Scentre Group Operating Update

Scentre Group (ASX: SCG) today announced an operating update.

Westfield destinations

Scentre Group Chief Executive Officer Elliott Rusanow said: “From the beginning of the year to 1 November 2026, the Group welcomed 452 million customer visitations to its Westfield destinations, an increase of 3.2% or 14 million on the prior comparable period.

“Customer visitation over the past 12 months was 554 million, an increase of 17 million or 3.1%.

“Total annual business partner sales across the portfolio to 30 September 2026 were $30.5 billion, up $1 billion compared to the same period in 2025.

“For the three months ended 30 September 2026, the Group’s business partners achieved total growth in sales of 3.5% with specialty store sales up 4.6%.

“We continue to see strong demand for space in our destinations with occupancy of 99.8% which is at its highest level in more than a decade. We have achieved average specialty rent escalations of 5.6% in the 9 months to 30 September 2026 and completed 2,085 leasing deals, achieving average specialty releasing spreads of +3.7%.

“Westfield membership grew 10.8% to 5.4 million, as a result of increased engagement through unique member benefits and experiences.”

Works progressed on the $240 million (SCG share $240 million) redevelopment of Westfield Bondi in Sydney, to further strengthen its position as a preeminent destination. The elevated dining, entertainment and lifestyle precinct on Level 6 will be anchored by an upgraded Event Cinemas and a new Kingpin entertainment offer which will open to the community in December. The remainder of the development including unique dining experiences will open progressively from 2027.

The $30 million (SCG share $15 million) redevelopment to expand the entertainment and lifestyle precinct and HOYTS Cinemas complex at Westfield Penrith in Sydney continued to progress. It is fully leased and will open progressively from Q2 2027.

The Group’s $20 million (SCG share $20 million) redevelopment at Westfield Tuggerah on the NSW Central Coast is repurposing the former David Jones space to introduce in demand retailers. JD Sports and rebel are now open, with visitation up 6.2% on the prior comparable period in the eight weeks since opening. TimeZone will open in Q2 2027.

David Jones

Scentre Group notes recent media reports regarding David Jones and its owner Anchorage Capital Partners.

David Jones occupies space at 17 Westfield destinations, representing approximately 200,000 square metres.

The gross rent from these David Jones stores in calendar year 2026 is $45 million (SCG share). This gross rent represents $352 per square metre compared to the portfolio’s average gross rent for all stores of $942 per square metre.

Gross rent from these stores represents approximately 1.8% of the Group’s gross rent and approximately 3.6% of the Group’s Funds From Operations (FFO) on an annualised basis.

David Jones has provided $45 million in bank guarantees for its stores across the Westfield Australia/New Zealand portfolio, of which the Group’s share is approximately $30 million, equivalent to 8 months gross rent. These guarantees can be applied against any unpaid rent. These bank guarantees were put in place as a condition of the Group’s approval of Anchorage Capital Partners’ acquisition of David Jones in 2023.

David Jones paid all rent up to 30 September 2026.

Strategic land holdings

At Westfield Eastgardens in Sydney, the Group’s expression of interest has been accepted for progression as a State Significant Development through the NSW Housing Delivery Authority. This proposal has the potential to deliver up to 1,300 dwellings.

The Group continues to progress its planning proposals across the portfolio’s strategic land holdings.

Capital management

The Group continues to execute its capital management strategy.

In late September, the Group settled the divestment of a 50.0% interest in Westfield Mt Gravatt, Brisbane to joint venture partner Australian Retirement Trust (ART) for $882.5 million.

In October, the Group issued US$750 million (A$1,079 million) of 10-year guaranteed senior notes. The principal and interest payment obligations on the notes have been swapped to a floating rate A$ liability to reflect a margin of 141 basis points over 3-month BBSW.

Outlook

Subject to no material change in conditions, the Group reaffirms its target for FFO of at least 23.79 cents per security for 2026, representing at least 4.25% growth for the year.

Distributions are expected to grow by 4.25% for 2026 to 18.473 cents per security.

Authorised by the Chief Executive Officer.