41.3 million).

Revenue from the sale of Residential serviced land was £10.9m (H1 2024: £22.2m) demonstrating, when combined with the forward pipeline of sales, continued demand for the Group's de-risked land products. Development revenues of £18.4m (H1 2024: £6.9m) were driven by higher activity delivering our affordable residential product, as part of our continued focus on acceleration, as well as development for Microsoft at Skelton Grange. In addition, residential PPA revenue contributed £4.0m (H1 2024: £nil) reflecting fees from a sale under a planning promotion agreement.

Revenue from Income Generation increased as a result of higher rental income (£13.6m, H1 2024: £10.3m), due to the acquisition of Catalyst in October 2024 alongside asset management activity; like-for-like annualised headline rental income grew by 1.9% (H1 2024: 2.4%).

Total property sales, which included proceeds from the sales of investment properties, assets held for sale ('AHFS') and overages, amounted to £18.9m (H1 2024: £41.7m) reflecting the higher residential sales during the first half of 2024.

The Investment Portfolio value increased to £319.3m at the end of June 2025 (December 2024: £297.2m) reflecting the completion of direct development of the latest phase at our Waverley site (£19.5m) as well as the impact of revaluation gains driven by asset management and market rental growth, offset by the disposal of property following completed asset management activity (£2.7m). The Group is targeting an Investment Portfolio of approximately £0.9bn by the end of 2029 through a combination of retained developments and selective acquisitions, with the additional target of this portfolio becoming 100% Grade A by the end of 2027.

BNP Paribas, Jones Lang LaSalle and Savills, our independent valuers, completed a desktop valuation of our portfolio as at 30 June 2025, resulting in half year revaluation gains of £21.7m (H1 2024: gains of £46.6m), including the movement in the market value of development properties. These external independent valuations have regard to conditions in the residential and industrial and logistics markets as well as the positive impact of management actions at our sites. Outside the valuation movements, losses on sales were £6.3m (H1 2024: gain of £0.4m). These losses largely related to the allocation of increased site wide infrastructure costs to sales completed in prior periods on a small number of mature residential sites. Overall, this led to total value gains of £15.5m (H1 2024: £47.0 gains).

The fair value of investment properties increased by £17.4m (H1 2024: £26.7m increase), which resulted in an underlying operating profit of £7.1m (H1 2024: £21.1m) and profit after tax of £9.7m (H1 2024: £14.8m).

Over the period, the net asset value of the Group grew by 1.0% to £698.3m (31 December 2024: £691.7m). With EPRA adjustments for development property valuations included, EPRA NDV at 30 June 2025 increased to £725.0m (31 December 2024: £719.5m) representing a per share increase of 0.6% to 223.7p (31 December 2024: 222.3p).

During the period the Group took advantage of the particularly dry weather to advance site delivery in support of our ambitious I&L delivery targets, as well as acquiring the remaining 50% interest in our Aire Valley Land joint venture. As a result, net debt increased to £179.4m (30 June 2024: £80.5m, 31 December 2024: £46.7m) resulting in an LTV at 30 June 2025 of 19.0% (31 December 2024: 5.4%), well within our self-imposed maximum target of 25% during the year. The Group remains well capitalised and, at 30 June 2025, had available liquidity of £59.8m (30 June 2024: £154.2m, 31 December 2024: £192.4m). As is typical for the Group, sales activity is weighted to the second half of the year: we have confidence in the forward sales pipeline and the crystallisation of this sales activity, coupled with receipts from deferred consideration on prior period sales, will lead to lower net debt at the year-end when we would expect LTV to come down to within the 10% - 15% range. We currently do not have interest rate hedging in place against drawings under our Revolving Credit Facility (RCF), although this continues to remain under review.

Presentation of financial information

As our property portfolio includes development properties and joint venture arrangements, Alternative Performance Measures ('APMs') can provide valuable insight into our business alongside statutory measures. In particular, revaluation gains on development properties are not recognised in the Consolidated Income Statement and the Balance Sheet. The APMs outlined below measure movements in development property revaluations, overages and joint ventures. We believe that these APMs assist in providing stakeholders with additional useful disclosure on the underlying trends, performance and position of the Group.

Our key APMs are:

· Total Accounting Return: the movement in EPRA NDV plus dividends per share paid in the period expressed as a percentage of opening EPRA NDV per share.

· EPRA NDV per share: EPRA NDV aims to represent shareholder value under an orderly sale of the business, where deferred tax, financial instruments and certain other adjustments are calculated to the full extent of their liability net of any resulting tax. EPRA NDV per share is EPRA NDV divided by the number of shares in issue at the end of the period (less shares held by the Employee Benefit Trust or Equiniti Share Plan Trustees Limited to satisfy Restricted Share Plan, Share Incentive Plan and Deferred Share Bonus awards).

· Value gains: the realised profits from the sale of properties and unrealised profits from property valuation movements including joint ventures, and the mark-to-market movement on development properties and overages.

· Net LTV: Group debt net of cash held expressed as a percentage of portfolio value.

A full description of all non-statutory measures is set out in the appendix to the financial statements and reconciliations between all statutory and non-statutory measures are provided in the same appendix. From December 2025, the Group plans to report an additional APM, Total Property Return, calculated in line with the MSCI Property Index Methodology. This will provide increased information to shareholders on the Group's relative performance and supports the implementation of relative operational performance measures for the short-term and long-term incentive schemes under the revised Remuneration Policy.

Our financial reporting is aligned to our business units of Capital Growth and Income Generation, with any items that are not directly allocated to specific business activities held centrally and presented separately.

Income Statement

	H1 2025				H1 2024
	Capital Growth £m	Income Generation £m	Central Overheads £m	Total £m	Capital Growth £m	Income Generation £m	Central Overheads £m	Total £m
Revenue	33.9	13.6	-	47.5	31.1	10.3	-	41.3
Cost of sales	(38.6)	(3.4)	-	(42.1)	(31.5)	(2.6)	-	(34.1)
Gross profit/(loss)	(4.8)	10.2	-	5.4	(0.5)	7.7	-	7.2
Administrative expenses	(3.3)	(0.9)	(12.9)	(17.1)	(3.2)	(1.4)	(12.2)	(16.8)
Other gains/(losses)	13.0	5.8	-	18.8	23.2	7.5	-	30.7
Operating profit/(loss)	4.9	15.1	(12.9)	7.1	19.6	13.8	(12.3)	21.1
Share of profit / (loss) of JVs	3.6	0.7	-	4.4	(0.7)	1.1	-	0.4
Net interest credit / (expense)	2.4	0.1	(6.5)	(4.0)	0.7	-	(3.5)	(2.8)
Profit/(loss) before tax	10.9	15.9	(19.4)	7.4	19.6	14.9	(15.8)	18.7
Tax charge	-	-	2.3	2.3	-	-	(3.9)	(3.9)
Profit/(loss) after tax	10.9	15.9	(17.1)	9.7	19.6	14.9	(19.7)	14.8

Note: There are minor differences on some totals due to roundings.

Revenue in the period was £47.5m (H1 2024: £41.3m), of which Capital Growth contributed £33.9m (H1 2024: £31.1m) and Income Generation contributed £13.6m (H1 2024: £10.3m).

Capital Growth revenue of £33.9m included revenue from the sale of development properties of £10.9m (H1 2024: £24.0m) and development revenue of £18.4m (H1 2024: £6.9m) relating to the delivery of the Group's affordable residential product and development work for Microsoft at Skelton Grange. Capital Growth revenue also included fees from PPAs of £4.0m (H1 2024: nil).

Revenue from Income Generation mainly comprised property rental and royalty income from the Investment Portfolio, Natural Resources and Agricultural Land. Revenue of £13.6m (H1 2024: £10.3m) in the first 6 months was £3.3m higher than that in the same period in 2024 predominantly due to the additional rental income generated from the acquisition of the Catalyst portfolio in the second half of 2024 alongside asset management initiatives. Like-for-like headline rent (excluding the impact of acquisitions, completed development and disposals) from the Investment Portfolio increased by 1.9% (H1 2024: 4.9%) during the period, following new lettings, lease regears and rent reviews on existing assets. The total headline annualised rental income for the Investment Portfolio, including the impact of disposals, increased by 4.3% to £18.3m at the period end (31 December 2024: £17.5m).

Cost of sales comprises the inventory cost of development property sales, increased site wide infrastructure costs impacting a small number of mature residential sites, costs incurred in undertaking build-to-suit development and both the direct and recoverable service charge costs of the Income Generation business. Cost of sales increased to £42.1m (H1 2024: £34.1m), of which £15.6m (H1 2024: £24.8m) related to the inventory cost of development property sales and increased site wide infrastructure costs, with the latter resulting in an overall gross loss for the period within Capital Growth. In the period, there was an increase in the net realisable value provision on development properties of £1.5m (H1 2024: £0.7m decrease) following the valuation process as at 30 June 2025.

Administrative expenses increased in the period by £0.3m to £17.1m (H1 2024: £16.8m). This was due to higher salary expenses, resulting from increased employee numbers, offset by lower legal and professional costs.

Other gains comprised a £17.3m net increase (H1 2024: £26.5m) in the fair value of investment properties and assets held for sale ('AHFS') combined with the profit on sale of investment properties, AHFS and overages of £1.5m (H1 2024: £4.3m).

Joint venture profits of £4.4m (H1 2024: £0.4m) were the result of valuation gains at the Aire Valley Land Joint Venture prior to de-recognition as part of the acquisition of the remaining interest during the period, as well as at Multiply Logistics North.

Non-statutory value gains/(losses)

Value gains/(losses) are made up of profit on sale, revaluation gains/(losses) on investment properties (including joint ventures), and revaluation gains/(losses) on development properties, AHFS and overages. A full description of, and reconciliation between, statutory and non-statutory value gains can be found in Note 2 and the appendix to the consolidated financial statements.

£m	Category	H1 2025			H1 2024			30 June 2025	31 December 2024
£m	Category	Profit /(loss) on sale	Reval. gains/ (losses)	Total	Profit /(loss) on sale	Reval. gains/ (losses)	Total	Total valuation	Total valuation
Capital Growth
Residential Major Developments	Development	(6.1)	(8.4)	(14.5)	0.3	9.2	9.5	225.5	223.8
Industrial & Logistics Major Developments	Mixed	(0.9)	14.1	13.2	(0.2)	6.7	6.5	179.0	138.1
Residential Strategic Land	Investment	(0.1)	(0.1)	(0.2)	0.2	3.3	3.5	62.9	61.0
Industrial & Logistics Strategic Land	Investment	(0.2)	10.4	10.2	0.2	18.6	18.8	125.2	109.7
Income Generation
Investment Portfolio	Investment	0.1	4.8	4.9	-	8.2	8.2	319.3	297.2
Natural Resources	Investment	0.9	0.6	1.5	-	0.2	0.2	21.1	21.5
Agricultural Land & other	Investment	-	0.3	0.3	(0.1)	0.4	0.3	11.2	7.5
Total		(6.3)	21.7	15.5	0.4	46.6	47.0	944.2	858.8

Notes: There are some minor differences on some totals due to roundings. Profit/(loss) on sale is stated net of the impact of transaction fees incurred.

Loss on sale of £6.3m (H1 2024: £0.4m profit) reflected the impact of transaction costs, pricing being broadly in line with book value before transaction costs, discounting of deferred consideration to present value, and retentions not recognised on completion. The loss incurred was driven by £6.1m increases in the estimated costs for the completion of site wide works at a small number of mature residential sites, impacting the proportional share of site wide costs allocated to prior period sales at the point of sale completion.

Revaluation gains were £21.7m (H1 2024: £46.6m) and are outlined in the table below.

