Parque Arauco (PARAUCO) Q2 2026 earnings summary

Executive summary

• Achieved strong operational and financial performance in Q2 2026, with robust growth across all three markets and successful execution of strategic initiatives.

• Operates 59 multi-format retail real estate assets across Chile, Peru, and Colombia, with 1,340,500 sqm of GLA and 96.1% retail occupancy as of June 30, 2026.

• Revenue grew 17.9% year-over-year to CLP 104 billion, and EBITDA rose 15.8% to CLP 75 billion, with an adjusted EBITDA margin of 77.6%, the highest for a second quarter in company history.

• Completed a capital increase, raising CLP 274 billion (~$300 million), strengthening the balance sheet and reducing net debt-to-EBITDA to 4.5x.

• Recognized for sustainability, selected for Dow Jones Best-in-Class Chile and MILA 2026 indices.

Financial highlights

• Revenue up 17.9% year-over-year; Chile +15.6%, Peru +18.1%, Colombia +24.4% (11.3% in local currency).

• EBITDA up 15.8% year-over-year; Chile +8.2%, Peru +21.9%, Colombia +28.1%.

• Adjusted EBITDA margin reached 77.6%, up from 76% last year.

• FFO increased 10.5% to CLP 57 billion; net income attributable to controlling interest fell 30.8% due to inflation-driven liability adjustments.

• Financial expenses rose 28.5% due to higher debt and interest rates, especially in Colombia.

Outlook and guidance

• Expectation of flat or slightly positive same-area sales in Chile for the second half as the impact from Argentinian tourism wanes.

• Continued focus on brownfield expansions, new malls (mainly via M&A), and multi-family projects, with gradual announcements of new investments.

• Investment pipeline reached a record US$1,137 million, with significant projects in Chile, Peru, and Colombia, including new shopping centers, expansions, and multifamily developments.

• GLA is expected to increase by 16.9% (227,130 sqm) in coming years, with major projects like Arauco Chicureo, Mall Paseo Quilín, and multifamily assets underway.

• Annual capex target set at USD 250–300M, with a defined roadmap for expansions, M&A, and multifamily developments.