VGP (VGP) H1 2025 earnings summary

Executive summary

• Pre-tax profit reached EUR 208.6 million, up 35% year-over-year, with net profit at EUR 181 million, net asset value growing 10.5% to EUR 2.5 billion, and EPRA NTA per share up 11.5% year-on-year.

• EBITDA increased 31.7% to EUR 238.8 million, driven by recurring rental, development, and renewable energy segments.

• Record EUR 56.1 million in new and renewed leases, with annualized committed leases at EUR 441.3 million, up 14.7% year-on-year.

• 846,000 sqm under construction (76% pre-let), 11 projects (264,000 sqm) delivered at 96% occupancy, and portfolio occupancy at 98%.

• Portfolio expansion supported by strong demand from logistics, manufacturing, and e-commerce tenants.

Financial highlights

• Net profit rose to EUR 180.5 million (+27.5% YoY); operating result up 40% to EUR 211.8 million.

• Net rental and renewable energy income increased 24.3% to EUR 40.9 million; gross rental income up 19.6% to EUR 70.95 million.

• Net valuation gains on investment properties up 42.8% to EUR 141.5 million, mainly from ongoing developments.

• Cash position at EUR 423.6 million, with EUR 500 million in undrawn credit facilities.

• Gearing ratio at 37.9%, proportional LTV at 50%.

Outlook and guidance

• Strong operational momentum expected to continue in H2 2025, with robust leasing and construction activity.

• Plan to transfer EUR 500 million–1 billion of assets to JVs in the next 12 months, depending on project completions.

• Confident in maintaining pre-let ratios above 75% for projects under construction by year-end.

• Construction costs have returned to pre-pandemic levels, with margins targeted at 30% across regions.

• Strategic land acquisitions and further asset disposals planned to enhance growth and balance sheet strength.