	H1 2025 £m	H1 2024 £m
Increase in fair value of investment properties	17.4	26.7
Decrease in value of assets held for sale	(0.1)	(0.2)
Movement in net realisable value provision on development properties	(1.6)	(0.3)
Contribution to statutory operating profit	15.7	26.2
Share of profit of joint ventures	4.4	0.4
Unrealised gains on development properties and overages	1.6	20.0
Total non-statutory revaluation gains	21.7	46.6

Note: There are minor differences on some totals due to roundings

The principal revaluation gains and losses across the divisions reflected the following: 

· Industrial & Logistics:

· Valuation gains totalling £23.5m across Major Developments and Strategic Land driven by planning progress, continued progression on developments, occupier and investor demand and improvement in market rents.

· Revaluation gains on the Investment Portfolio from letting progress and improvement in market rents.

· While investment yields remained stable during the period, the industrial and logistics market continued to benefit from rental growth supporting our Industrial & Logistics Major Development sites, Strategic Land sites and the Investment Portfolio, alongside the impact of management actions.

· Residential:

· Continued operational progress at our residential sites and demand for serviced land sales underpinned valuations, although the broader residential market and policy challenges impacted on sentiment.

· Cost increases on Residential major development sites included increases across infrastructure works and professional fees as well as increases in the expected costs of meeting CIL and s106 planning obligations. CIL and s106 costs are a normal part of development delivery but are one-off for the relevant development.

· Savills reported that the residential development land market remained stable but performance has not been as positive as expected as a result of economic uncertainties, cost pressures and viability challenges impacting housing delivery.

· Government policy remains focused on significantly increasing the level of housing delivery but is taking time to have an impact.

· Natural Resources: valuations increased in the period, reflecting higher royalties from wind assets.

· Agricultural Land and Other experienced a small valuation increase during the year.

The net realisable value provision on development properties as at 30 June 2025 was £9.9m (31 December 2024: £8.5m). This provision is held to reduce the value of six (31 December 2024: seven) development properties from their deemed cost (the fair value at which they were transferred from an investment to a development categorisation) to their net realisable value at 30 June 2025. The transfer from investment to development property takes place once planning is secured and development with a view to sale has commenced.

Cash and sales

Group revenue from property sales in the period was £18.9m (H1 2024: £41.7m). Revenue from sales comprised:

	H1 2025 £m	H1 2024 £m
Residential land sales	10.9	24.0
Industrial & Logistics land sales	1.9	0.2
Sales of Investment Portfolio properties	3.0	13.3
Natural resources land sales	2.1	-
Overages	1.0	4.2
Total group revenue from property sales	18.9	41.7

Cash proceeds from sales in the period were £12.7m (H1 2024: £30.0m) as shown in the table below:

	H1 2025 £m	H1 2024 £m
Total property sales	18.9	41.7
Less deferred consideration on sales in the period	(10.9)	(13.6)
Add receipt of deferred consideration from sales in prior years	4.7	1.9
Total cash proceeds	12.7	30.0

Tax

The income statement credit for taxation for the period was £2.3m (H1 2024: £3.9m charge), which comprised a current tax charge of £nil (H1 2024: £nil charge) and a deferred tax credit of £2.3m (H1 2024: £3.9m charge).  

The current tax is determined by profits from the sale of development properties, investment property, AHFS, profit on the rental of investment property, royalties and other fees after taking into account overheads and interest costs. The deferred tax balance has been calculated based on the rate expected to apply on the date the liability is crystallised. Lower profits on the sale of development property offset by increases in site wide costs, coupled with the impact of overhead and interest costs resulted in a nil current tax charge for the period (H1 2024: £nil) with the deferred tax credit generated by losses offsetting the deferred tax charge arising from valuation gains, leading to an overall tax credit for the period.

At 30 June 2025, the Group had deferred tax liabilities of £39.6m (31 December 2024: £37.0m) and deferred tax assets of £6.3m (31 December 2024: £3.3m). The net deferred tax liability was £33.3m (31 December 2024: £35.9m).

Basic earnings per share and dividends

Basic earnings per share for the period decreased to 3.0p (H1 2024: 4.6p) reflecting lower increases in valuation of investment properties in H1 2025, lower profits from sales in the period partly offset by higher rental income.

The Board has determined to pay an interim dividend of 0.538p (H1 2024: 0.489p) per share, an increase of 10% in line with the Group's policy.

Property categorisation

Until sites receive planning permission and their future use has been determined, the Group's view is that the land is held for a currently undetermined future use and should, therefore, be held as investment property. Properties and land that have received planning permission, and where development with a view to sale has commenced, are categorised as development properties.

The table below sets out the top 10 sites by value, which represent 53% of the total portfolio, split according to their categorisation, including currently consented Residential plots and commercial space:

Top 10 sites by value

Site	Region	Use	Site type	BS category	Progress to date
Ironbridge (Telford)	MID	R R	MD SL	Dev. prop Inv. prop	1,000 Residential units consented, land sold representing 312 units, further enabling works underway Continue to progress master planning for the scheme in collaboration with the Local Authority
Advanced Manufacturing Park (AMP) (Rotherham)	YAC	I&L I&L	MD IP	Inv. prop Inv. prop	2.1m sq. ft of Industrial & Logistics space consented, 1.8m sq. ft built or sold. 0.4m sq. ft of Grade A held in Investment Portfolio
Bardon Hill (Leicester)	MID	I&L	IP	Inv. prop	0.3m sq. ft of fully-let Grade A held in Investment Portfolio
Wingates (Bolton)	NOW	I&L R/I&L	MD SL	Inv. prop Inv. prop	Up to 0.8m sq .ft of Industrial and Logistics space consented with buildings up to 0.3m sq. ft achievable in Phase 1. Enabling and site infrastructure works ongoing with completion due Q3 2026. Work to submit a planning application for a further 1.9m sq. ft is ongoing
Catalyst (Rotherham)	YAC	I&L	IP	Inv. prop	90% let, letting of Unit 4, the final vacant unit, subject to legal documentation
Coalville (Leicester)	MID	R	MD	Dev. prop	2,016 Residential units consented, land sold representing 1,334 units with a further 146 units completed in July
Wyke Lane (Bradford)	YAC	I&L	IP	Inv. prop	0.3m sq. ft fully-let
Chatterley Valley (Stoke)	NOW	I&L I&L	MD MD	Dev. prop Inv. prop	1.17m sq. ft of Industrial and Logistics space consented with single buildings of up to 0.5m sq. ft achievable. Enabling and infrastructure site works now complete
Logistics North (Bolton)	NOW	I&L I&L	IP IP	Inv. prop JV	104k sq. ft owned freehold retained in Investment Portfolio. 87k sq. ft controlled through joint venture retained in Investment Portfolio
Skelton Grange (Leeds)	YAC	I&L I&L	MD SL	Dev. prop Inv. prop	0.3m sq. ft of I&L space remaining on the retained land. Enabling works are ongoing in relation to the previously sold plot 1 and remain on track to complete on time.

As at 30 June 2025, the balance sheet value of our development properties was £202.0m (31 December 2024: £190.9m; 30 June 2024: £250.5m) and their independent valuation was £232.4m, reflecting a £30.4m cumulative uplift in value since they were classified as development properties. In order to highlight the market value of development properties, and overages, and to be consistent with how we state our investment properties, we use EPRA NDV, which includes the market value of development properties and overages less notional deferred tax, as our primary net assets metric.

Net asset value

	30 June 2025  £m	30 June 2024 £m	31 Dec 2024  £m
Properties⁽¹⁾	908.6	772.5	821.6
Cash	9.8	9.2	117.4
Trade and other receivables	118.5	68.9	98.2
Other assets	20.1	15.9	15.3
Total assets	1,057.0	866.5	1,052.5
Gross borrowings	(189.2)	(89.7)	(164.1)
Deferred tax liability	(33.3)	(33.7)	(35.9)
Other liabilities	(136.2)	(93.1)	(160.9)
Statutory net assets	698.3	650.0	691.7
Mark to market value adjustment on development properties and overages less notional deferred tax	26.7	37.0	27.8
EPRA NDV	725.0	687.0	719.5
Number of shares in issue less Employee Benefit Trust & Equiniti Share Plan Trustees Limited-held shares	324,104,549	323,592,468	323,640,852
EPRA NDV per share	223.7p	212.3p	222.3p

(1) Properties include investment properties, development properties, AHFS, occupied properties and investment in joint ventures.

EPRA NDV at 30 June 2025 was £725.0m (31 December 2024: £719.5m), which includes the mark to market adjustment on the value of the development properties and overages. The total portfolio value as at 30 June 2025 was £908.6 million, an increase of £87.0m from 31 December 2024 (£821.6m).

The Group's share of gains from joint ventures of £4.4m (30 June 2024: £0.4m), was primarily as a result of the revaluation gains on The Aire Valley Land LLP joint venture in the period prior to the acquisition described below, and the performance of Multiply Logistics North LLP in the six months to June 2025.

A total of £20.0m, before costs and stamp duty, was paid in March 2025 to acquire the remaining 50% of the joint venture. As a result of the acquisition, the carrying amount of the investment totalling £16.1m was derecognised from the Investments in Joint Venture on the balance sheet and is now shown as a 100% wholly owned Subsidiary. Excluding the gain on the revaluation of The Aire Valley Land LLP joint venture and its derecognition, there was a £0.7m increase in the like-for-like value of joint ventures in the six months to June 2025.

Trade and other receivables include deferred consideration on sales. At 30 June 2025, deferred consideration of £77.3m was outstanding (31 December 2024: £72.9m), of which 63.8% is due within one year, the current level being the result of the higher level of residential land sales completed during 2024: where deferred payment terms are agreed, the Group maintains security in order to mitigate credit risk.

Financing strategy

Harworth's financing strategy remains to be prudently geared. The Income Generation portfolio provides a recurring income source to service debt facilities and this is supplemented by proceeds from sales.

As part of its strategic plan, the Group maintains a self-imposed target LTV of below 20% at year ends, with a maximum of 25% in-year, reflecting the cyclical nature of the Group's cashflows. As a principle, the Group seeks to maintain its cash flows in balance by funding the majority of infrastructure expenditure through disposal proceeds, while allowing for growth in the portfolio.

Debt facilities

The Group has a £240m RCF provided by NatWest, Santander and HSBC, providing significant liquidity and flexibility to enable the Group to pursue its strategic objectives. The interest rate on the RCF is based on an LTV ratchet mechanism with a margin payable above SONIA in the range of 2.25% to 2.50%. Whilst there are no refinancing requirements until 2027, the Group is currently proceeding with a refinancing with the intention to complete this within the next six months.

As part of its funding structure, the Group also uses infrastructure financing provided by public bodies and site-specific direct development loans to promote the development of major sites and bring forward the development of Industrial & Logistics units.

The Group had net debt of £179.4 million at 30 June 2025 (31 December 2024: £46.7 million; 30 June 2024: £80.5 million). The increase in net debt during the period reflects the significant investment and operational progress on sites alongside the acquisition of the remaining interest in Aire Valley Land LLP, partly offset by proceeds from sales in line with the typical second half weighting of Group property sales. Tax payments made during the period reflected the timing of sales activity in 2024 which was weighted to the final quarter of 2024. The movements in net debt over the period are shown below:

	H1 2025 £m	H1 2024 £m
Opening net debt as at 1 January	(46.7)	(36.4)
Cash outflow from operations	(59.5)	(32.8)
Property expenditure and acquisitions	(52.4)	(21.1)
Disposal of investment property, AHFS and overages	4.5	17.5
Net investments in joint ventures	(0.8)	(1.2)
Interest and loan arrangement fees	(5.2)	(2.2)
Dividends paid	(3.7)	(3.3)
Tax paid	(11.6)	(0.2)
Fixed assets expenditure	(3.0)	-
Other cash and non-cash movements	(1.0)	(0.8)
Closing net debt as at 30 June	(179.4)	(80.5)

The Group's hedging strategy to manage its exposure to interest rate risk is to hedge the lower of around half its average debt during the year or its net debt balance at year end. As at 30 June 2025, none of the Group's drawn debt was subject to interest rate hedging. The Group is proceeding with a refinancing of its main RCF, in advance of a maturity date in 2027, with the intention to conclude this, and a revised hedging profile alongside this, in the next six months. Projected drawn debt, including the profile following completion of year-end sales, and hedging requirements remains under active review with any new hedging to be aligned to future net debt requirements.

