VIB Vermogen AG has reported its first half-year 2026 results, which are in line with its plan, despite ongoing market uncertainties. The company achieved strategic and operational milestones, including a significant increase in income from its Institutional Business segment and the conclusion of a joint venture in project development.
Gross rental income for the reporting period declined to EUR 46.8 million from EUR 50.2 million in the previous year, primarily due to property sales in 2025 and 2026. Funds from operations (FFO) decreased to EUR 24.1 million from EUR 47.8 million, mainly because of the loss of interest income from a loan to Branicks Group AG. However, income from property management in the Institutional Business segment surged to EUR 19.1 million from EUR 3.3 million, reflecting the segment's expansion.
The Management Board confirmed its full-year guidance for FFO in the range of EUR 60–70 million. Expected transactions in the Institutional Business segment are anticipated to significantly increase property management income in the second half of the year. Assets under management (AuM) stood at EUR 9.7 billion as of June 30, 2026, down from EUR 10.1 billion at the end of 2025, due to disposals in both the own portfolio and the Institutional Business segment.
In the Commercial Portfolio, the market value of properties remained unchanged at EUR 1.8 billion. Net rental income decreased to EUR 40.9 million from EUR 44.5 million, and the EPRA vacancy rate rose to 11.5% from 6.3%. The increase in vacancy is attributed to transaction-related vacancies.
VIB continues to maintain a solid financing structure, with an average interest rate on bank loans of 2.5% per annum and a loan-to-value ratio of 41.2%, down from 43.0%. The company secured the refinancing of EUR 58 million promissory note loans due in September 2026 and March 2027, providing planning certainty.
Strategically, VIB is focusing on expanding its Institutional Business segment and scaling its project development business. The joint venture with Tristan Capital, concluded in the first half of 2026, combines Tristan's financial capacity with VIB's development expertise. Additionally, Christian Fritzsche joined the Management Board to lead the Institutional Business segment.
Dirk Oehme, Speaker of the Board, commented: "Despite ongoing market uncertainties, persistent geopolitical tensions and volatile interest rates, we are fully on track with the development of the first half of the year. Our current transaction pipeline will ensure further income over the course of the year. This, together with the joint venture in project development that we recently concluded, represents further milestones that point to a promising development of the VIB Group in the coming years."
The guidance for fiscal year 2026 remains confirmed. The Half-Year Report 2026 is available for download at VIB's website. This news matters as it demonstrates VIB's resilience and strategic adaptability in a challenging economic environment, with significant growth in the Institutional Business segment and strategic moves that are expected to drive future income.
