Cls Holdings Plc · LSE:CLI
Cls — H1 2025 Earnings Presentation
34 slides from Cls's earnings presentation, Aug 13, 2025
Slide 1: CLS Holdings plc
CLS Holdings plc
Slide 2: Overview, Financials & Occupiers, Portfolio, Sustainability, Summary & Outlook
3 26 Fredrik Widlund Overview Appendices Fredrik Widlund 10 Financials & Occupiers Andrew Kirkman Andrew Kirkman 19 Portfolio, Sustainability Summary & Outlook Fredrik Widlund 2 CLS Holdings plc | Half Year Results 2025
Slide 3: Radius House, Watford, U.K.
Radius House, Watford, U.K. 3 CLS Holdings plc | Half Year Results 2025
Slide 4: Rebasing the business to deliver a more focused portfolio
Overview • Increasing letting activity to reduce vacancy and improve earnings • Executing sales of £400m to reduce LTV to our target range of 35%-45% • Completing refinancings due in 2025 • Investing in our properties to unlock the value within the portfolio Rebasing the business to deliver a more f
Slide 5: Half year results highlights
Operational delivery EPRA NTA (p) EPRA EPS • Strong leasing momentum generating £7.5m (HY 2024: £6.4m) of annual 350.5 329.6 rent +17% year on year. New leases in line with ERV • Post half year, we have completed or agreed leases which will reduce 253.0 4.0p 215.0 209.5 ( 30 June 2024: 4.8p) vacancy
Slide 6: Leasing: £7.5m annual rent from new leases, 17% increase
ANNUAL RENT FROM NEW LEASES £7.5m 17% INCREASE IN LEASES BY VALUE VS 30 JUNE 2024 CONTRIBUTION TO EPRA VACANCY ( BY COUNTRY) 1.3% 1.0% 0.1% 15.1% 12.7% 52 DEALS SECURED, 0.8% BELOW ERV (30 JUNE 2024: £6.4M OF ANNUAL RENT FROM 58 LEASES 5.9% ABOVE ERV) LEASE EXTENSIONS LIKE-FOR-LIKE CONTRACTED RENT 7
Slide 7: Leasing examples in United Kingdom, Germany, France
United Kingdom Germany France Hygeia, London Park Avenue, Lyon The Yellow, Dortmund • 10 yr lease extension for 7,220 sq. ft • New 3/6/9 lease for 9,213 sq. ft at • Longstanding relationship with tenant • New 18 yr lease for 41,333 sq. ft recently refurbished building to which by lease expiry, will
Slide 8: 1.6% decrease in valuations in local currency
Group • 1.6% decrease in valuations in local currency driven by CLS valuation movement in local currency yield expansion across all markets and decline at Spring 0.5% 0.3% Gardens -2.1% -7.2% -4.4% -4.1% -2.2% -0.5% -8.5% -8.4% -3.5% • Across the portfolio, some properties started to increase -3.8%
Slide 9: HY 2025 Disposals (£119.1m)
HY 2025 Disposals 2025 exchanged and (£119.1m) planned disposals • Two UK unconditionally • Spring Mews exchanged sales in Germany Student, Vauxhall (Jarrestrasse, completed for Hamburg) and £101.1m France (Les Reflets, Lille, completed 25 July) Germany for £24.3m taking • Grafelfing, Munich YTD sal
Slide 10: The Yellow, Dortmund, Germany
The Yellow, Dortmund, Germany 10 CLS Holdings plc | Half Year Results 2025
Slide 11: EPRA EPS 4.0p
EPRA EPS EPRA NTA per share EPRA EPS (PENCE) 4.0p 209.5p 11.3 11.6 10.3 9.2 (30 JUN 2024: 4.8p) (31 DEC 2024: 215.0p) (-16.7%) (-2.6%) 4.0 2021 2022 2023 2024 H1 2025 PROPOSED INTERIM DIVIDEND TOTAL ACCOUNTING RETURN DIVIDEND/SHARE (PENCE) 1.30p -1.3% 7.70 7.95 7.95 5.28 (30 JUN 2024: 2.60p) (30 JUN
Slide 12: Movement in net rental income and EPRA EPS
Movement in net rental income (£m) Movement in EPRA EPS (pence per share) 1.3 0.4 4.8 58.9 (3.1) (1.4) (0.4) 0.1 4.0 0.4 53.3 (2.4) 0.1 (1.4) 30-Jun-24 Net Expenses Net FX 30-Jun-25 rental income finance expense 12 CLS Holdings plc | Half Year Results 2025