As at 30 June 2025, the Group's net LTV was 19.0% (31 December 2024: 5.4%; 30 June 2024: 9.8%). If gearing is assessed against the value of the income generation portfolio (the Investment Portfolio and Natural Resources portfolio) only, this equates to a net loan to income generation portfolio value of 58.2% (31 December 2024: 15.7%; 30 June 2024: 34.4%). Under the RCF, the Group could withstand a material fall in portfolio value, property sales or rental income before reaching covenant levels.

At 30 June 2025, Group liquidity of £59.8m (31 December 2024: £192.4m) included undrawn capacity under the RCF of £50.0m (31 December 2024: £75.0m) in addition to the period-end cash balance of £9.8m (31 December 2024: £117.4m). The forward sales programme for the remainder of the year continues to be strong and in line with our typical cashflow profile of second half weighted sales. We, therefore, expect sales in H2 2025 to reduce drawn debt and increase available liquidity by the end of the year, putting us in a strong position to finance the next stage of sites going into 2026.

Kitty Patmore

Chief Financial Officer

15 September 2025

Key performance indicators

2.1 Financial track record

KPI	H1-2025 result	H1-2024 result	FY2024 result	H1-2025 performance commentary
Total Accounting Return (%) Growth in EPRA NDV during the period in addition to dividends paid, as a proportion of EPRA NDV at the beginning of the year.	1.1%	4.0%	9.1%	Our total return of 1.1% was the result of a 0.6% increase in EPRA NDV during the year, as well as the payment of a 1.125p dividend.
EPRA Net Disposal Value ('NDV') per share A European Public Real Estate Association ('EPRA') metric that represents a net asset valuation where development property is included at fair value rather than cost and deferred tax, financial instruments and other adjustments as set out in Note 2 and the appendix to the financial statements, are calculated to the full extent of their liability.	223.7p	212.3p	222.3p	The increase resulted from revaluation gains driven by management actions to progress sites, partially offset by increases in site wide costs at a small number of mature residential sites.
Net asset value The value of our assets less the value of our liabilities, based on IFRS measures, which excludes the mark-to-market value of development properties.	£698.3m	£650.0m	£691.7m	Net asset value increased as a result of value gains on investment property and the Group's share of profit from joint ventures.
Net LTV Net debt as a proportion of the aggregate value of properties and investments.	19.0%	9.8%	5.4%	Our LTV increased as we drove significant investment and operational progress on sites as well as from the acquisition of the remaining 50% interest in Aire Valley Land LLP, with LTV remaining well within our self-imposed target within year of less than 25% as we continue to carefully manage levels of net debt.

2.2 Strategic track record

KPI	H1-2025 result	H1-2024 result	FY2024 result	H1-2025 performance commentary
Industrial & Logistics space direct development The amount of Industrial & Logistics space developed by Harworth, either speculatively or on a build-to-suit basis for an end occupier or investor, achieving practical completion during the year.	100,500 sq. ft	nil sq. ft	107,000 sq. ft	Completed direct development during the period included the completion and letting of 80,000 sq. ft at the Advanced Manufacturing Park (AMP) - Rotherham
Total Industrial & Logistics pipeline The total amount of Industrial & Logistics space that could be delivered from our land bank, including freehold land, options and PPAs.	34.6m sq. ft	38.8m sq. ft	33.6m sq. ft	The increase since year-end included the addition of 0.4m sq. ft through the acquisition of the remaining 50% interest in the Aire Valley Land joint venture at Gateway 45, adjacent to our Skelton Grange site.
Proportion of Investment Portfolio that is Grade A by area & value The proportion of our Investment Portfolio by area that could be classified as modern Grade A Industrial & Logistics space. Grade A is a widely-used industry term that is understood to mean 'best in class', space which is new or relatively new, high-specification and in a desirable location, allowing the unit to attract a rent that is above the market average.	A: 48% V: 66%	A: 37% V: 56%	A: 45% V: 63%	The increase reflects the transfer of 80,000 sq. ft completed and let at the Advanced Manufacturing Park (AMP) Rotherham
Number of plots sold The number of plots equivalent to land parcel sales to housebuilders or registered providers during the year.	649	357	2,385	Sales during the period include 149 freehold plot sales and 500 PPA plot sales in line with normal weighting of sales towards the end of the year following completing work on sites.
Total Residential pipeline The total number of Residential plots that could be delivered from our pipeline including freehold land, options and PPAs.	31,636 plots	26,638 plots	31,264 plots	The residential pipeline remained stable during the period with additions slightly ahead of sales completed.

Principal risks & uncertainties

A detailed explanation of the Group's risk management framework, the principal risks and uncertainties affecting the Group and the steps it takes to mitigate these risks, can be found on pages 68 to 85 of the Annual Report and Financial Statements for the year ended 31 December 2024 (the "2024 Annual Report"), available at within the "Investors" section of our website.

During H1 of 2025 the Board undertook a comprehensive review of the principal risks to ensure they remain aligned with our strategic objectives and are reflective of the evolving external landscape. This review was informed by consideration of:

· Scaling up of vertical development delivery and growth in the Investment Portfolio.

· Early outputs from the enhancement and standardisation of our 'bottom-up' operational risk management framework.

· The current macroeconomic and geopolitical environment.

The review did not result in a fundamental revision of the risk profile of the Group. Instead, it led to a refinement of the existing risk set, including the following:

· There are now 11 principal risks and one emerging risk, compared to the previous 12 principal risks.

· Five risk descriptions were clarified and refined, with no material changes to the nature of the risk.

· Five risks were renamed to reflect better the strategic objectives of the Group.

· Two new risks were introduced and named 'Physical Climate Events' and 'Government Policy Implementation,' reflecting the growing significance and potential impact these could have on the Group.

· Two risks were updated to consolidate principal risks and consider wider potential impacts to the Group.

· Three risks were removed from the principal risk set, with two incorporated into other principal risks and one which had diminished in impact such that it will now be considered in operational risk processes.

The detailed description of changes and the new set of principal risks for the Group are outlined below:

Risk	Risk title			Risk description	Description of change
1	Power Infrastructure Capacity			Challenges in securing power infrastructure for schemes at a viable cost and time scale.	No material change. Refinement of risk description.
2	Planning System			Challenges in obtaining planning permission for schemes impacting financial returns.	No material change. Refinement of risk description.
3	Construction Supply Chain			Exposure to construction supply chain may lead to increased pricing pressures, labour constraints, and risk of disputes, default and/or insolvency of supply chain partners.	No material change. Previously called 'development supply chain'.
4	Physical Climate Events			Extreme weather events and long-term climate shifts (e.g. storms, floods, wildfires, temperature extremes) disrupt construction supply chains, impacts development operations, increases costs, and damages assets.	New principal risk. The risk has been elevated to a principal risk to reflect the growing likelihood and impact of extreme weather events on our ambitious development programmes.
5	Real Estate End Markets			Deterioration of core end markets, driven by macroeconomic factors and investor sentiment, impacting valuations, financial returns and recycling of capital.	No material change. Refinement of risk description. Previously called 'residential and commercial markets'.
6	Capital			Inability to source adequate equity or debt capital at viable costs.	No material change. Previously called 'availability of appropriate capital'.
7	People			Inadequate employee value proposition impacting the ability to attract, retain, and develop quality talent, while also impacting succession planning efforts.	No material change. Refinement of risk description. Previously called 'organisational development and design'.
8	Health and Safety			Injury / death to employees, subcontractors, visitors, and/or occupiers resulting in operational impacts, liabilities, penalties and/or reputational damage.	No material change.
Risk		Risk title	Risk description			Description of change
9		Responsible Business	Failure to discharge societal obligation to contribute positively to ESG outcomes, including failure to meet our Net Zero Carbon pathway commitments, and non-compliance with regulations and reporting requirements, resulting in financial loss and/or reputational damage.			Updated principal risk. Incorporates previous risk of 'Net Zero Carbon pathway', while also including wider ESG considerations, and costs of development.
10		Digital Transformation and Resilience	Failure to realise effective digital architecture to preserve business continuity, protect IP and data, prevent and recover from cyber incidents, and support growth, evolution and AI integration.			No material change. Refinement of risk description.
11		Government Policy Implementation	Challenges in slow and/or inconsistent implementation of Government policy across our regions alongside devolution and local government reform changing the landscape that we (investors and businesses) are operating in.			New principal risk.
EMERGING		Investment Partner Selection and Management	Flaws in governance and management of stakeholder relationships impacting operations, availability of capital and costs.			Updated principal risk. Incorporates elements of the previous 'Counterparties: Investment partners and service providers', however with a focus on the governance and management of these relationships.
REMOVED		Availability of and competition for strategic sites	Failure to acquire strategic land at appropriate prices due to constrained supply or competition.			Risk removed. Harworth's extensive land bank, development pipeline and investment strategy mean this is no longer a principal risk to achievement of Harworth's strategic objectives.
REMOVED		Counterparties: Investment partners and service providers	Increase in exposure to investment partners and critical dependencies on certain service providers, leading to increased risk from disputes with and/or default by and/or insolvency of these counterparties.			Risk removed. Incorporated into other principal risks.
REMOVED		Statutory costs of development	Legislative reforms which do, or may, impose a tax or levy on development or have the effect of levying an additional cost on development.			Risk removed. Incorporated into other principal risks.

The Group continues to monitor its risk environment closely and remains confident that its risk management framework is robust and responsive to change. A full description of the Group's Principal Risks, including the changes made throughout the financial reporting year, will be reflected in the year-end disclosures for 31 December 2025.

Directors' Responsibilities statement

For the six months ended 30 June 2025

The Directors who held office at the date of approval of these Financial Statements confirm that to the best of their knowledge:

1. the Condensed Consolidated Interim Financial Statements have been prepared in accordance with the Disclosure Guidance and Transparency Rules of the Financial Conduct Authority and in accordance with IAS 34 'Interim Financial Reporting' as contained in UK-adopted international accounting standards; and

2. the Interim Management Report includes a fair review of the information required by:

a) Rule 4.2.7R of the Disclosure and Transparency Rules, being an indication of important events that have occurred during the six months ended 30 June 2025 and their impact on the Condensed Consolidated Interim Financial Statements, and a description of the principal risks and uncertainties for the remaining six months of the financial year; and

b) Rule 4.2.8R of the Disclosure and Transparency Rules, being related party transactions that have taken place in the six months ended 30 June 2025 and that have materially affected the financial position or performance of the Group during that period, and any changes in the related party transactions described in the last Annual Report and Financial Statements that could do so.

The Directors who served during the six months ended 30 June 2025 were as follows:

· Alastair Lyons, Chair

· Lynda Shillaw, Chief Executive                        

· Katerina Patmore, Chief Financial Officer

· Angela Bromfield, Senior Independent Director

· Lisa Scenna, Independent Non-Executive Director

· Patrick O'Donnell Bourke, Independent Non-Executive Director

· Marzia Zafar, Independent Non-Executive Director

· Martyn Bowes, Non-Executive Director

Ruth Cooke, an independent Non-Executive Director, retired from the Board at the Company's AGM on 19 May 2025. Phil Redding, an independent Non-Executive Director, was appointed to the Board on 10 September 2025.

By order of the Board

Chris Birch
General Counsel and Company Secretary
15 September 2025

Cautionary statement

This report for the six months ended 30 June 2025 contains certain forward-looking statements with respect to the Company's financial condition, results, operations and business. These statements and forecasts involve risk and uncertainty because they relate to events and depend upon circumstances that will occur in the future. There are factors that could cause actual results or developments to differ materially from those expressed or implied by these forward-looking statements and forecasts. Nothing in this report should be construed as a profit forecast.

Directors' liability

Neither the Company nor the Directors accept any liability to any person in relation to this report for the six months ended 30 June 2025 except to the extent that such liability could arise under English law. Accordingly, any liability to a person who has demonstrated reliance on any untrue or misleading statement or omission shall be determined in accordance with section 90A of the Financial Services and Markets Act 2000.

