LOG Commercial Properties e Participações (LOGG3) Q2 2025 earnings summary

Executive summary

• Interim financial statements for the six months ended June 30, 2025, reviewed and approved on August 4, 2025, with no material modifications required by auditors.

• Net revenue in 2Q25 rose 15.1% year-over-year to R$61.5 million, driven by strong leasing and asset management performance.

• EBITDA for 2Q25 was R$140.3 million, with a 21.5% increase in 6M25 versus 6M24, reflecting operational efficiency and portfolio growth.

• Net income for 1H25 was R$173.4 million, up from R$147.2 million in 1H24; Q2 net income was R$91.9 million, up from R$86.9 million in Q2 2024.

• The company operates in commercial real estate, focusing on industrial warehouses, with ongoing expansion and asset management across multiple Brazilian states.

Financial highlights

• Consolidated net revenue reached R$116.8 million in 1H25, up from R$107.2 million in 1H24; Q2 revenue was R$61.5 million, up from R$53.4 million in Q2 2024.

• Lease revenue in 2Q25 increased 15.1% year-over-year; lease EBITDA margin was 86%, up 18.3% year-over-year.

• Gross profit for 1H25 was R$114.1 million, compared to R$104.5 million in 1H24; gross margin remained high at 97.7% in 2Q25.

• Earnings per share in 2Q25 was R$1.00, up 0.9% year-over-year; 6M25 EPS rose 29.2% to R$1.99.

• Adjusted EBITDA and EBIT not explicitly stated, but significant fair value gains on investment property (R$174.8 million in 1H25).

Outlook and guidance

• Net income guidance for 2025 is R$350–450 million, supported by operational efficiency and new asset development.

• Asset sales proceeds will accelerate development in the second half of 2025, supporting the Log 2 Million Plan.

• The company maintains strong expansion planning and continues to assess financial markets for optimal funding opportunities.

• Management expects asset management revenue to fully cover SG&A by the end of the current growth cycle.

• No material impact from new accounting standards adopted in 2025.