FIBRA Prologis (FIBRAPL 14) Q2 2025 earnings summary

Executive summary

• Delivered strong financial and operational results in Q2 2025, exceeding internal expectations despite trade uncertainty and flat GDP growth in Mexico.

• Achieved record net effective rent growth on rollovers at 68% year-over-year, with strong customer retention of 86% and high occupancy rates above 97%.

• Portfolio resilience attributed to strategic diversification, with consumption-driven markets like Mexico City and Guadalajara outperforming.

• Integration of Terrafina portfolio has been successful, driving higher rent increases and operational efficiencies.

• Net earnings per CBFI rose to Ps. 1.8021 (US $0.0915), up from Ps. 0.7770 (US $0.0470) in the same quarter last year.

Financial highlights

• FFO reached $93.8 million ($0.59 per CBFI), up 21% year-over-year; AFFO totaled $77 million, up 38% year-over-year, mainly due to Terrafina integration.

• Net effective rent change on rollover hit a record 68%, primarily from renewals; average occupancy at 98.2%, ending at 97.7%.

• Same store cash NOI was nearly flat at 0.1% year-over-year, while same store net effective NOI grew 5%.

• Tenant retention was 86%, above internal goals.

• Leases commenced totaled 2.1 million square feet, mainly in Mexico City and Guadalajara.

Outlook and guidance

• 2025 FFO per certificate guidance raised to $0.22-$0.24, a 9.5% increase at the midpoint; rest of guidance unchanged.

• Updated 2025 FFO per CBFI guidance raised to US $0.2200–$0.2400, up from previous US $0.2000–$0.2200.

• Expectation to close the year strong operationally and financially, with robust balance sheet positioning for new opportunities.

• Same-store NOI cash expected to reach 4%-7% for the year, with FX effects neutralizing in the second half.

• Guidance excludes the impact of foreign exchange movements and any potential incentive fee.