Shareholder information

Financial calendar

Interim results for the six months ended 30 June 2025	Published	16 September 2025
Interim dividend for the year ended 31 December 2025	Ex-dividend date Record date Payable	25 September 2025 26 September 2025 04 November 2025
Results for the year ended 31 December 2025	Scheduled	March 2026
Annual report and financial statements for the year ended 31 December 2025	Scheduled	April 2026
2026 Annual General Meeting	Scheduled	May 2026
Final dividend for the year ended 31 December 2025	Ex-dividend date Record date Payable	April 2026 April 2026 May 2026

Registrars

All administrative enquiries relating to shareholdings should, in the first instance, be directed to Equiniti. Help can be found at www.shareview.co.uk. Alternatively, you can contact Equiniti at Aspect House, Spencer Road, Lancing, West Sussex, BN99 6DA (telephone: +44 (0)371 384 2301). You should state clearly the registered shareholder's name and address.

Dividend mandate

Any shareholder wishing dividends to be paid directly into a bank or building society should instruct this via the Shareview service, or contact the Registrars for a dividend mandate form. Dividends paid in this way will be paid through the Bankers' Automated Clearing System ('BACS').

Shareview service

The Shareview service from Equiniti allows shareholders to manage their shareholding online. It gives shareholders direct access to their data held on the share register, including recent share movements and dividend details and the ability to change their address or dividend payment instructions online. To visit the Shareview website, go to www.shareview.co.uk. There is no charge to register but the 'shareholder reference number' printed on proxy forms or dividend stationery will be required.

Website

The Group's website (harworthgroup.com) provides further information. Detailed information for shareholders can be found at harworthgroup.com/investors.

Consolidated income statement

Note

Unaudited
6 months ended
30 June
2025
£'000

Unaudited
6 months ended
30 June
2024
£'000

Audited

Year ended
31 December
2024
£'000

Revenue

47,471

41,306

181,585

Cost of sales

(42,070)

(34,110)

(150,508)

Gross profit

5,401

7,196

31,077

Administrative expenses

(17,071)

(16,779)

(33,185)

Other gains

18,810

30,736

78,113

Other operating expenses

(57)

(44)

(1,371)

Operating profit

7,083

21,109

74,634

Finance costs

(6,499)

(3,614)

(9,900)

Finance income

2,479

801

3,166

Share of profit/(loss) of joint ventures

4,356

430

1,487

Profit before tax

7,419

18,726

69,387

Tax credit/(charge)

2,273

(3,942)

(12,150)

Profit for the period/year

9,692

14,784

57,237

Earnings per share from operations

pence

Basic

3.0

4.6

17.7

Diluted

2.9

4.5

17.3

The Notes 1 to 15 are an integral part of these condensed consolidated interim financial statements.

All activities are derived from continuing operations.

Consolidated statement of comprehensive income

Unaudited
6 months ended
30 June
2025
£'000

Unaudited

6 months ended
30 June
2024
£'000

Audited

Year ended
31 December
2024
£'000

Profit for the period/year

9,692

14,784

57,237

Other comprehensive (expense)/income - items that will not be reclassified to profit or loss:

Net actuarial loss in Blenkinsopp Pension scheme

(34)

(123)

(239)

Revaluation of Group occupied property

(300)

(515)

Total other comprehensive expense

(34)

(423)

(754)

Total comprehensive income for the period/year

9,658

14,361

56,483

Consolidated balance sheet

ASSETS	Note	Unaudited As at 30 June 2025 £'000	Unaudited As at 30 June 2024 £'000	Audited As at 31 December 2024 £'000
Non-current assets
Property, plant and equipment		5,178	1,442	1,529
Right of use assets		1,330	463	1,443
Trade and other receivables		26,729	23,046	25,638
Investment properties	8	658,854	479,564	585,489
Investments in joint ventures	9	22,661	32,346	33,553
Retirement benefit asset		48	938	-
		714,800	537,799	647,652
Current assets
Inventories	10	218,506	264,721	205,985
Trade and other receivables		91,795	47,324	72,580
Assets held for sale	11	18,641	7,491	8,910
Cash	12	9,798	9,207	117,382
Current tax asset		3,474	-	-
		342,214	328,743	404,857
Total assets		1,057,014	866,542	1,052,509
LIABILITIES
Current liabilities
Borrowings	13	-	(35,708)	-
Trade and other payables		(116,857)	(88,485)	(135,998)
Lease liabilities		(253)	(176)	(271)
Current tax liabilities		-	(2,406)	(8,130)
		(117,110)	(126,775)	(144,399)
Net current assets		225,104	201,968	260,458
Non-current liabilities
Borrowings	13	(189,164)	(53,983)	(164,125)
Trade and other payables		(18,071)	(1,673)	(15,226)
Lease liabilities		(1,086)	(371)	(1,196)
Net deferred tax liabilities		(33,297)	(33,748)	(35,853)
Retirement benefit obligations		-	-	(45)
		(241,618)	(89,775)	(216,445)
Total liabilities		(358,728)	(216,550)	(360,844)
Net assets		698,286	649,992	691,665
SHAREHOLDERS' EQUITY
Called up share capital	14	32,575	32,486	32,495
Share premium account		25,177	25,112	25,157
Fair value reserve		237,794	245,766	216,704
Capital redemption reserve		257	257	257
Merger reserve		45,667	45,667	45,667
Investment in own shares		(1,036)	(134)	(138)
Retained earnings		348,160	286,054	314,286
Current year profit		9,692	14,784	57,237
Total shareholders' equity		698,286	649,992	691,665

Condensed consolidated statement of changes in shareholders' equity

	Called up share capital £'000	Share premium account £'000	Merger reserve £'000	Fair value reserve £'000	Capital redemption reserve £'000	Investment in own shares £'000	Retained earnings £'000	Total equity £'000
Balance at 1 Jan 2024	32,408	25,034	45,667	225,177	257	(99)	309,278	637,722
Profit for the six months to 30 June 2024	-	-	-	-	-	-	14,784	14,784
Fair value gains	-	-	-	28,770	-	-	(28,770)	-
Transfer of unrealised gains on disposal of investment property	-	-	-	(7,881)	-	-	7,881	-
Other comprehensive (expense)/income:
Actuarial loss in Blenkinsopp pension scheme	-	-	-	-	-	-	(123)	(123)
Revaluation of group occupied property	-	-	-	(300)	-	-	-	(300)
	-	-	-	20,589	-	-	(6,228)	14,361
Transactions with owners:
Purchase of own shares	-	-	-	-	-	(35)	-	(35)
Share-based payments	-	-	-	-	-	-	1,099	1,099
Dividends paid	-	-	-	-	-	-	(3,311)	(3,311)
Share issue	78	78	-	-	-	-	-	156
Balance at 30 June 2024 (unaudited)	32,486	25,112	45,667	245,766	257	(134)	300,838	649,992
Profit for the year to 31 December 2024	-	-	-	-	-	-	42,453	42,453
Fair value gains	-	-	-	34,564	-	-	(34,564)	-
Transfer of unrealised gains on disposal of investment property	-	-	-	(63,411)	-	-	63,411	-
Other comprehensive (expense)/income:
Actuarial loss in Blenkinsopp pension scheme	-	-	-	-	-	-	(116)	(116)
Revaluation of group occupied property	-	-	-	(215)	-	-	-	(215)
	-	-	-	(29,062)	-	-	71,184	42,122
Transactions with owners:
Purchase of own shares	-	-	-	-	-	(4)	-	(4)
Share-based payments	-	-	-	-	-	-	1,089	1,089
Dividends paid	-	-	-	-	-	-	(1,588)	(1,588)
Share issue	9	45	-	-	-	-	-	54
Balance at 31 December 2024	32,495	25,157	45,667	216,704	257	(138)	371,523	691,665
Profit for the six months to 30 June 2025	-	-	-	-	-	-	9,692	9,692
Fair value gains	-	-	-	23,287	-	-	(23,287)	-
Transfer of unrealised gains on disposal of investment property	-	-	-	(2,197)	-	-	2,197	-
Other comprehensive (expense)/income:
Actuarial loss in Blenkinsopp pension scheme	-	-	-	-	-	-	(34)	(34)
	-	-	-	21,090	-	-	(11,432)	9,658
Transactions with owners:
Purchase of own shares	-	-	-	-	-	(898)	-	(898)
Share-based payments	-	-	-	-	-	-	1,415	1,415
Dividends paid	-	-	-	-	-	-	(3,654)	(3,654)
Share issue	80	20	-	-	-	-	-	100
Balance at 30 June 2025 (unaudited)	32,575	25,177	45,667	237,794	257	(1,036)	357,852	698,286

Consolidated statement of cash flows

	Unaudited 6 months ended 30 June 2025 £'000	Unaudited 6 months ended 30 June 2024 £'000	Audited year ended 31 December 2024 £'000
Cash flows from operating activities
Profit before tax for the period/year	7,419	18,726	69,387
Net finance costs	4,020	2,813	6,734
Other gains	(18,810)	(30,736)	(78,113)
Share of profit of joint ventures	(4,356)	(430)	(1,487)
Share-based transactions⁽¹⁾	1,346	1,114	2,287
Depreciation of property, plant and equipment and right of use assets	307	188	406
Pension contributions in excess of charge	(127)	(1,072)	(205)
Operating cash outflows before movements in working capital	(10,201)	(9,397)	(991)
(Increase)/decrease in inventories	(13,463)	(1,648)	57,088
Increase in receivables	(16,215)	(21,785)	(52,774)
(Decrease)/increase in payables	(19,658)	50	39,297
Cash generated (used in)/generated from operations	(59,537)	(32,780)	42,620
Interest paid	(5,039)	(2,055)	(7,568)
Corporation tax paid	(11,604)	(236)	(516)
Cash (used in)/generated from operating activities	(76,180)	(35,071)	34,536
Cash flows from investing activities
Interest received	141	801	810
Investment in joint ventures	(1,010)	(2,422)	(3,048)
Distribution from joint ventures	179	1,228	1,704
Net proceeds from disposal of investment properties, AHFS and overages	4,475	17,517	80,028
Property acquisitions (including acquisition of group of assets)	(19,578)	(2,649)	(69,478)
Expenditure on investment properties and AHFS	(32,736)	(18,491) 6	(47,009)
Expenditure on property, plant and equipment	(3,039)	(176)	(600)
Cash (used in)/generated from investing activities	(51,568)	(4,192)	(37,593)
Cash flows from financing activities
Net proceeds from issue of ordinary shares	(843)	87	137
Proceeds from other loans	-	5,510	5,510
Repayment of other loans	-	(852)	(37,134)
Proceeds from bank loans	222,000	40,000	205,000
Repayment of bank loans	(197,000)	(20,000)	(75,000)
Loan arrangement fees	(193)	(101)	(151)
Payment in respect of leases	(146)	(45)	(206)
Dividends paid	(3,654)	(3,311)	(4,899)
Cash generated from/(used in) financing activities	20,164	21,288	93,257
(Decrease)/increase in cash	(107,584)	(17,975)	90,200

Cash as at beginning of period/year	117,382	27,182	27,182
(Decrease)/increase in cash	(107,584)	(17,975)	90,200
Cash as at end of period/year	9,798	9,207	117,382

⁽¹⁾ Share-based transactions reflect the non-cash expenses relating to share-based payments included within the income statement

Notes to the condensed consolidated interim financial statements

for the six months ended 30 June 2025

1. Accounting policies

The principal accounting policies adopted in the preparation of this condensed consolidated interim financial information are set out below. These policies have been consistently applied to all of the periods presented, unless otherwise stated.

General information

Harworth Group plc (the "Company") is a company limited by shares, incorporated and domiciled in the UK (England). The address of its registered office is Advantage House, Poplar Way, Catcliffe, Rotherham, South Yorkshire, S60 5TR.

The Company is a public company listed on the London Stock Exchange.

