Globalworth’s 2025 prelims: small valuation uplift, profit back, and a tidy balance sheet
Globalworth Real Estate Investments has dropped its unaudited 2025 numbers, and there’s a clear theme: operational stability in a choppy office market, a modest portfolio value uplift, and a return to statutory profit. The flip side is slightly softer occupancy and lower underlying earnings.
The audited results and full Annual Report are due towards the end of March 2026. For now, here’s what matters and why.
Portfolio value edges up and flagship asset returns
The combined portfolio market value rose 0.9% to €2.6 billion, helped by small revaluation gains. On a like-for-like basis, the standing commercial assets increased by €21.9 million to €2.4 billion, up 0.9% year-on-year.
Globalworth’s standing portfolio footprint reached 1.1 million sqm across 57 properties, up 44.1k sqm, mainly from the re-addition of Renoma in Wroclaw after a full renovation. The company also kicked off its first post-pandemic office development – Green Court D in Bucharest – which will add 17.2k sqm of new grade-A space on completion.
Leasing progress but occupancy softer
Leasing activity totalled 141.1k sqm in 2025 with a weighted average lease length (WALL) of 4.8 years. Contracted rent rose 1.0% to €189.5 million, with like-for-like commercial rent up 0.2% to €181.6 million. Indexation did the heavy lifting, offsetting negative net take-up. As at 31 December 2025, 97.9% of total contracted rent was already active and 98.7% of rent comes from office and mixed-use assets.
Group commercial occupancy stood at 85.4%, down 1.4 percentage points year-on-year. The headline dip was mainly due to Renoma being re-included after renovation. On a like-for-like basis, occupancy nudged down 0.3%, with Romania easing from 96.8% to 94.4% largely due to works at BOC; those refurbishments wrap up in H1 2026.
Income statement: underlying steady, reported profit returns
Net Operating Income (NOI) was €137.0 million, down 4.6% year-on-year. Excluding 2024 industrial disposals, like-for-like NOI grew 1% to €138.6 million, largely from indexation. Adjusted normalised EBITDA came in at €118.4 million, down 6.2%, while like-for-like EBITDA was broadly flat at €120.0 million (2024: €120.4 million) as admin costs ticked up.
EPRA earnings were €32.5 million (2024: €56.1 million), mainly impacted by €5.6 million earnings associated with asset disposals and a one-off income tax charge of €14.3 million covering fiscal periods 2017-2022. Crucially, fair value losses on investment property shrank to €15.0 million (2024: €99.8 million), helping IFRS earnings swing back to a €9.6 million profit, or 3 cents per share (2024: -31 cents).
Funding, liquidity and LTV: conservative and well hedged
The finance line is cleaner this year: total finance costs fell by €9.5 million because 2024 included €12.8 million of one-offs from note refinancings. On a like-for-like basis, finance costs rose €2.6 million (3.8%) due to interest on new secured loans. The weighted average interest rate dipped to 4.81% (2024: 4.87%) and 91.4% of debt is fixed or hedged.
Cash was a chunky €410.6 million at year-end, reducing to €279.1 million after the February 2026 partial redemption of €125 million of 2029 Senior Notes at 102. Total debt increased by €51.8 million, and the weighted average debt maturity sits at 4.5 years (2024: 4.9 years). Loan-to-value (LTV) improved to 37.0% (from 38.1%), helped by value-accretive capex in the standing portfolio.
- April 2025: €100 million secured facility successfully refinanced and extended for five years.
- August 2025: two new ten-year term loans totalling €65 million drawn.
- February 2026: €125 million of 2029 Notes redeemed at 102, funded from liquidity.
Dividends and NRV per share
Globalworth distributed in two ways. In April, shareholders largely elected for scrip on the €0.09 per share dividend (98.4% participation), resulting in a modest €0.5 million cash outflow to the remaining shareholder. In September, a cash dividend of €0.05 per share was paid, totalling €14.5 million.
