Peach Property Group (PEAN) investor relations material

Executive summary

• Completed phase one of recovery and balance sheet transformation in 2025, focusing on operational stabilization and portfolio quality.

• Achieved significant deleveraging through asset sales, reducing LTV from 60% (YE2023) to 49% (YE2025), with a target below 45% by 2028.

• Governance and management stabilized, with a new board and improved operational processes.

• Strategic focus on affordable residential properties in German B-cities, especially North Rhine-Westphalia, with portfolio consolidation and reinvestment in core regions.

• All maturing debts settled or refinanced, including convertible bond and Eurobond repayments, and new credit facilities secured.

Financial highlights

• FFO for 2025 reached EUR 17.7 million, at the upper end of guidance, with stable performance despite asset sales and restructuring.

• Net rental income in the Strategic Portfolio rose 4.5% year-over-year to EUR 82.8 million; total portfolio net rental income reached EUR 108 million.

• Portfolio market value increased to EUR 1.93 billion (+1.8% YoY), with a rental yield of 5.4% and a multiple of 16.3x on target rent.

• LTV reduced to 49.2% (from 50.0% in 2024), and WACD increased to 3.9% (from 2.9%).

• Result before taxes improved significantly to EUR -47.2 million from EUR -176.9 million in 2024.

Outlook and guidance

• For 2026, FFO guidance is EUR 17–19 million, with like-for-like net rental income growth of around 6% in the Strategic Portfolio.

• Targeting 60,000 units by 2028, focused in North Rhine-Westphalia, with net cold rent expected to exceed EUR 7 per sqm/month and annual rent growth of 3.5–4%.

• Vacancy targeted below 3%; LTV goal set at 45%; NOI margin of 80% and EBITDA margin of 60–65% by 2028.

• Debt-to-EBITDA multiple targeted at 12x by 2028; FFO guidance EUR 30–32 million mid-term.

• Continued disposal of Non-Strategic Portfolio, with proceeds used for targeted investments and deleveraging.