Press Release: Corporación Inmobiliaria Vesta Reports Third Quarter 2025 Earnings Results

Dow Jones10-24
MEXICO CITY--(BUSINESS WIRE)--October 23, 2025-- 

Corporación Inmobiliaria Vesta S.A.B. de C.V., ("Vesta", or the "Company") (BMV: VESTA; NYSE: VTMX), a leading industrial real estate company in Mexico, today announced results for the third quarter ended September 30, 2025. All figures included herein were prepared in accordance with International Financial Reporting Standards (IFRS), which differs in certain significant respects from U.S. GAAP. This information should be read in conjunction with, and is qualified in its entirety by reference to, Vesta's consolidated financial statements, including the notes thereto. Vesta's financial results are stated in US dollars unless otherwise noted.

Q3 2025 Highlights

   --  Vesta has revised its full year 2025 guidance: EBITDA margin is 
      expected to reached 84.5%, an increase from prior guidance of 83.5%, 
      reflecting the Company's continued expense control discipline. Per 
      previously issued guidance, revenue and adjusted NOI margin are expected 
      to be solidly achieved between 10.0-11.0% and 94.5%, respectively. 
 
   --  Vesta delivered strong financial results for the third quarter 2025: 
      total income reached US$ 72.4 million; a 13.7% year over year increase, 
      while total income excluding energy reached US$ 69.9 million; a 14.5% 
      increase compared to US$ 61.1 million in the third quarter 2024. Third 
      quarter 2025 Adjusted NOI1 margin and Adjusted EBITDA2 margin reached 
      94.4% and 85.3%, respectively. 
 
   --  Vesta FFO reached US$ 47.4 million for the third quarter 2025; a 16.5% 
      increase compared to US$ 40.7 million in the third quarter 2024, while 
      Vesta FFO per share reached US$ 0.055; a 20.1% year over year increase. 
 
 
   --  Third quarter 2025 leasing activity reached 1.7 million sf: 600 
      thousand sf in new contracts with existing and new Vesta tenants in the 
      electronics, e-commerce and automotive sectors reflecting improving 
      market dynamics, and 1.1 million sf in lease renewals with an average 
      weighted lease life of approximately six years. Vesta began construction 
      on one new building in Guadalajara and delivered 1.3 million sf of new 
      buildings during the third quarter 2025. Vesta's third quarter 2025 
      stabilized portfolio occupancy reached 94.3%. 
 
   --  Third quarter 2025 renewals and re-leasing reached 1.2 million sf with 
      a trailing twelve-month weighted average spread of 12.4%. Same-store NOI 
      increased by 2.4% year over year. 
 
   --  On September 30, 2025, the Company announced the successful closing of 
      US$ 500 million senior unsecured notes at a 5.50% interest rate due 2033, 
      strengthening Vesta's balance sheet, providing financial flexibility and 
      enabling continued execution of Vesta's long term strategy, also with 
      progress towards a fully unsecured capital structure. The issuance 
      received a credit rating of BBB-/Positive by both S&P Global Ratings and 
      Fitch. A portion of the proceeds will be used to prepay existing debt and 
      subsequent to the quarter's end, on October 9, 2025, Vesta paid its 
      Metlife II credit facility and related incremental facility of US$ 150 
      million and US$ 26.6 million, respectively. 
 
   --  During the third quarter Vesta sold an 80,604 square foot building in 
      Ciudad Juarez for US$ 5.5 million- an approximately 10% premium to 
      appraisal value- aligned with Vesta's strategy to opportunistically 
      recycle assets. 
 
   --  Subsequent to quarter's end, on October 22, 2025, Vesta acquired 330 
      acres of land in Monterrey, in the high-demand Monterrey-Apodaca Airport 
      Highway corridor, with an initial payment of US$ 46.9 million, equivalent 
      to 50% of the total price. The deal included 2-year seller financing, 
      providing flexible capital deployment. The site benefits from a strategic 
      location next to the Monterrey International Airport and Nuevo 
      León's Research and Technology Innovation Park, offering exceptional 
      connectivity and direct access to a highly skilled labor pool. With this 
      acquisition, Vesta has secured almost all of the land required to deliver 
      the Company's Route 2030. 
 
   --  Vesta paid US$ 17.4 million in dividends for the third quarter of 2025, 
      equivalent to MXN$ 0.3751 per ordinary share, on October 15, 2025. 
 
