Deutsche EuroShop (DEQ) investor relations material

Executive summary

• Retail turnover increased by 2.2% year-over-year despite a 0.4% decline in footfall, with subdued Q1 offset by stronger Q2 and Q3 performance.

• Revenues declined by 0.4% to €270.4 million, EBIT fell 0.9% to €214.4 million, and FFO dropped 9.2% to €147.6 million, mainly due to higher incentives, lower ancillary revenues, and increased financing costs.

• Consolidated profit surged 74% to €215.1 million, driven by property valuation gains and lower taxes.

• Major investments at Main-Taunus-Zentrum and Rhein-Neckar-Zentrum, including new gastronomy and entertainment offerings, were completed on time and within budget, boosting footfall and tenant mix.

• Dividend of €2.65 per share paid in 2025; proposal for €1.00 per share for 2026.

Financial highlights

• Revenue: €270.4 million (-0.4% YoY); EBIT: €214.4 million (-0.9% YoY); FFO: €147.6 million (-9.2% YoY).

• Consolidated net result increased 74.2% to €215.1 million, mainly due to higher property valuation gains and lower taxes.

• Earnings per share rose from €1.62 to €2.84.

• EPRA NTA per share decreased 2% to €28.45, reflecting a 29% discount to share price.

• Total assets increased to €4.6 billion, up €239.4 million YoY; equity ratio at 47.1%; cash and equivalents at €387.4 million (+82.4% YoY).

Outlook and guidance

• For FY2026, revenue expected between €269–277 million, EBIT €211–219 million, EBT (excl. valuation) €134–142 million, and FFO €134–142 million (€1.77–1.87 per share).

• Slight upward trend anticipated in revenue and EBIT; slight decline in EBT (excl. valuation) and FFO due to higher interest expenses.

• CapEx requirements to remain elevated, around €40 million ± €10 million.

• Dividend proposal of €1.00 per share for 2026.