Aroundtown S.A.

Net rental income in H1 2026 was EUR 591 million, flat versus H1 2025, supported by 2.7% like-for-like rental growth. Adjusted EBITDA was EUR 500 million versus EUR 501 million a year ago, and FFO I was EUR 144 million versus EUR 150 million, down 4%; FFO I per share was EUR 0.13 versus EUR 0.14. Finance expenses were EUR 142 million, profit for the period was EUR 218 million versus EUR 578 million, EPRA NTA per share was EUR 8, up 3% from EUR 7.8 at December 2025, and portfolio value was EUR 25.2 billion. Guidance for 2026 remains FFO I of EUR 275 million to EUR 305 million, or EUR 0.24 to EUR 0.27 per share, and dividend per share of EUR 0.120 to EUR 0.135, subject to AGM approval.

Barak Bar-Hen framed the quarter as resilient despite a mixed macro and geopolitical backdrop, saying the business saw no material operational impact and was on track for 2026 guidance. He emphasized that Aroundtown is leaning into residential and hotels, reducing office exposure gradually, and using share buybacks, disposals, and selective capital allocation to improve earnings both absolutely and per share. His tone was confident and constructive, with repeated references to strong liquidity, proactive refinancing, and the view that market volatility is not currently a near-term issue.

Jonas Tintelnot highlighted stable H1 income and EBITDA, with net rental income at EUR 591 million, adjusted EBITDA at EUR 500 million, and FFO I at EUR 144 million, mainly pressured by higher financing expenses. He said the company completed EUR 350 million of disposals in H1, generated a EUR 125 million gain over total costs, and kept liquidity high at EUR 3.9 billion plus over EUR 1 billion of undrawn credit lines. He also noted average debt maturity of 3.9 years, cost of debt of 2.4% at June 30 and 2.6% pro forma after refinancing, LTV at 43%, ICR at 3.3x, and reiterated the 2026 dividend policy at 50% of FFO I per share.

Analysts focused on leverage, financing costs, and the path for FFO and interest coverage. Management said acquisitions and buybacks will generally be funded through disposal proceeds and capital recycling, while still keeping leverage within internal limits and below the 45% board guidance; they also said the average average discount on buybacks was around 67% to EPRA NTA per share as of December 2025. On debt, management said financing expenses had risen modestly, cost of debt was 2.6% pro forma after recent issuance, pre-hedging is used, and ICR should stay above 3x at year-end even though it may trend lower over time.