Covivio Hotels (COVH) Q3 2025 TU earnings summary

Executive summary

• Revenue grew by 4.8% at current scope and 3.5% like-for-like over the first nine months of 2025, reaching €533 million Group share, driven by strong performance in offices, hotels, and German residential segments.

• Real estate markets in Europe remain resilient with a comeback of large deals and positive momentum across offices, hotels, and German residential segments.

• Investments increased by 2% in Europe, with notable acceleration in office transactions and strong hotel volumes; asset management momentum continued with significant lettings and renewals.

• Occupancy rates remain high at 97.2%, reflecting robust demand and effective asset management.

• ESG leadership was reinforced, with 99% of assets certified and top-tier ratings from GRESB, ISS ESG, MSCI, and Sustainalytics.

Financial highlights

• Revenue for the first nine months of 2025 was €533 million Group share, up 4.8% year-over-year; like-for-like growth was 3.5%.

• Office rents rose 3.6% like-for-like, with occupancy at 95.5%; German residential rents up 4.8% like-for-like, occupancy at 98.9%.

• Hotel revenue grew 7.5% at current scope and 1.5% like-for-like, with occupancy at 100% on leased hotels and a firm lease term of 10.9 years.

• Asset disposals totaled €191 million Group share, mainly non-strategic assets, with €311 million invested, focused on city center assets.

• Confirmed guidance for 2025 recurring net result (Adjusted EPRA Earnings) at €515m (+8% YoY) and €4.64/share (+4% YoY).

Outlook and guidance

• 2025 recurring net income (Adjusted EPRA Earnings) guidance confirmed at around €515 million, up 8% vs. 2024 (+4% per share).

• RevPAR for hotels expected to increase by 1.7% in 2025 and 2.0% in 2026, despite negative base effects from major events.

• German residential segment expected to benefit from limited construction and rising rents.

• European real estate investment volumes projected to rise 7% for the full year 2025.

• Optimism maintained for future quarters, supported by strong operational activity and market trends.