Preliminary EPRA Net Reinstatement Value (NRV) is €1.6 billion or €5.62 per share, down 4.5% per share from €5.89. The company attributes €0.15 of that per-share reduction to dilution from 11.8 million new scrip shares issued in H1 2025 at a discount to NRV.
Sustainability and credit ratings
On the ESG front, 99.0% of the commercial standing portfolio by value is green-certified. The group owns 52 green-certified properties worth €2.5 billion and recertified 11 assets during the year with BREEAM Excellent and LEED Platinum levels. The seventh sustainable development report was issued in H1 2025.
Ratings-wise, Fitch reaffirmed Globalworth’s investment grade rating with a stable outlook in July. S&P, in March 2025, changed the corporate credit rating to BB with a stable outlook.
Where the portfolio sits: Poland vs Romania
Globalworth remains a CEE office specialist with income-producing assets making up approximately 98.4% of the portfolio.
| Poland | Romania | Group | |
|---|---|---|---|
| GAV / Standing GAV | €1,411m / €1,404m | €1,211m / €1,176m | €2,622m / €2,580m |
| Occupancy | 78.0% | 94.4% | 85.4% |
| WALL | 3.9 years | 4.9 years | 4.3 years |
| Standing GLA | 578.3k sqm | 479.8k sqm | 1,058.1k sqm |
| Contracted rent | €99.9m | €89.7m | €189.5m |
Key numbers at a glance
| Metric | 2025 | 2024 |
|---|---|---|
| Portfolio value | €2.6 billion | €2.6 billion (c.) |
| Net Operating Income | €137.0 million | €143.7 million |
| Adj. normalised EBITDA | €118.4 million | €126.2 million |
| EPRA earnings | €32.5 million | €56.1 million |
| IFRS EPS | 3 cents | -31 cents |
| Contracted rent | €189.5 million | €187.5 million |
| Commercial occupancy | 85.4% | 86.8% |
| Cash and cash equivalents | €410.6 million | €333.6 million |
| Weighted average interest rate | 4.81% | 4.87% |
| LTV | 37.0% | 38.1% |
My take: the good, the bad, and what to watch
Positives
- Back to black: IFRS profit of €9.6 million helped by much smaller valuation losses.
- Defensive funding: 91.4% of debt fixed/hedged, average rate down to 4.81%, and strong year-end liquidity even after the 2029 Notes redemption.
- Portfolio resilience: like-for-like NOI and EBITDA broadly held up thanks to indexation; LTV improved to 37.0%.
- ESG credentials: 99.0% of the commercial portfolio by value is green-certified – helpful for occupier demand and financing.
Watch-outs
- Occupancy drift: 85.4% is workable but leaves room to fill, especially in Poland (78.0%). Leasing into 2026 will be key, including post-refurb assets like BOC and Renoma.
- Underlying earnings: EPRA earnings fell to €32.5 million and adjusted EBITDA eased; the one-off tax hit is done, but rent growth needs to outpace costs to re-accelerate.
- Dilution effect: EPRA NRV per share dropped 4.5%, with €0.15 per share from scrip dilution. Capital allocation and buyback vs scrip will be part of the debate.
Jargon buster
- EPRA earnings – an industry measure of recurring profit from rental operations, stripping out most valuation and non-recurring items.
- EPRA NRV – Net Reinstatement Value, a long-term measure of net asset value designed for property companies.
- LTV – loan-to-value, debt as a percentage of property value. Lower is generally safer.
- WALL – weighted average lease length, the average time to lease expiry across the portfolio.
What I’m watching next
- Audited results and the 2025 Annual Report due late March 2026.
- Leasing momentum and occupancy recovery, especially in Poland and at refurbished assets.
- Green Court D pre-letting and delivery timetable.
- Further debt actions, interest cost trajectory, and the balance between cash dividends and scrip.
Overall, this is a steady set from Globalworth: modest valuation gains, a clean return to profit, prudent treasury work, and clear leasing work to do. In a market still balancing hybrid working with quality flight, that combination is far from a bad place to be.
