Immobiliare Grande Distribuzione SIIQ (IGD) Q3 2025 earnings summary

Executive summary

• Nearly €1 billion in refinancing and a €300 million green bond issuance improved debt maturity, reduced costs, and supported a return to profitability, with net profit at €17.6 million after a €32 million loss last year.

• Funds From Operations (FFO) rose 18.2% year-over-year to €31.1 million, with management confident of exceeding the €39 million guidance for 2025.

• Asset disposals in Romania generated €13.8–14 million from three assets, with further sales in advanced negotiations.

• Tenant sales in Italian malls rose 1.3%, footfalls increased 3.7%, and occupancy reached 96%, with a target of 98% by 2027.

• Digital transformation and sustainability initiatives advanced, including new consumer apps, AI-driven energy management, and major photovoltaic contracts.

Financial highlights

• Net rental income from freehold assets was €75.9 million, up 3.8% like-for-like, while consolidated net rental income margin was 85.7%.

• Core business EBITDA was €74.5 million, up 2.9% like-for-like, with a margin of 72.2%.

• Weighted average cost of debt declined from 6% to 5.3%, with further reduction to 5.1% expected post-bond issuance.

• Loan-to-value ratio at 44.0%, down 40bps from year-end 2024.

• Net debt stood at €792 million, with net financial position improved by €14.5 million since year-end 2024.

Outlook and guidance

• FFO guidance for 2025 is confirmed at €39 million, with management confident of surpassing this if current trends continue.

• Loan-to-value target set at 40% by 2027, with further disposals and debt reduction planned.

• Dividend payout expected to be close to €0.15 per share, reflecting 70% of mandatory distribution.

• Continued focus on digital, sustainability, and portfolio optimization initiatives.