Unibail-Rodamco-Westfield (URW) H1 2025 earnings summary

Executive summary

• Tenant sales and footfall increased year-over-year, with strong leasing activity and a 7.1% uplift in Minimum Guaranteed Rent (MGR); Westfield Hamburg-Überseequartier retail opening attracted 4 million visits since April.

• H1 results show strong alignment with growth plans, outperforming the wider market and delivering robust operational performance in both Europe and the US.

• Portfolio valuation increased 1.2% year-over-year, with €1.6bn in disposals completed or secured, supporting net debt reduction.

• Launch of a licensing business and strategic partnership in Saudi Arabia, expanding the Westfield brand.

• 2025 AREPS expected at the upper end of €9.30–€9.50 guidance, with a €4.50 per share distribution proposed, up 30% from 2024.

Financial highlights

• Like-for-like Net Rental Income (NRI) up 3.6% and EBITDA up 4.1% year-over-year, reflecting reduced general expenses.

• AREPS at €5.11 per share, down 0.6% year-over-year, mainly due to disposals and increased share count.

• Net debt to EBITDA ratio at 9.2x, down from 9.5x at end-2024; IFRS LTV including hybrid at 44.7%, down 80bps from December 2024.

• Portfolio valuations up €600m (1.2%) excluding FX, CapEx, and disposals; first positive revaluation since 2018.

• Recurring net result (Group share) increased 1.1% to €772m; recurring EPS at €5.40, down 1.6% year-over-year.

Outlook and guidance

• 2025 AREPS expected at the upper end of €9.30–€9.50, supported by strong H1 performance, refinancing, and disposals.

• €4.50 per share distribution for FY 2025, a 30% increase from 2024, as part of a planned €3.1bn cumulative distribution for 2025–2028.

• Guidance assumes no major macroeconomic or geopolitical deterioration; FX impact is limited and largely hedged.

• Confident in maintaining organic NRI growth of 270–330bps above indexation, in line with historical performance.

• No dividend obligation for 2025 for certain entities due to statutory results in 2024.