Klépierre Raises Annual Forecasts After Sustained Growth in Rent and Cash Flow in the Third Quarter
Klépierre has announced an upward revision of its financial targets for the fiscal year 2025, driven by a significant increase in rental income and current net cash flow over nine months.
Strong Performance in the First Nine Months
By the end of the first nine months of 2025, Klépierre reported a 6.5% growth in net rental income and 4.2% on a like-for-like basis, an acceleration compared to the first half of the year. Mall income activities (including Retail Media, Events, Specialty Leasing, and Mobility) recorded a 10% increase during the period. Merchants' turnover grew by 3.3%, accompanied by a 2.3% increase in foot traffic. Rental demand remains dynamic, with a positive reversion rate of 4.6% on renewals and re-lettings. The financial occupancy rate stands at 97.0% (+0.5 points year-on-year) and the effort rate reaches 12.5%. Klépierre's consolidated turnover for the first nine months amounts to 1,213.4 million euros.
Continued Investment in Shopping Center Expansions
During the period, the group continued its investments in the expansion of shopping centers, with the delivery of a first phase at Odysseum (Montpellier) and the commencement of works at Le Gru (Turin). The expected yields from these projects are 9% and 10% respectively. Klépierre also issued a green bond of 500 million euros with a maturity of 12 years, featuring a spread of 103 basis points. As of September 30, 2025, the consolidated net debt stands at 7,352 million euros, with a net debt/EBITDA ratio of 6.9x and an average cost of debt of 1.9%. The average maturity of the debt is 6 years.
Anticipated Growth in EBITDA and Net Current Cash Flow for 2025
Buoyed by the momentum recorded, Klépierre now anticipates a 5.5% growth in EBITDA for 2025 and a 4% increase in current net cash flow year-on-year, to 2.70 euros per share. Over three years, EBITDA and current net cash flow would respectively increase by 23% and 21%. According to the press release, the average dividend yield stands at 6% since the beginning of the year. Furthermore, Klépierre retains its top position in the European and global rankings of the Global Real Estate Sustainability Benchmark (GRESB) for the second consecutive year, with a score of 95/100 and a five-star rating.
