Grand City Properties (GYC) Q4 2025 earnings summary

Executive summary

• Net profit surged 143% year-over-year to €588 million, driven by strong operational performance, positive property revaluations, and a one-off deferred tax income.

• Net rental income and adjusted EBITDA both increased by 1% year-over-year, supported by 3.5% like-for-like rental growth and historic low vacancy of 3.6%.

• Portfolio value rose to €8.9 billion, with a like-for-like revaluation gain of 3.2%.

• Completed €340 million of disposals and €300 million of acquisitions, focusing on high-quality, high-yielding assets in London and supporting capital recycling.

• Board welcomes Aroundtown's exchange offer, recommending shareholders accept the proposal.

Financial highlights

• Net rental income: €429 million (+1% YoY); adjusted EBITDA: €340 million (+1% YoY); net profit: €588 million (+143% YoY).

• FFO I stable at €188 million (€1.06 per share, -2% YoY); FFO II: €351 million, up from €205 million in 2024.

• EPRA NAV per share increased by 4% to €28.9; EPRA NTA per share up 5% to €25.6; total equity up 10% to €5,938 million.

• LTV reduced to 31% from 33%; EPRA LTV at 44%; unencumbered assets at €6.4 billion (71% of value).

• Basic EPS increased to €2.67 (+134% YoY); cash and liquid assets at €1.6 billion, up 7% year-over-year.

Outlook and guidance

• 2026 guidance: like-for-like rental growth around 3.5%, FFO I between €175–185 million (€0.99–1.05 per share), and dividend per share of €0.74–0.79.

• Adjusted EBITDA expected to see a low single-digit increase; higher financing expenses anticipated due to perpetual note refinancing.

• LTV to be maintained below 45%.