                                                           9 months 
----------------------------  -------  -------  ------  --------------  ------ 
Financial Indicators 
(million)                     Q3 2025  Q3 2024  Chg. %   2025    2024   Chg. % 
----------------------------  -------  -------  ------  ------  ------  ------ 
Total Rental Income            72.4     63.7     13.7   206.8   187.3    10.4 
----------------------------  -------  -------  ------  ------  ------  ------ 
Total Revenues (-) Energy      69.9     61.1     14.5   200.3   180.8    10.8 
----------------------------  -------  -------  ------  ------  ------  ------ 
Adjusted NOI                   66.1     57.6     14.7   190.0   171.5    10.8 
----------------------------  -------  -------  ------  ------  ------  ------ 
   Adjusted NOI Margin %       94.4%    94.3%           94.9%   94.9% 
----------------------------  -------  -------  ------  ------  ------  ------ 
Adjusted EBITDA                59.7     51.9     15.0   170.0   152.0    11.9 
----------------------------  -------  -------  ------  ------  ------  ------ 
   Adjusted EBITDA Margin %    85.3%    85.0%           84.9%   84.1% 
----------------------------  -------  -------  ------  ------  ------  ------ 
   EBITDA Per Share           0.0696   0.0587    18.5   0.1973  0.1705   15.7 
----------------------------  -------  -------  ------  ------  ------  ------ 
Total Comprehensive Income     27.6     43.4    (36.3)   71.3   276.7   (74.2) 
----------------------------  -------  -------  ------  ------  ------  ------ 
Vesta FFO                      47.4     40.7     16.5   135.5   118.3    14.6 
----------------------------  -------  -------  ------  ------  ------  ------ 
   Vesta FFO Per Share        0.0552   0.0460   2010.5  0.1573  0.1327  1856.2 
----------------------------  -------  -------  ------  ------  ------  ------ 
Vesta FFO (-) Tax Expense      41.5     35.2     18.0   115.3    87.9    31.2 
----------------------------  -------  -------  ------  ------  ------  ------ 
   Vesta FFO (-) Tax Expense 
    Per Share                 0.0484   0.0398    21.7   0.1339  0.0986   35.8 
----------------------------  -------  -------  ------  ------  ------  ------ 
Diluted EPS                   0.0322   0.0490   (34.4)  0.0828  0.3104  (73.3) 
----------------------------  -------  -------  ------  ------  ------  ------ 
Shares (average)               858.3    884.8   (3.0)   861.4   891.3   (3.4) 
----------------------------  -------  -------  ------  ------  ------  ------ 
 
   --  Third quarter 2025 total revenues reached US$ 72.4 million; a 13.7% 
      year on year increase from US$ 63.7 million in the third quarter 2024. 
      Total revenues excluding energy increased to US$ 69.9 million; a 14.5% 
      year on year increase from US$ 61.1 million in 2024 due to US$ 7.8 
      million in new revenue-generating contracts and a US$ 1.9 million 
      inflationary favorably impact on third quarter 2025 results. 
 
   --  Third quarter 2025 Adjusted Net Operating Income (Adjusted NOI) 
      increased 14.7% to US$ 66.1 million, compared to US$ 57.6 million in the 
      third quarter 2024. The third quarter 2025 Adjusted NOI margin was 94.4%; 
      a 16-basis-point year on year increase due to higher rental income while 
      the proportion of costs relative to rental income decreased, resulting in 
      a higher margin. 
 
   --  Adjusted EBITDA for the quarter increased 15.0% to US$ 59.7 million, as 
      compared to US$ 51.9 million in the third quarter 2024. The Adjusted 
      EBITDA margin was 85.3%; a 34-basis-point increase primarily due to 
      higher revenue during the quarter, while administrative expenses as a 
      percentage of rental income declined due to Vesta's continued expense 
      control discipline. 
 
   --  Third quarter 2025 Vesta funds from operations after tax (Vesta FFO (-) 
      Tax Expense) increased to US$ 41.5 million, from US$ 35.2 million for the 
      same period in 2024. Vesta FFO after tax per share was US$ 0.0484 for the 
      third quarter 2025 compared with US$ 0.0398 for the same period in 2024; 
      a 21.7% increase. This increase is due to higher EBITDA as well as fewer 
      shares outstanding in the third quarter 2025. Third quarter 2025 Vesta 
      FFO excluding current tax was US$ 47.4 million compared to US$ 40.7 
      million in the third quarter 2024 due to an increase in third quarter 
      2025 profit compared to the same period in 2024. 
 
   --  Third quarter 2025 total comprehensive income was US$ 27.6 million 
      versus a US$ 43.4 million gain in the third quarter 2024, primarily due 
      to lower gain on revaluation and higher taxes during the third quarter 
      2025. 
 
   --  The total value of Vesta's investment property portfolio was US$ 3.9 
      billion as of September 30, 2025; a 5.9% increase compared to US$ 3.7 
      billion at the end of December 31, 2024. 

For a full version of Corporación Inmobiliaria Vesta Third Quarter 2025 Earnings Release, please visit: https://ir.vesta.com.mx/financial-results

CONFERENCE CALL INFORMATION

Conference Call

Friday October 24, 2025

9:00 a.m. (Mexico City Time)

11:00 a.m. (Eastern Time)

To participate in the conference call please connect via webcast or by dialing:

International Toll-Free: +1 (888) 350-3870

International Toll: +1 (646) 960-0308

International Numbers: https://events.q4irportal.com/custom/access/2324/

Participant Code: 1849111

Webcast: https://events.q4inc.com/attendee/463630198

(MORE TO FOLLOW) Dow Jones Newswires

October 23, 2025 17:14 ET (21:14 GMT)

At the request of the copyright holder, you need to log in to view this content

Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.

Comments

We need your insight to fill this gap
Leave a comment