Iguatemi (IGTI3) Q2 2025 earnings summary

Executive summary

• Achieved strong operational and financial performance in 2Q25, with total sales reaching R$6.3 billion, up 27.4% year-over-year, driven by portfolio upgrades, new store openings, and full consolidation of interests in Pátio Higienópolis and Pátio Paulista.

• Net revenue for 2Q25 reached up to R$397.7 million, a 32.2% increase year-over-year, with net profit up 174% to R$209.1 million and EBITDA more than doubling.

• Portfolio optimization continued with acquisitions and divestments, including the sale of 49% of Market Place and Galleria, generating significant capital gains.

• Focused on exclusive events, ESG initiatives, and customer experience, achieving the highest B3 ESG score and sector-leading ISE B3 and GHG Protocol Gold Seal.

• Occupancy rate improved to 96.4%, with low occupancy costs and delinquency rates, and guidance for 2025 reaffirmed.

Financial highlights

• Gross revenue for 2Q25 was up to R$458.9 million (+26.5% YoY); adjusted net revenue grew 27.8% to R$407.2 million.

• Adjusted EBITDA increased 91.2% to R$445.4 million, with recurring EBITDA up 23.8%; EBITDA margin exceeded 100%.

• Net income surged 174% to R$209.1 million; adjusted net income up 95.7% to R$208.5 million; recurring net income up 2.8%.

• FFO margin reached 61.18%, with adjusted FFO up 56.2% to R$240.4 million; recurring FFO declined 8.2%.

• NOI margin remained high at 93.8%, and retail EBITDA turned positive at R$2.5 million.

Outlook and guidance

• 2025 guidance reaffirmed: net revenue growth for malls 7–11%, EBITDA margin 82–85% for malls, 75–79% consolidated.

• Management expects a stronger second half, supported by new ventures, high occupancy, and robust leasing pipeline.

• CAPEX for 1H25 at R$105.7 million; full-year investment guidance R$330–400 million.

• Guidance confirmed for net revenue growth; significant lot sales expected in Q3 and Q4.

• Projections depend on market, regulatory, and economic factors, and are subject to change.