Eurocommercial Properties (ECMPA) H1 2025 earnings summary

Executive summary

• Like-for-like rental growth reached 3% in H1 2025, with 296 lease transactions and a 2.9% average uplift on renewals and re-lettings; new lettings delivered a 6.6% uplift, and retail sales rose 2.6%, led by Italy and Belgium.

• Major remerchandising projects at Carosello and Woluwe drove retail sales increases of 14.9% and 9.8% respectively, with significant footfall growth and reduced vacancies.

• Sustainability remains central: 100% BREEAM-certified centers, 62% increase in green loans, 12% reduction in carbon emissions, and 41% increase in on-site solar energy production.

• CEO review highlights resilient demand, rental growth, and a focus on customer-centric growth and sustainability.

• EPRA vacancy rate reduced to 1.2%, and rent collection remained robust at 99%.

Financial highlights

• Rental income rose to €113.3M from €110.2M year-over-year; net property income increased to €101.9M, driven by higher rental income from indexation and leasing activity.

• Direct investment result per share increased to €1.25 (H1 2024: €1.24), with total direct investment result at €66.9 million, up 1% year-over-year.

• IFRS profit after tax was €42.3 million (€0.79 per share), down from €89.9 million (€1.68 per share) in H1 2024, mainly due to a €49.2 million increase in deferred tax charges.

• Loan-to-value ratio improved to 40.5% from 41.3% at year-end 2024, supported by €415 million in refinancing and asset sales.

• Net asset value per share at €38.48; adjusted net asset value at €41.74; EPRA NTA per share at €41.46.

Outlook and guidance

• Direct investment result for full year 2025 is expected at the upper end of €2.40–€2.45 per share guidance, assuming stable macroeconomic conditions.

• CapEx for remerchandising projects is moderate, spread over several years, and funded from retained earnings.

• Further non-core asset disposals possible, especially in Sweden, to reinvest in core assets.