The condensed consolidated interim financial statements for the six months ended 30 June 2025 comprise the accounts of the Company and its subsidiaries (together referred to as the "Group").

These condensed consolidated interim financial statements do not comprise statutory accounts within the meaning of section 434 of the Companies Act 2006. The financial information presented for the year ended 31 December 2024 is derived from the statutory accounts for that year. Statutory accounts for the year ended 31 December 2024 were approved by the Board of Directors on 19 March 2025 and delivered to the Registrar of Companies. The report of the auditor on those accounts was unqualified, did not contain an emphasis of matter paragraph and did not contain any statement under section 498 of the Companies Act 2006.

The condensed consolidated interim financial statements for the six months ended 30 June 2025, which have not been audited, were approved by the Board on 15 September 2025.

Basis of preparation

These condensed consolidated interim financial statements for the six months ended 30 June 2025 have been prepared in accordance with the Disclosure Guidance and Transparency Rules of the Financial Conduct Authority and in accordance with IAS 34 'Interim Financial Reporting' as contained in UK-adopted international accounting standards.

These condensed consolidated interim financial statements should be read in conjunction with the Group's annual financial statements for the year ended 31 December 2024, which were prepared in accordance with international accounting standards in conformity with the requirements of the Companies Act 2006 and in accordance with UK adopted International Financial Reporting Standards ("IFRS").

Going-concern basis

These condensed consolidated interim financial statements are prepared on the basis that the Group is a going concern. In forming its opinion as to going concern, the Company prepares cash flow and banking covenant forecasts based upon assumptions, with particular consideration to the key risks and uncertainties and the macro-economic environment as well as taking into account available borrowing facilities. The going concern period assessed is until December 2026 which has been selected as it can be projected with a reasonable degree of accuracy and covers a complete period of reporting under the Group's RCF.

A key focus of the assessment of going concern is the management of liquidity and compliance with borrowing facilities for the period to December 2026. A £240m RCF is available to the group and is aligned to the Group's strategy and provides significant liquidity and flexibility to enable it to pursue its strategic objectives. The facility is subject to financial covenants, including minimum interest cover, maximum infrastructure debt as a percentage of property value and gearing, all of which are tested as part of the going concern assessment undertaken. Available liquidity, including cash and cash equivalents and bank facility headroom, was £59.8m as at 30 June 2025 (December 2024: £192.4m), reflecting investment in sites through the first half of 2025.

The Group benefits from diversification across its Capital Growth and Income Generation businesses including its industrial and renewable energy property portfolio. Taking into account the independent desktop valuation carried out by BNP Paribas, JLL and Savills as at 30 June 2025, the Group net loan-to-portfolio value remains low at 19.0%, within the Board's target range and with headroom to allow for falls in property values. Rent collection on investment properties remained strong, with 98% collected to date for H1 2025.

In addition to the Company's base cashflow forecast, a sensitised forecast was produced that reflected a number of severe but plausible downsides. This downside included: 1) a severe reduction in sales to the housebuilding sector as well as lower investment property sales; 2) notwithstanding strong rent collection to date in line with previous quarters, a prudent material increase in bad debts across the portfolio over the majority of the going concern assessment period; 3) a material decline in the value of land and investment property values as a result of macro-economic conditions; and 4) increases in interest rates, impacting the cost of the Group's borrowings.

A scenario was also run which demonstrated that very severe loss of revenue, valuation reductions and interest cost increases would be required to breach cashflow and banking covenants. The Directors consider this very severe scenario to be remote. A scenario with consideration of potential climate change and related transition impacts was also examined as part of the Group's focus on climate-related risks and opportunities.

Under each downside scenario, for the going concern period to December 2026, the Group expects to continue to have sufficient financial reserves to continue to operate with headroom on lending facilities and associated covenants and has additional mitigation measures within management's control, for example reducing development and acquisition expenditure and reducing operating costs, that could be deployed to create further cash and covenant headroom.

Based on these considerations, together with available market information and the Directors' knowledge and experience of the Group's property portfolio and markets, the Directors considered it appropriate to adopt a going concern basis of accounting in the preparation of the Group's and Company's financial statements.

Accounting policies

Changes in accounting policy and disclosures

(a) New standards, amendments and interpretations

No new standards and one amendment to standards and interpretation is effective for annual periods beginning on or after 1 January 2025. This does not have a significant effect on the financial statements of the Group.

(b) New standards, amendments and interpretations not yet adopted

A number of new standards and amendments to standards and interpretations are effective for annual periods beginning on or after 1 January 2026 and have not been applied in preparing these financial statements. None of these are expected to have a significant effect on the financial statements of the Group.

Estimates and judgements

The preparation of the condensed consolidated interim financial statements requires management to make judgements, estimates and assumptions that affect the application of accounting policies and the reported amounts of assets and liabilities, income and expense. Actual results may differ from these estimates.

In preparing these condensed consolidated interim financial statements, the significant judgements made by management in applying the Group's accounting policies and the key sources of estimation uncertainty were the same as those that applied in the consolidated financial statements for the year ended 31 December 2024.

2. Alternative Performance Measures ("APMs")

Introduction

The Group has applied the December 2019 European Securities and Markets Authority ("ESMA") guidance on APMs and the November 2017 Financial Reporting Council ("FRC") corporate thematic review of APMs in these results. An APM is a financial measure of historical or future financial performance, position or cash flows of the Group which is not a measure defined or specified under IFRS.

Overview of use of APMs

The Directors believe that APMs assist in providing additional useful information on the underlying trends, performance and position of the Group. APMs assist stakeholder users of the accounts, particularly equity and debt investors, through the comparability of information. APMs are used by the Directors and management, both internally and externally, for performance analysis, strategic planning, reporting and incentive-setting purposes.

APMs are not defined by IFRS and therefore may not be directly comparable with other companies' APMs, including those of peers in the real estate industry. APMs should be considered in addition to, and are not intended to be a substitute for, or superior to, IFRS measurements.

The derivations of our APMs and their purpose

The primary differences between IFRS statutory amounts and the APMs that we use are as follows:

1. Capturing all sources of value creation - Under IFRS, the revaluation movement in development properties which are held in inventory is not included in the balance sheet. Also, overages are not recognised in the balance sheet until they are highly probable. These movements, which are verified by our independent valuers BNP Paribas, JLL, and Savills, are included within our APMs;

2. Re-categorising income statement amounts - Under IFRS, the grouping of amounts, particularly within gross profit and other gains, does not clearly allow Harworth to demonstrate the value created through its business model. In particular, the statutory grouping does not distinguish value gains (being realised profits from the sales of properties and unrealised profits from property value movements) from the ongoing profitability of the business which is less susceptible to movements in the property cycle. Finally, the Group includes profits from joint ventures within its APMs as its joint ventures conduct similar operations to Harworth, albeit in different ownership structures; and

3. Comparability with industry peers - Harworth discloses some APMs which are EPRA measures as these are a set of standard disclosures for the property industry and thus aid comparability for our stakeholder users.

Our key APMs

The key APMs that the Group focuses on are as follows:

· Total Return - The movement in EPRA NDV plus dividends per share paid in the year expressed as a percentage of opening EPRA NDV per share

· EPRA NDV per share - EPRA NDV aims to represent shareholder value under an orderly sale of the business, where deferred tax, financial instruments and certain other adjustments are calculated to the full extent of their liability net of any resulting tax. EPRA NDV per share is EPRA NDV divided by the number of shares in issue at the end of the period, less shares held by the Employee Benefit Trust or Equiniti Share Plan Trustees Limited to satisfy Long Term Incentive Plan and Share Incentive Plan awards

· Value gains - These are the realised profits from the sales of properties and unrealised profits from property value movements including joint ventures and the mark to market movement on development properties, AHFS and overages

· Net loan to portfolio value ("LTV") - Group debt net of cash and cash equivalents held expressed as a percentage of portfolio value

3. Segment information

Segmental Income Statement Unaudited 6 months ended 30 June 2025

	Capital Growth
	Sale of development properties	Other property activities	Income Generation	Central	Total
	£'000	£'000	£'000	£'000	£'000
Revenue ⁽¹⁾	10,850	23,044	13,577	-	47,471
Cost of sales	(17,075)	(21,569)	(3,426)	-	(42,070)
Gross (loss)/profit ⁽²⁾	(6,225)	1,475	10,151	-	5,401
Administrative expenses⁽⁴⁾	-	(3,297)	(896)	(12,878)	(17,071)
Other gains ⁽³⁾	-	12,966	5,844	-	18,810
Other operating expense	-	-	-	(57)	(57)
Operating profit/(loss)	(6,225)	11,144	15,099	(12,935)	7,083
Finance costs	-	-	-	(6,499)	(6,499)
Finance income	-	2,382	97	-	2,479
Share of profit of joint ventures	-	3,623	733	-	4,356
Profit/(loss) before tax	(6,225)	17,149	15,929	(19,434)	7,419

⁽¹⁾ Revenue
Revenue is analysed as follows:
Sale of development properties	10,850	-	-	-	10,850
Revenue from PPAs	-	4,007	-	-	4,007
Development revenues	-	18,393	-	-	18,393
Rent, service charge and royalties revenue	-	636	11,956	-	12,592
Other revenue	-	8	1,621	-	1,629
	10,850	23,044	13,577	-	47,471

⁽²⁾ Gross profit
Gross profit is analysed as follows:
Gross profit excluding sales of development properties	-	1,475	10,151	-	11,626
Gross loss on sale of development properties*	(4,772)	-	-	-	(4,772)
Net realisable value provision on development properties	(4,476)	-	-	-	(4,476)
Reversal of previous net realisable value provision on development properties	2,921	-	-	-	2,921
Release of previous net realisable value provision on disposal of development properties	102	-	-	-	102
	(6,225)	1,475	10,151	-	5,401

*Gross loss on sale of development properties includes a reduction of £0.5m relating to the discounting of deferred consideration receivable.

⁽³⁾ Other gains
Other gains are analysed as follows:
Increase in fair value of investment properties	-	12,449	4,929	-	17,378
Decrease in the fair value of AHFS	-	(4)	(43)	-	(47)
(Loss)/profit on sale of investment properties	-	(225)	949	-	724
(Loss)/profit on sale of AHFS	-	(229)	9	-	(220)
Profit on sale of overages	-	975	-	-	975
	-	12,966	5,844	-	18,810

⁽⁴⁾ Administrative expenses
Administrative expenses are analysed as follows:
Wages and salaries	(3,023)	(542)	(8,511)	(12,076)
Legal and professional	92	(259)	(621)	(788)
Other administrative expenses	(366)	(95)	(3,746)	(4,207)
	(3,297)	(896)	(12,878)	(17,071)

Segmental Balance Sheet As at 30 June 2025

	Capital Growth £'000	Income Generation £'000	Central £'000	Total £'000
Non-current assets
Property, plant and equipment	-	-	5,178	5,178
Right of use assets	-	-	1,330	1,330
Other receivables	26,729	-	-	26,729
Investment properties	344,017	314,837	-	658,854
Investments in joint ventures	7,489	15,172	-	22,661
Retirement benefit asset	-	-	48	48
	378,235	330,009	6,556	714,800
Current assets
Inventories	218,244	262	-	218,506
Trade and other receivables	76,301	11,276	4,218	91,795
AHFS	1,800	16,841	-	18,641
Cash and cash equivalents	-	-	9,798	9,798
Current tax asset	-	-	3,474	3,474
	296,345	28,379	17,490	342,214
Total assets	674,580	358,388	24,046	1,057,014

Financial liabilities and derivative financial instruments are not allocated to the reporting segments as they are managed and measured at a Group level.

