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Deutsche Konsum REIT (DKG) investor relations material
Deutsche Konsum REIT Q1 2026 earnings summary
Complete event summary combining all related documents: earnings call transcript, report, and slide presentation.Executive summary
Rental income declined 4.4% year-over-year to €16.9 million due to asset sales, while FFO rose 57% to €7.4 million, mainly from lower interest expenses.
Eight properties were sold for €34.7 million, with two sales closed in Q1 and annual rent of €3.2 million.
The restructuring plan includes a debt-to-equity swap of €118 million, a capital increase, and planned asset sales up to €300 million by September 2027.
Loss of REIT tax exemption as of October 1, 2025, due to equity ratio falling below 45% for three consecutive years.
Extraordinary general meeting approved a capital increase, company name change, and reduction of the supervisory board, with implementation pending registration.
Financial highlights
Net income for the quarter was €3.6 million, up 107% year-over-year.
FFO per share (undiluted) increased to €0.15, and aFFO per share to €0.14.
Net asset value per share rose to €6.39, and EPRA NTA per share to €6.17.
Loan-to-value (LTV) reduced to 56.4% from the prior quarter; pro forma LTV after capital increase expected at 41%.
Weighted average debt cost dropped to 2.92%, with interest coverage ratio at 2.5x.
Outlook and guidance
Asset sales are expected to continue, with some sales below book value anticipated.
Rental income for FY 2025/2026 is forecasted between €58 million and €63 million, reflecting expected property sales.
FFO is expected to increase, but timing and pricing of asset sales introduce uncertainty.
FFO per share and NAV per share will be recalculated after the new shares from the capital increase are issued.
Slight increase in vacancy rate and stable WALT anticipated due to ongoing sales.
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