Slide 13: Movement in EPRA NTA (pence per share)
Movement in EPRA NTA (pence per share) 4.0 215.0 (2.7) 4.7 209.5 (8.0) (1.6) (1.9) 13 CLS Holdings plc | Half Year Results 2025
Slide 14: Movement in cash and cash equivalents (£m)
Movement in cash and cash equivalents (£m) 114.6 0 0 27.2 (96.7) 0.4 63.9 60.5 (21.2) (11.2) (9.7) At 31 December Cash from Interest/tax Dividends paid Sale of Net loan Capex Other At 30 June 2025 2024 operations properties repayment 14 CLS Holdings plc | Half Year Results 2025
Slide 15: Key debt metrics
Financials Key debt metrics • CLS uses secured, non-recourse SPV financing and benefits from many different lending relationships • Maintain over £100m of cash and undrawn facilities, and covenant headroom • No Group LTV or interest cover covenants • LTV decreased to 49.2% from sales, despite ¹ valu
Slide 16: 2025 debt expiries and refinancing position
Financials • In 2025, £373.7m debt (inc. £9.6m of amortisation) • Of the remaining £171.8m (ex. amortisation) for 2025: expiring across 12 loans and 9 lenders o £118.5m refinanced or repaid since the half-year • Refinancings have gone successfully with £192.3m of o £25.1m has been credit approved an
Slide 17: Rent collection and top tenants by contracted rent
1 8 7 2 RENT COLLECTION Top 15 Tenants by Contracted Rent (35%) 99% Tenant Sectors % 6 1 9 1 Government 26.5 2 Commercial 5 & 3 13.2 (31 Dec 2024: 99%) Professional Services 4 2 10 3 Information Technology 9.6 TENANT SIZE 4 Consumer Discretionary 9.4 28% GOVERNMENT 3 11 5 Communication Services 6 He
Slide 18: Occupiers
Occupiers United Kingdom Germany France Percentage of rental Percentage of rental Percentage of rental income index-linked income index-linked income index-linked 35% 76% 100% • Leases are not generally index-linked • Majority of leases linked to German CPI • All leases subject to annual review • Le
Slide 19: Office Connect, Cologne, Germany
Office Connect, Cologne, Germany 19 CLS Holdings plc | Half Year Results 2025
Slide 20: Development and refurbishment projects update
Citadel Place (Spring Gardens), London • Engagement with potential partners to secure planning and the delivery of the scheme has started, in parallel with progressing design with planning authorities • Aim to submit a planning application later in 2025 to accommodate potential partners in the deliv
Slide 21: Net Zero Carbon Pathway programme
LIKE-FOR-LIKE DECREASE IN LIKE-FOR-LIKE DECREASE LANDLORD ENERGY IN SCOPE 1 & 2 GHG • Net Zero Carbon Pathway (NZC) programme spend to CONSUMPTION EMISSIONS 3.95% 4.5% the end of 2025 will be £22m out of £65m total spend • Many carbon reduction and energy efficiency projects are due for completion i
Slide 22: Hansaallee, Dusseldorf, Germany
Hansaallee, Dusseldorf, Germany 22 CLS Holdings plc | Half Year Results 2025
Slide 23: Market conditions in Germany, UK and France
United Kingdom Germany France • Politically stable (at least on a relative basis) • New pro-business government providing • Political uncertainty; no parliamentary majority • Real momentum for office-based working, much needed direction • Investment market is heavily dominated by employees are retur
Slide 24: Focus on reducing vacancy and capturing ERV potential