Segmental Income Statement Unaudited 6 months ended 30 June 2024

	Capital Growth
	Sale of development properties	Other property activities	Income Generation	Central	Total
	£'000	£'000	£'000	£'000	£'000
Revenue ⁽¹⁾	24,006	7,047	10,253	-	41,306
Cost of sales	(24,080)	(7,474)	(2,556)	-	(34,110)
Gross profit ⁽²⁾	(74)	(427)	7,697	-	7,196
Administrative expenses⁽⁴⁾	-	(3,162)	(1,388)	(12,229)	(16,779)
Other gains ⁽³⁾	-	23,243	7,493	-	30,736
Other operating expense	-	-	-	(44)	(44)
Operating profit/(loss)	(74)	19,654	13,802	(12,273)	21,109
Finance costs	-	(119)	-	(3,495)	(3,614)
Finance income	-	799	-	2	801
Share of loss of joint ventures	-	(707)	1,137	-	430
Profit/(loss) before tax	(74)	19,627	14,939	(15,766)	18,726

⁽¹⁾ Revenue
Revenue is analysed as follows:
Sale of development properties	24,006	-	-	-	24,006
Development revenue	-	6,880	-	-	6,880
Rent, service charge and royalties revenue	-	106	10,188	-	10,294
Other revenue	-	61	65	-	126
	24,006	7,047	10,253	-	41,306

⁽²⁾ Gross profit
Gross profit is analysed as follows:
Gross profit excluding sales of development properties	-	(427)	7,697	-	7,270
Gross loss on sale of development properties*	(801)	-	-	-	(801)
Net realisable value provision on development properties	(4,303)	-	-	-	(4,303)
Reversal of previous net realisable value provision on development properties	4,009	-	-	-	4,009
Release of previous net realisable value provision on disposal of development properties	1,021	-	-	-	1,021
	(74)	(427)	7,697	-	7,196

*Gross profit on sale of development properties includes a reduction of £2.0m relating to the discounting of deferred consideration receivable.

⁽³⁾ Other gains
Other gains are analysed as follows:
Increase in fair value of investment properties	-	19,080	7,608	-	26,688
Decrease in the fair value of AHFS	-	(200)	(16)	-	(216)
Loss on sale of investment properties	-	(33)	-	-	(33)
Profit/(loss) on sale of AHFS	-	204	(99)	-	105
Profit on sale of overages	-	4,192	-	-	4,192
	-	23,243	7,493	-	30,736

⁽⁴⁾ Administrative expenses
Administrative expenses are analysed as follows:
Wages and salaries	-	(2,546)	(507)	(7,161)	(10,214)
Legal and professional	-	(289)	(294)	(1,404)	(1,987)
Other administrative expenses	-	(327)	(587)	(3,664)	(4,578)
	-	(3,162)	(1,388)	(12,229)	(16,779)

Segmental Balance Sheet As at 30 June 2024

	Capital Growth £'000	Income Generation £'000	Central £'000	Total £'000
Non-current assets
Property, plant and equipment	-	-	1,442	1,442
Right of use assets	-	-	463	463
Other receivables	23,046	-	-	23,046
Investment properties	238,385	241,179	-	479,564
Investments in joint ventures	18,318	14,028	-	32,346
Retirement benefit asset	-	-	938	938
	279,749	255,207	2,843	537,799
Current assets
Inventories	264,721	-	-	264,721
Trade and other receivables	31,479	14,678	1,167	47,324
AHFS	3,602	3,889	-	7,491
Cash and cash equivalents	-	-	9,207	9,207
	299,802	18,567	10,374	328,743
Total assets	579,551	273,774	13,217	866,542

Financial liabilities and derivative financial instruments are not allocated to the reporting segments as they are managed and measured at a Group level.

Segmental Income Statement Audited year ended 31 December 2024

	Capital Growth
	Sale of development properties	Other property activities	Income Generation	Central	Total
	£'000	£'000	£'000	£'000	£'000
Revenue ⁽¹⁾	140,253	19,841	21,491	-	181,585
Cost of sales	(126,320)	(19,534)	(4,654)	-	(150,508)
Gross profit ⁽²⁾	13,933	307	16,837	-	31,077
Administrative expenses⁽⁴⁾	-	(6,367)	(1,107)	(25,711)	(33,185)
Other gains ⁽³⁾	-	59,722	18,391	-	78,113
Other operating expense	-	-	-	(1,371)	(1,371)
Operating profit/(loss)	13,933	53,662	34,121	(27,082)	74,634
Finance costs	-	(119)	-	(9,781)	(9,900)
Finance income	-	2,974	125	67	3,166
Share of (loss)/profit of joint ventures	-	(717)	2,204	-	1,487
Profit/(loss) before tax	13,933	55,800	36,450	(36,796)	69,387

⁽¹⁾ Revenue
Revenue is analysed as follows:
Sale of development properties	140,253	-	-	-	140,253
Revenue from PPAs	-	593	-	-	593
Development revenue	-	18,690	-	-	18,690
Rent, service charge and royalties revenue	-	412	21,358	-	21,770
Other revenue	-	146	133	-	279
	140,253	19,841	21,491	-	181,585

⁽²⁾ Gross profit
Gross profit is analysed as follows:
Gross profit excluding sales of development properties	-	307	16,837	-	17,144
Gross profit on sale of development properties*	8,248	-	-	-	8,248
Net realisable value provision on development properties	(5,664)	-	-	-	(5,664)
Release of previous net realisable value provision on development properties	6,950	-	-	-	6,950
Release of previous net realisable value provision on disposal of development properties	4,399	-	-	-	4,399
	13,933	307	16,837	-	31,077

*Gross profit on sale of development properties includes a reduction of £4.3m relating to the discounting of deferred consideration receivable.

⁽³⁾ Other gains/(losses)
Other gains/(losses) are analysed as follows:
Increase in fair value of investment properties	-	43,004	17,813	-	60,817
Decrease in the fair value of AHFS	-	(201)	(165)	-	(366)
Profit on sale of investment properties	-	12,476	826	-	13,302
Profit/(loss) on sale of AHFS	-	97	(83)	-	14
Profit on sale of overages	-	4,346	-	-	4,346
	-	59,722	18,391	-	78,113

⁽⁴⁾ Administrative expenses
Administrative expenses are analysed as follows:
Wages and salaries	-	(5,255)	(902)	(16,398)	(22,555)
Legal and professional	-	(531)	(408)	(3,683)	(4,622)
Other administrative expenses	-	(581)	203	(5,630)	(6,008)
	-	(6,367)	(1,107)	(25,711)	(33,185)

Segmental Balance Sheet As at 31 December 2024

	Capital Growth £'000	Income Generation £'000	Central £'000	Total £'000
Non-current assets
Property, plant and equipment	-	-	1,529	1,529
Right of use assets	-	-	1,443	1,443
Other receivables	25,638	-	-	25,638
Investment properties	281,635	303,854	-	585,489
Investments in joint ventures	18,935	14,618	-	33,553
	326,208	318,472	2,972	647,652
Current assets
Inventories	205,985	-	-	205,985
Trade and other receivables	61,404	10,948	228	72,580
AHFS	2,450	6,460	-	8,910
Cash	-	-	117,382	117,382
	269,839	17,408	117,610	404,857
Total assets	596,047	335,880	120,582	1,052,509

Financial liabilities and derivative financial instruments are not allocated to the reporting segments as they are managed and measured at a Group level.

4. Finance costs and finance income

	Unaudited 6 months ended 30 June 2025 £'000	Unaudited 6 months ended 30 June 2024 £'000	Audited year ended 31 December 2024 £'000
Finance costs
- Bank interest	(4,564)	(1,208)	(6,201)
- Facility fees	(475)	(715)	(1,235)
- Amortisation of up-front fees	(232)	(383)	(727)
- Other interest	(1,228)	(1,308)	(1,737)
Total finance cost	(6,499)	(3,614)	(9,900)
Finance income
- Bank interest	141	94	810
- Unwind of discounting on deferred consideration	2,338	707	2,356
Total finance income	2,479	801	3,166
Net finance costs	(4,020)	(2,813)	(6,734)

5. Tax

The Group calculates the period tax expense using the tax rate that would be applicable to the expected total annual earnings. The major components of tax expense in the interim condensed consolidated statement of profit or loss are:

	Unaudited 6 months ended 30 June 2025 £'000	Unaudited 6 months ended 30 June 2024 £'000	Audited year ended 31 December 2024 £'000
Current tax
Current year/period	-	-	(7,931)
Adjustment in respect of prior periods	-	-	1,925
Total current tax charge	-	-	(6,006)
Deferred tax
Current year/period	-	-	(5,807)
Adjustment in respect of prior periods	-	-	(337)
Deferred tax credit/(charge) relating to origination and reversal of temporary differences	2,273	(3,942)	-
Total deferred tax credit/(charge)	2,273	(3,942)	(6,144)
Tax charge recognised in income statement	2,273	(3,942)	(12,150)

The tax credit is driven by lower profit on sale of development property combined with lower valuation gains.

6. Dividends

	Unaudited 6 months ended 30 June 2025 £'000	Unaudited 6 months ended 30 June 2024 £'000	Audited year ended 31 December 2024 £'000
Full year dividend of 1.022p per share for the year ended 31 December 2023	-	3,311	3,310
Interim dividend of 0.489p per share for the year ended 31 December 2024	-	-	1,589
Full year dividend of 1.125p per share for the year ended 31 December 2024	3,654	-	-
	3,654	3,311	4,899

The Board has determined that it is appropriate for an interim dividend for the year ending 31 December 2025 to be paid of 0.538p (H1 2024: 0.489p) per share, an increase of 10% in line with the Group's policy.

There is no change to the current dividend policy to continue to grow dividends by 10% each year.

7. Earnings per share

Earnings per share have been calculated by dividing the profit attributable to ordinary shareholders by the weighted average number of shares in issue and ranking for dividend during the period/year.

	Unaudited 6 months ended 30 June 2025 £'000	Unaudited 6 months ended 30 June 2024 £'000	Audited year ended 31 December 2024 £'000
Profit from continuing operations attributable to owners of the Company (£'000)	9,692	14,784	57,237
Weighted average number of shares used for basic earnings per share calculation	323,893,262	323,369,861	323,497,275
Basic earnings per share (pence)	3.0	4.6	17.7
Weighted average number of shares used for diluted earnings per share calculation	333,524,686	330,745,233	331,274,223
Diluted earnings per share (pence)	2.9	4.5	17.3

The difference between the weighted average number of shares used for the basic and diluted earnings per share calculation is due to the effect of share options that are dilutive.

8. Investment properties

The Group holds five categories of investment property being Agricultural Land, Natural Resources, the Investment Portfolio, Major Developments and Strategic Land in the UK, which sit within the operating segments of Income Generation and Capital Growth.

	Income Generation			Capital Growth
	Agricultural Land £'000	Natural Resources £'000	Investment Portfolio £'000	Major Developments £'000	Strategic Land £'000	Total £'000
At 1 January 2024 (audited)	6,510	19,901	208,315	58,340	140,876	433,942
Direct acquisitions	-	-	-	-	2,649	2,649
Subsequent expenditure	-	559	452	16,768	673	18,452
Disposals	-	-	-	-	-	-
Increase/(decrease) in fair value	364	170	7,075	(3,023)	22,102	26,688
Transfers between divisions	-	(1,285)	1,285	1,860	(1,860)	-
Transfer to assets held for sale	-	(2,167)	-	-	-	(2,167)
At 30 June 2024 (unaudited)	6,874	17,178	217,127	73,945	164,440	479,564
Direct acquisitions	-	-	44,833	30,494	12,813	88,140
Subsequent expenditure	36	64	1,042	24,965	2,438	28,545
Disposals	- -	- -	(648)	- -	(40,022)	(40,670)
(Decrease)/increase in fair value	(642)	519	10,327	6,679	17,247	34,130
Transfers between divisions	-	-	9,864	(9,979)	115	-
Transfer to assets held for sale	-	-	(2,720)	-	(1,500)	(4,220)
At 31 December 2024 (audited)	6,268	17,761	279,825	126,104	155,531	585,489
Direct acquisitions	-	-	-	36,904	1,599	38,503
Subsequent expenditure	25	94	565	25,011	7,030	32,725
Disposals	-	(824)	-	-	(310)	(1,134)
Increase in fair value	236	600	4,094	2,159	10,289	17,378
Transfers between divisions	-	-	19,449	(19,449)	-	-
Transfers from development properties	-	-	155	-	-	155
Transfer to assets held for sale	-	-	(13,412)	-	(850)	(14,262)
At 30 June 2025 (unaudited)	6,529	17,631	290,676	170,729	173,289	658,854

Valuation process

The Directors' valuation as at 30 June 2025 was based on a desktop valuation completed by BNP Paribas Real Estate (BNP Paribas), Jones Lang LaSalle (JLL) and Savills on the portfolio of properties. BNP Paribas, JLL and Savills are independent firms acting in the capacity of external valuers with relevant experience of valuations of this nature.

