DEFAMA Deutsche Fachmarkt (DEF) Q3 2025 earnings summary

Executive summary

• Pursues a buy-and-hold strategy focused on established retail and shopping centers with strong anchor tenants and low vacancy rates, primarily in small to mid-sized cities.

• Achieved 16 acquisitions in 2025, expanding the portfolio to 91 properties with a 95% occupancy rate and annualized net cold rent of €28 million.

• Revenue for the first nine months of 2025 rose to €23.0 million, up from €19.9 million year-over-year.

• Net income reached €4.0 million, slightly above the prior year, including positive one-time effects from property sales.

• Multiple acquisitions, successful leasing activities, and redevelopment projects contributed to growth.

Financial highlights

• Portfolio value increased 19% year-over-year to €342 million as of September 30, 2025.

• Revenue for the first nine months of 2025 rose 15% to €23.0 million compared to the same period last year.

• FFO increased 7% to €8.2 million, or €1.71 per share, with FFO per share up from €1.59 last year.

• EPS for the period was €0.83, up from €0.81 year-over-year.

• NAV per share rose to €28.34 from €27.64 at year-end 2024.

Outlook and guidance

• Full-year 2025 targets reaffirmed: net income (HGB) over €5 million, FFO above €11 million, and dividend above €0.60 per share.

• Long-term plan for 2030: portfolio value of €500 million, annualized rental income of €42 million, and FFO of at least €19 million or over €4.00 per share.

• Additional acquisitions and ongoing redevelopment projects expected to boost future rental income.

• Company well-positioned to benefit from market volatility and rising inflation due to index-linked leases.