Merlin Pptys Socimi Ord (MRPRF) Q2 2025 Earnings Call

Investor webinar replay

Replay transcript excerpt

Good afternoon, ladies and gentlemen. Welcome to Merlin Properties, a half-year results presentation. And usually, Ismael Perente, our CEO, and Fran Ribas and Inés Arellano, both directors of the company, will walk you through the presentation that you are seeing on the screen. And it will be followed by a Q&A session. So without further delay, let's start. Ismael, the floor is yours. Thank you, Fernando. Hello. Welcome to Merlin Properties' first half financial results presentation. It's been a very solid quarter of performance for the company that follows also a very good first quarter. So the whole semester has been excellent from an operating standpoint. I mean, beyond the print in net results, which at the end is asset revaluation, which is paper money, The reality is that from a cash flow standpoint, we have improved margins and we have gone one extra inch in every asset class of the company and we are starting to see a little bit of merit behind the debt on the data centers. From an operating standpoint, the rental growth came up 3.4% like for like and the occupancy was also very high at 95.4. You might argue that in the first quarter it was 96.7, but I told you that from the 99% we were in logistics, you can only go down. It's impossible to repeat the same rate in logistics. In offices, we have reached 94.2, which is our all-time high. The rental growth is quite compelling at 3.9%. In fact, as commented in previous calls, we are witnessing an acceleration of the rent negotiations with significant interest in take-up. Part of it is explained, of course, by a client from Spain that also part of it is the destruction of stock that I commented many times with you all the way through the reconversion projects which are starting to be felt in the Madrid stock of of...