9. Investment in joint ventures

	Unaudited As at 30 June 2025 £'000	Unaudited As at 30 June 2024 £'000	Audited As at 31 December 2024 £'000
At 1 January	33,553	30,722	30,722
Investments in joint ventures	1,010	2,422	3,048
Distributions from joint ventures	(179)	(1,228)	(1,704)
Share of profits of joint ventures	4,356	430	1,487
Derecognition on acquisition of group of assets	(16,079)	-	-
At end of period/year	22,661	32,346	33,553

Summary of acquisition in stages of group of assets

On 25 March 2025, Harworth Group acquired the remaining 50% interest in The Aire Valley LLP ("AVL LLP") for consideration of £20.0m. The Group had previously acquired a 50% interest in AVL LLP from Keyland Developments Limited on 14 March 2016, at which point the Group entered into a joint venture agreement with Evans Management Limited. As at 30 June 2024 and 31 December 2024, the Group's interest in AVL LLP was recognised as an investment in joint venture following the equity method of accounting under IAS 28.

The acquisition was not treated as the acquisition of a business, as AVL LLP held only assets and liabilities and there were no activities or operational processes acquired. Accordingly, no goodwill or deferred taxation arose. The identifiable assets and liabilities acquired were recorded at acquisition cost with subsequent measurement to their fair values where appropriate on the acquisition date.

		£000
Investment properties		31,900
Current assets		280
Current liabilities		(25)
Net Assets acquired in stages		32,155

The fair value of investment property was determined in line with the Group's policy and processes for the valuation of investment property.

As an acquisition of assets achieved in stages, the total consideration includes the derecognition of the Group's previous interest in AVL LLP.

		£000
Carrying value of previously held interest in ADV LLP as at 1 January 2025		12,079
Share of profits in joint ventures prior to full acquisition driven by fair value uplift		4,000
Cash consideration and fees		21,079
Total consideration of acquisition achieved in stages		37,158

Fees of £1.1m were incurred as part of the acquisition and are reflected in the table above. Due to minimal activity within Aire Valley LLP during the period from acquisition on 25 March 2025 to 30 June 2025, the post-acquisition impact on the Group's consolidated results was negligible.

The acquisition related cash outflows were as follows:

		Unaudited As at 30 June 2025 £'000
Cash consideration paid		20,000
Cash outflow - acquisition related costs		1,079
Cash outflow of acquisitions		21,079

Analysis of impact of Group interests in AVL LLP on Group profit before tax during H1 2025

		Unaudited 6 months ended 30 June 2025 £'000
Share of profits in joint ventures prior to full acquisition driven by fair value uplift		4,000
Fair value loss recognised on investment property at acquisition:		(5,003)
Overall impact on profit before tax		(1,003)

10. Inventories

	Unaudited As at 30 June 2025 £'000	Unaudited As at 30 June 2024 £'000	Audited As at 31 December 2024 £'000
Development properties	202,012	250,548	190,888
Planning promotion agreements	4,049	4,354	4,655
Option agreements	12,183	9,819	10,442
Biodiversity Net Gain units*	262	-	-
At end of period	218,506	264,721	205,985

*Inventory of biodiversity units registered on the national biodiversity gain sites register in line with the mandatory Biodiversity Net Gain requirements per Schedule 7A of the Town and Country Planning Act 1990 (as inserted by Schedule 14 of the Environment Act 2021).

The movement in development properties is as follows:

	Unaudited 6 months ended 30 June 2025 £'000	Unaudited 6 months ended 30 June 2024 £'000	Audited year ended 31 December 2024 £'000
At start of period	190,888	250,024	250,024
Acquisitions	1,255	-	1,419
Subsequent expenditure	18,550	13,639	38,919
Disposals	(6,286)	(13,842)	(105,159)
Net realisable value provision release / (charge)	(1,453)	727	5,685
Transfer to fixed assets	(787)	-	-
Transfer to investment properties	(155)	-	-
Total development properties	202,012	250,548	190,888

The movement in net realisable value provision was as follows:

	Unaudited 6 months ended 30 June 2025 £'000	Unaudited 6 months ended 30 June 2024 £'000	Audited year ended 31 December 2024 £'000
At start of period	8,451	14,136	14,136
Charge for the period	4,476	4,303	5,664
Reversal of previous net realisable value provision	(2,921)	(4,009)	(6,950)
Released on disposals	(102)	(1,021)	(4,399)
At end of period	9,904	13,409	8,451

11. Assets held for sale

AHFS relate to investment properties identified as being for sale within 12 months, where a sale is considered highly probable and the property is immediately available for sale.

	Unaudited As at 30 June 2025 £'000	Unaudited As at 30 June 2024 £'000	Audited As at 31 December 2024 £'000
At start of period	8,910	18,752	18,752
Net transfer from investment properties	14,262	2,167	6,387
Subsequent expenditure	11	39	163
Decrease in fair value	(47)	(216)	(366)
Disposals	(4,495)	(13,251)	(16,026)
At end of period	18,641	7,491	8,910

12. Cash

Unaudited
As at
30 June
2025
£'000

Unaudited

As at

30 June

2024

£'000

Audited

As at

31 December 2024
£'000

Cash

9,798

9,207

117,382

13. Borrowings

	Unaudited As at 30 June 2025 £'000	Unaudited As at 30 June 2024 £'000	Audited As at 31 December 2024 £'000
Current:
Secured - infrastructure and direct development loans	-	(35,708)	-
	-	(35,708)	-
Non-current:
Secured - bank loan	(189,164)	(53,983)	(164,125)
Total non-current borrowings	(189,164)	(53,983)	(164,125)
Total borrowings	(189,164)	(89,691)	(164,125)

Loans are stated after deduction of unamortised fees of £0.8m (June 2024: £1.2m, December 2024: £0.9m).

		Unaudited As at 30 June 2025 £'000	Unaudited As at 30 June 2024 £'000	Audited As at 31 December 2024 £'000
Infrastructure and direct development loans
South Yorkshire Pension Fund/ Scrudf Limited Partnership	Rotherham AMP	-	(7,412)	-
Scrudf Limited Partnership	Gateway 36	-	(6,279)	-
Merseyside Pension Fund	Bardon Hill	-	(22,017)	-
Total infrastructure and direct development loans		-	(35,708)	-
Bank loan		(189,164)	(53,983)	(164,125)
Total borrowings		(189,163)	(89,691)	(164,125)

The Group's Revolving Credit Facility (RCF) was increased to £240 million (H1 2024: £200 million) in December 2024 through activation of an accordion option. The facility is provided by Natwest, Santander and HSBC. The RCF is repayable in February 2027 (five-year term) on a non-amortising basis.

The RCF is subject to financial and other covenants. The bank borrowings are secured by way of a floating debenture over assets not otherwise used as security under specific infrastructure or direct development loans. Proceeds from and repayments of bank loans are reflected gross in the Consolidated Statement of Cash Flows and reflect timing of utilisation of the RCF.

Infrastructure and direct development loans are provided by public and private bodies in order to promote the development of major sites or assist with vertical direct development. The loans are drawn as work on the respective sites is progressed and they are repaid on agreed dates or when disposals are made from the sites.

14. Share capital

Issued, authorised and fully paid	Unaudited As at 30 June 2025 £'000	Unaudited As at 30 June 2024 £'000	Audited As at 31 December 2024 £'000
At start of period/year	32,495	32,408	32,408
Shares issued	80	78	87
At end of period/year	32,575	32,486	32,495

Issued, authorised and fully paid - number of shares	Unaudited As at 30 June 2025	Unaudited As at 30 June 2024	Audited As at 31 December 2024
At start of period/year	324,955,414	324,084,072	324,084,072
Shares issued	801,359	783,677	871,342
At end of period/year	325,756,773	324,867,749	324,955,414
Own shares held	(1,652,224)	(1,275,281)	(1,314,562)
At end of period/year	324,104,549	323,592,468	323,640,852

There is only one class of share in issue: ordinary shares of 10 pence each. All shares carry equal rights to dividends, voting and return of capital on a winding up of the Company, as set out in the Company's Articles of Association.

15. Related party transactions

The Group carried out the following transactions with related parties. The following entities are related parties as a consequence of shareholdings, joint venture arrangements and partners of such and/or common Directorships. All related party transactions are clearly justified and beneficial to the Group, are undertaken on an arm's-length basis on fully commercial terms and in the normal course of business.

	Unaudited 6 months ended/as at 30 June 2025 £000	Unaudited 6 months ended/as at 30 June 2024 £000	Audited year ended/ as at 31 December 2024 £000
MULTIPLY LOGISTICS NORTH HOLDINGS LIMITED & MULTIPLY LOGISTICS NORTH LP
Sales
Recharges of costs	-	-	176
Asset management fee	56	52	107
Water charges	80	66	132

Purchases
Recharge of costs	-	3	3

Receivables
Trade receivables	49	38	39

Payables
Other payables	(66)	(68)	(66)
CRIMEA LAND MANSFIELD LLP
Investment made during the year	100	25	25
NORTHERN GATEWAY DEVELOPMENT VEHICLE LLP
Purchases
Recharge of costs	-	5	5
Investment made during the year	835	2,497	3,023
INVESTMENT PROPERTY FORUM

Purchases	-	1	3
BRITISH PROPERTY FEDERATION

Purchases	-	1	20

On 25 March 2025, the Group acquired the remaining interest of Harworth Gateway 45 LLP (formerly The Aire Valley Land LLP) for £20.0m. The joint venture now represents as a wholly owned subsidiary of the Group, Harworth Gateway 45 LLP is no longer subject to related party disclosure requirements.

16. Post balance sheet events

There are no post balance sheet events to disclose that have not been disclosed publicly by a regulatory news announcement.

Appendix

EPRA Net Asset Measures

EPRA introduced its current set of Net Asset Value metrics in 2020: EPRA Net Reinstatement Value ("NRV"), EPRA Net Tangible Assets ("NTA") and EPRA NDV. While the Group uses only EPRA NDV as a key APM, the EPRA Best Practices Recommendations guidelines require companies to report all three EPRA NAV metrics and reconcile them to IFRS. These disclosures are provided below.