• Focus on reducing current vacancy; post half year leases signed at The Coade and HoTs for Artesian • Indexation continues to drive rental growth, over 60% of portfolio index-linked which captures higher rents • Near-term upside from works in progress at Bellevue and Gotic Haus, with Debussy to fol
Slide 25: Summary and outlook
Net initial yield vs. cost of debt Net initial yield Cost of debt Equivalent yield • Leasing momentum continues to improve, vacancy increased in H1 from expiries, but should start reducing 6.0% in second half 5.4% • Disciplined execution of property disposals to reduce 3.8% LTV progressing to plan;
Slide 26: Rosstrasse, Dusseldorf, Germany
Rosstrasse, Dusseldorf, Germany 26 CLS Holdings plc | Half Year Results 2025
Slide 27: CLS Holdings plc is a property investment company
TOTAL PORTFOLIO VALUE (%) CLS Holdings plc is a property investment company 3 • which has been listed on the London Stock Exchange since 1994 13% COUNTRIES 694 TENANTS 79 40% • We are a supportive, progressive and sustainably focused commercial landlord that specialises in owning and managing office
Slide 28: Gold award in EPRA Sustainability Best Practices and GRESB
• Maintained our Gold award in the EPRA Sustainability • Over half of our UK portfolio is either EPC A or B and Best Practices Recommendations and GRESB 4 Stars plans in place to ensure compliance with the expected rating updates to MEES regulations (i.e. C rating by 2027 and B rating by 2030) • Who
Slide 29: Movement in property portfolio (£m)
Movement in property portfolio1 (£m) 1,850.2 7.3 37.9 1,746.2 (121.6) (27.6) As at 31 December Capex Disposals Revaluation Foreign exchange As at 30 June 2025 2024 ¹ Comprises investment property, PPE and properties held for sale 29 CLS Holdings plc | Half Year Results 2025
Slide 30: UK portfolio: £692.7m
£692.7m Watford Chelmsford 2 Harrow Uxbridge Acton 40% 2 Hammersmith 10 London Richmond 2 33 Reading Bracknell Staines Teddington 2 New Malden 2 Bromley Sutton 194 Leatherhead 21.5% Reigate Crawley 2 1.6m sq. ft 73.3% 3.9 years 30 CLS Holdings plc | Half Year Results 2025
Slide 31: Germany portfolio: £823.6m
Altona Barmbek Wandsbek City Sud St Pauli Hafencity Flughafen £823.6m München Ismaning Unterföhring 3 Harburg Rudesheimer Strasse Locham 47% 1 Martinsried Altstadt Neuperlach 30 Düsseldorf 356 9.4% Herzberge Charlottenburg 3.6m sq. ft Adlershof 60.0% 7.0 years 31 CLS Holdings plc | Half Year Results
Slide 32: France portfolio: £229.9m
£229.9m La Garenne-Colombes 2 2 La Défense Rueil-Malmaison Courbevoie 13% 10th Arr. Paris Boulogne-Billancourt 16 2 Malakoff 144 Villeurbanne 8.7% 6th Arr. 0.7m sq. ft Brotteaux Gare de Lyon Part-Dieu 16 56.2% La Part-Dieu 3rd Arr. 5.3 years 32 CLS Holdings plc | Half Year Results 2025
Slide 33: Portfolio summary by country
UK 692.7 (2.2%) 5.1% 6.1% 21.5% 3.9 55.7 45.8 £35.20 Germany 823.6 (0.5%) 4.5% 4.8% 9.4% 7.0 45.8 44.9 £14.35 France 229.9 (3.5%) 5.4% 5.8% 8.7% 5.3 14.7 13.8 £20.46 Total 1,746.2 (1.5%) 4.9% 5.4% 15.1% 5.4 116.2 104.5 £20.48 portfolio 33 CLS Holdings plc | Half Year Results 2025
Slide 34: Forward-looking statements disclaimer
This document may contain certain ‘forward-looking statements’. By their nature, forward-looking statements involve risk and uncertainty because they relate to future events and circumstances. Actual outcomes and results may differ materially from those expressed or implied by such forward-looking s