Covivio (COV) Q3 2025 earnings summary

Executive summary

• Revenue grew by 4.8% at current scope and 3.5% like-for-like over nine months, reaching €797.8 million (100% share) and €533 million (Group share), driven by strong performance in offices, German residential, and hotels.

• European real estate markets remain resilient, with investment volumes up across offices (+18%), hotels (+37%), and German residential (+7%), and a comeback of large deals expected.

• Active asset management, including office-to-hotel conversions and major refurbishments, is fueling future growth.

• Office take-up stabilized, with high occupancy rates and a reversal in remote working trends.

• German residential segment saw year-on-year increases in prices (+3%) and rents (+5% in Berlin), with strong rental reversion on re-lettings.

Financial highlights

• Group share revenue for nine months reached €533 million, up 4.8% year-over-year, with like-for-like growth at 3.5%.

• Office rents increased 3.6% like-for-like, German residential up 4.8%, and hotels up 1.5% like-for-like (7.5% at current scope).

• Occupancy rates: Offices 95.5%, Hotels 100%, German residential 98.9%, average portfolio occupancy 97.2%.

• Hotel revenues benefited from fixed lease indexation but saw a -1.7% decline in variable revenues in Q3 due to event-related base effects.

• Average fixed lease term was 6.4 years.

Outlook and guidance

• Guidance for 2025 recurring net result (Adjusted EPRA Earnings) confirmed at €515 million (+8% YoY), or €4.64 per share (+4% YoY).

• RevPAR for hotels expected to rise by 1.7% in 2025 and 2.0% in 2026, with strong fundamentals in tourism demand.

• Real estate investment volumes in Europe expected to rise by 7% for the full year 2025.

• Positive medium-term outlook for hotels and German residential, with continued rental growth and favorable supply-demand dynamics.