			30 June 2025
	EPRA NDV	EPRA NTA		EPRA NRV
	£'000	£'000		£'000
Net assets	698,286	698,286		698,286
Cumulative unrealised gains on development properties	30,391	30,391		30,391
Cumulative unrealised gains on overages	5,250	5,250		5,250
Deferred tax liabilities (IFRS)	-	33,297		33,297
Notional deferred tax on unrealised gains	(8,882)	-		-
Deferred tax liabilities @ 50%	-	(21,090)		-
Purchaser costs	-	-		64,561
	725,045	746,134		831,785
Number of shares used for per share calculations	324,104,549	324,104,549		324,104,549
Per share (pence)	223.7	230.2		256.6

		30 June 2024
	EPRA NDV		EPRA NTA	EPRA NRV
	£'000		£'000	£'000
Net assets	649,992		649,992	649,992
Cumulative unrealised gains on development properties	43,947		43,947	43,947
Cumulative unrealised gains on overages	5,400		5,400	5,400
Deferred tax liabilities (IFRS)	-		30,089	30,089
Notional deferred tax on unrealised gains	(12,309)		-	-
Deferred tax liabilities @ 50%	-		(21,199)	-
Purchaser costs	-		-	59,019
	687,030		708,229	788,447
Number of shares used for per share calculations	323,592,468		323,592,468	323,592,468
Per share (pence)	212.3		218.9	243.7

		31 December 2024
	EPRA NDV		EPRA NTA	EPRA NRV
	£'000		£'000	£'000
Net assets	691,665		691,665	691,665
Cumulative unrealised gains on development properties	31,026		31,026	31,026
Cumulative unrealised gains on overages	6,100		6,100	6,100
Deferred tax liabilities (IFRS)	-		35,853	35,853
Notional deferred tax on unrealised gains	(9,253)		-	-
Deferred tax liabilities @ 50%	-		(22,553)	-
Purchaser costs	-		-	58,616
	719,538		742,091	823,260
Number of shares used for per share calculations	323,640,852		323,640,852	323,640,852
Per share (pence)	222.3		229.3	254.4

1) Reconciliation to statutory measures

a. Revaluation gains/(losses)	Unaudited 6 months ended 30 June 2025 £'000	Unaudited 6 months ended 30 June 2024 £'000	Audited year ended 31 December 2024 £'000
Increase in fair value of investment properties	17,378	26,688	60,817
Decrease in fair value of AHFS	(47)	(216)	(366)
Share of profit of joint ventures	4,356	430	1,487
Net realisable value provision on development properties	(4,476)	(4,303)	(5,664)
Reversal of previous net realisable value provision on development properties	2,921	4,009	6,950
Amounts derived from statutory reporting	20,132	26,608	63,224
Unrealised gains on development properties	1,462	19,948	21,874
Unrealised gains on overages	150	19	854
Revaluation gains	21,744	46,575	85,952


b. Profit/(loss) on sale	Unaudited 6 months ended 30 June 2025 £'000	Unaudited 6 months ended 30 June 2024 £'000	Audited year ended 31 December 2024 £'000
Profit/(loss) on sale of investment properties	724	(33)	13,302
(Loss)/profit on sale of AHFS	(220)	105	14
(Loss)/profit on sale of development properties	(4,772)	(801)	8,249
Release of net realisable value provision on disposal of development properties	102	1,021	4,399
Profit on sale of overages	975	4,192	4,346
Amounts derived from statutory reporting	(3,191)	4,484	30,310
Less previously unrealised gains on development properties released on sale	(2,096)	(83)	(14,932)
Less previously unrealised gains on overages	(1,000)	(4,019)	(4,154)
Profit/(loss) on sale contributing to growth in EPRA NDV	(6,287)	382	11,224


c. Value gains/(losses)	Unaudited 6 months ended 30 June 2025 £'000	Unaudited 6 months ended 30 June 2024 £'000	Audited year ended 31 December 2024 £'000
Revaluation gains	21,744	46,575	85,952
(Loss)/profit on sale	(6,287)	382	11,224
Value gains	15,457	46,957	97,176

d. Total property sales	Unaudited 6 months ended 30 June 2025 £'000	Unaudited 6 months ended 30 June 2024 £'000	Audited year ended 31 December 2024 £'000
Revenue	47,471	41,306	181,585
Less revenue from other property activities	(23,044)	(7,047)	(19,841)
Less revenue from income generation activities	(13,577)	(10,253)	(21,491)
Add proceeds from sales of investment properties, AHFS and overages	8,019	17,700	75,541
Total property sales	18,869	41,706	215,794


e. Operating profit contributing to growth in EPRA NDV	Unaudited 6 months ended 30 June 2025 £'000	Unaudited 6 months ended 30 June 2024 £'000	Audited year ended 31 December 2024 £'000
Operating profit	7,083	21,109	74,634
Share of profit on joint ventures	4,356	430	1,487
Unrealised gains on development properties	1,462	19,948	21,874
Unrealised gains on overages	150	19	854
Less previously unrealised gains on development properties released on sale	(2,096)	(83)	(14,932)
Less previously unrealised gains on overages released on sale	(1,000)	(4,019)	(4,154)
Operating profit contributing to growth in EPRA NDV	9,955	37,404	79,763


f. Portfolio value	Unaudited As at 30 June 2025 £'000	Unaudited As at 30 June 2024 £'000	Audited As at 31 December 2024 £'000
Land and buildings (included within Property, plant and equipment)	4,662	1,114	1,188
Investment properties	658,854	479,564	585,489
Investments in joint ventures	22,661	32,346	33,553
AHFS	18,641	7,491	8,910
Development properties (included within inventories)	202,012	250,548	190,888
Amounts recoverable on contracts (included within receivables)	1,729	1,456	1,604
Amounts derived from statutory reporting	908,559	772,519	821,632
Cumulative unrealised gains on development properties as at period/year end	30,391	43,947	31,026
Cumulative unrealised gains on overages as at period/year end	5,250	5,400	6,100
Portfolio value	944,200	821,866	858,758

g. Net debt	Unaudited As at 30 June 2025 £'000		Unaudited As at 30 June 2024 £'000		Audited As at 31 December 2024 £'000
Gross borrowings	(189,164)		(89,691)		(164,125)
Cash and cash equivalents	9,798		9,207		117,382
Net debt	(179,366)		(80,484)		(46,743)


h. Net loan to portfolio value (%)		Unaudited As at 30 June 2025 £'000		Unaudited As at 30 June 2024 £'000		Audited As at 31 December 2024 £'000
Net debt		(179,366)		(80,484)		(46,743)
Portfolio value		944,200		821,866		858,758
Net loan to portfolio value (%)		19.0%		9.8%		5.4%

i. Net loan to core income generation portfolio value (%)	Unaudited As at 30 June 2025 £'000	Unaudited As at 30 June 2024 £'000	Audited As at 31 December 2024 £'000
Net debt	(179,366)	(80,484)	(46,743)
Core income generation portfolio value (investment portfolio and natural resources excluding AHFS)	308,307	234,305	297,587
Net loan to core income generation portfolio value (%)	58.2%	34.4%	15.7%
	645

j. Gross loan to portfolio value (%)	Unaudited As at 30 June 2025 £'000	Unaudited As at 30 June 2024 £'000	Audited As at 31 December 2024 £'000
Gross borrowings	(189,164)	(89,691)	(164,125)
Portfolio value	944,200	821,866	858,758
Gross loan to portfolio value (%)	20.0%	10.9%	19.1%


k. Gross loan to core income generation portfolio value (%)	Unaudited As at 30 June 2025 £'000	Unaudited As at 30 June 2024 £'000	Audited As at 31 December 2024 £'000
Gross borrowings	(189,164)	(89,691)	(164,125)
Core income generation portfolio value (investment portfolio and natural resources	308,307	234,305	297,587
Gross loan to core income generation portfolio value (%)	61.4%	38.3%	55.2%



l. Number of shares used for per share calculations (number)	Unaudited As at 30 June 2025 £'000	Unaudited As at 30 June 2024 £'000	Audited As at 31 December 2024 £'000
Number of shares in issue at end of period/year	325,756,773	324,867,749	324,955,414
Less Employee Benefit Trust and Equiniti Share Plan Trustees Limited held shares (own shares) at end of period/year	(1,652,224)	(1,275,281)	(1,314,562)
Number of shares used for per share calculations	324,104,549	323,592,468	323,640,852

m. Net Asset Value (NAV) per share	Unaudited As at 30 June 2025 £'000	Unaudited As at 30 June 2024 £'000	Audited As at 31 December 2024 £'000
NAV (£'000)	698,286	649,992	691,665
Number of shares used for per share calculations	324,104,549	323,592,468	323,640,852
NAV per share (p)	215.5	200.9	213.7

n. Underlying revenue	Unaudited 6 months ended 30 June 2025 £'000	Unaudited 6 months ended 30 June 2024 £'000	Audited year ended 31 December 2024 £'000
Total property sales	18,869	41,706	215,794
Income generation portfolio revenue (Investment Portfolio, Natural Resources and Agriculture)	13,576	10,253	21,491
Development revenues	18,393	6,880	18,690
Other revenue	4,652	167	1,151
Total underlying revenue	55,490	59,006	257,126
Less proceeds from sale of investment properties, AHFS and overages	(8,019)	(17,700)	(75,541)
Statutory revenue	47,471	41,306	181,585

2) Reconciliation to EPRA measures

a) EPRA NDV	Unaudited As at 30 June 2025 £'000	Unaudited As at 30 June 2024 £'000	Audited As at 31 December 2024 £'000
Net assets	698,286	649,992	691,665
Cumulative unrealised gains on development properties	30,391	43,947	31,026
Cumulative unrealised gains on overages	5,250	5,400	6,100
Notional deferred tax on unrealised gains	(8,882)	(12,309)	(9,253)
EPRA NDV	725,045	687,030	719,538

b) EPRA NDV per share (p)

Unaudited
As at
30 June
2025
£'000

Unaudited

As at

30 June

2024

£'000

Audited

As at

31 December

2024
£'000

EPRA NDV £'000

725,045

687,030

719,538

Number of shares used for per share calculations

324,104,549

323,592,468

323,640,852

EPRA NDV per share (p)

223.7

212.3

222.3

EPRA NDV growth and total return
Opening EPRA NDV/share (p)	222.3	205.1	205.1
Closing EPRA NDV/share (p)	223.7	212.3	222.3
Movement in the period/year (p)	1.4	7.2	17.2
EPRA NDV growth	0.6%	3.5%	8.4%
Dividends paid per share (p)	1.1	1.0	1.5
Total return per share (p)	2.5	8.2	18.7
Total return as a percentage of opening EPRA NDV	1.1%	4.0%	9.1%

To help retain and incentivise a management team with the requisite skills, knowledge and experience to deliver strong, long-term, sustainable growth for shareholders, Harworth runs a number of share schemes for employees. The dilutive impact of these on the number of shares at 30 June is set out below:

	Unaudited As at 30 June 2025	Unaudited As at 30 June 2024	Audited As at 31 December 2024
Number of shares used for per share calculations	324,104,549	323,592,468	323,640,852
Outstanding share options and shares held in trust under employee share schemes	9,308,007	6,998,372	7,135,161
Number of diluted shares used for diluted per share calculations	333,412,556	330,590,840	330,776,013

c) Diluted EPRA NDV per share (p)	Unaudited As at 30 June 2025 £'000	Unaudited As at 30 June 2024 £'000	Audited As at 31 December 2024 £'000
EPRA NDV £'000	725,045	687,030	719,538
Number of diluted shares used for diluted per share calculations	333,412,556	330,590,840	330,776,013
Diluted EPRA NDV per share (p)	217.5	207.8	217.5

Diluted EPRA NDV growth and total return
Opening EPRA NDV/share (p)	217.5	201.9	201.9
Closing EPRA NDV/share (p)	217.5	207.8	217.5
Movement in the period/year (p)	-	5.9	15.6
Diluted EPRA NDV growth	0.0%	2.9%	7.7%
Dividends paid per share (p)	1.1	1.0	1.5
Total return per share (p)	1.1	6.9	17.1
Total return as a percentage of opening diluted EPRA NDV	0.5%	3.4%	8.5%

d) Net loan to EPRA NDV

Unaudited
As at
30 June
2025
£'000

Unaudited

As at

30 June

2024

£'000

Audited

As at

31 December

2024
£'000

Net debt

(179,366)

(80,484)

(46,743)

EPRA NDV

725,045

687,030

719,538

Net loan to EPRA NDV

24.7%

11.7%

6.5%

[1] Total Accounting Return is the movement in EPRA NDV plus dividends per share paid in the period expressed as a percentage of opening EPRA NDV per share

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END

IR SFUESIEISEDU

TIDM	HWG
Share Price	176.80p-0.11%
Market Cap	£578.06m

TIDM	HWG
Share Price	176.80p-0.11%
Market Cap	£578.06m

t

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Results for the six months ended 30 June 2025

Date	16 Sept 2025
Time	07:00:14
Category	Results
ID	4229Z

Date	16 Sept 2025
Time	07:00:14
Category	Results
ID	4229Z