Mercialys (MERY) Q4 2025 earnings summary

Executive summary

• Achieved best results since 2019, with strong growth in rental revenues and net recurrent earnings, driven by strategic portfolio repositioning toward dynamic metropolitan areas and operational transformation.

• Portfolio now features dominant assets in leading French cities, with 95–96% of value in top sites and high local market share.

• Maintained sector-leading ESG performance, including 10 years at highest ISR level, certified net zero trajectory, 27% GHG reduction, and 100% BREEAM In-Use certification.

• Celebrated 25th anniversary and completed shift away from hypermarket dependence, focusing on dynamic regions and metropolitan cities.

• Proposed €1.00 per share dividend for 2025, delivering double-digit total shareholder return.

Financial highlights

• EBITDA margin increased by 40 bps to 82.4%, with EBITDA at €148.9 million.

• Recurring net income (NRE) rose 3.9% year-over-year to €117.5 million (€1.26 per share), second-highest since 2011.

• Rental revenues reached up to €182.6 million, up 1.7% year-over-year on a pro forma basis; like-for-like gross rental revenues up 2.8%.

• Portfolio value up 10.1% year-over-year to €3,041 million, including transfer taxes.

• EPRA NTA per share up 4.1% to €16.96.

Outlook and guidance

• Targeting rental revenue CAGR of 5–7% for 2026–2028, with organic growth of 1.5–2% and indexation of 0–1%.

• Net recurrent earnings expected to grow 2–4% annually through 2028; 2026 NRE guidance at least €1.29 per share.

• Dividend payout policy set at ~80% of NRE per share; at least €1 per share for 2026.

• EBITDA margin guidance between 82–84%.