Stock Markets April 22, 2026 03:40 AM

Cofinimmo posts 8.3% rise in Q1 EPRA earnings as rental momentum eases

Occupancy strong across portfolios while like-for-like rental growth slows and portfolio values dip marginally

By Ajmal Hussain
Cofinimmo posts 8.3% rise in Q1 EPRA earnings as rental momentum eases

Cofinimmo reported first-quarter EPRA earnings of €62 million, a year-over-year increase of 8.3% or €1.63 per share, including a €0.12 negative impact from disposals. The company maintained its full-year EPRA earnings-per-share target of €6.35. Occupancy rose to 98.5% at the end of March, while like-for-like rental growth slowed to 1.1% and portfolio values were down 0.1% from December.

Key Points

  • Q1 EPRA earnings €62 million, up 8.3% year-over-year; €1.63 per share including €0.12 negative effect from disposals
  • Occupancy rose to 98.5% overall with healthcare at 99.4%, distribution networks 99.8% and offices 93.5%
  • Like-for-like rental growth slowed to 1.1%; portfolio like-for-like values fell 0.1% and EPRA net tangible assets rose to €93.98

Cofinimmo delivered first-quarter EPRA earnings of €62 million, representing an 8.3% rise year-over-year and equating to €1.63 per share. The reported per-share figure incorporates a €0.12 negative impact tied to disposals.

The company reaffirmed its full-year guidance, keeping its target unchanged at €6.35 EPRA earnings per share.


Occupancy and division performance

Occupancy across Cofinimmo's portfolio improved from December levels, reaching 98.5% at the end of March. By division, healthcare assets posted the highest utilization at 99.4%, distribution networks reached 99.8%, and offices recorded 93.5% occupancy.


Income, rental trends and contributors

Gross rental income rose 0.7% year-over-year to €88.8 million. On a like-for-like basis, rental growth moderated to 1.1%, down from 2.9% in the first quarter of 2025. The components of that like-for-like change were: indexation contributing 2.0%, new leases adding 0.8%, departures subtracting 1.3% and renegotiations subtracting 0.4%.

When examined by business line, like-for-like rental movement was 1.6% in healthcare, negative 2.1% in offices, and 2.2% in distribution networks.


Balance sheet and yields

EPRA net tangible assets increased by 1.1% from December to stand at €93.98. The EPRA initial yield rose to 5.5% in the period. Cofinimmo's debt-to-assets ratio declined to 42.1% at the end of March compared with December, while the average cost of debt, with full hedging in place, remained at 1.5%.


Investment activity and portfolio values

During the quarter the group completed €20 million in investments and €30 million in disposals. Looking ahead to 2026, Cofinimmo expects net investments of €200 million, composed of €310 million in investments offset by €110 million in disposals.

On valuations, portfolio like-for-like values edged down by 0.1% from December. Healthcare values were stable, distribution networks fell 0.1% and office portfolio values declined 0.7%. The French healthcare portfolio specifically registered a 0.5% drop, attributed to the implementation of the Finance Act and negative inflation revisions.


Takeaway

Cofinimmo posted modest earnings growth for the first quarter and sustained its full-year EPRA EPS guidance, supported by strong occupancy and a slightly higher initial yield. However, the slowdown in like-for-like rental growth, weakness in office rentals and small valuation declines in parts of the portfolio are visible headwinds within the quarter's results.

Risks

  • Like-for-like rental growth decelerated to 1.1%, with departures and renegotiations weighing on income - impacts sectors including offices and overall rental income
  • Office portfolio values declined by 0.7%, highlighting vulnerability in the office segment of the market
  • The French healthcare portfolio recorded a 0.5% value decline due to the Finance Act and negative inflation revisions, posing a localized valuation risk to the healthcare segment

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