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PSP Swiss Property has confirmed its 2026 EBITDA guidance of CHF 335 million after reporting a stronger first-half performance. Rental income remained broadly stable at CHF 174 million, while net income excluding gains and losses on real estate investments rose 40.1% to CHF 149.7 million. The company’s real estate portfolio was valued at CHF 10.2 billion at the end of the first half. PSP Swiss Property also acquired a Zurich property for CHF 75 million, with a potential earn-out of up to CHF 5 million. Moody’s has upgraded the company’s rating to A2 from A3.
PSP Swiss Property has maintained its 2026 EBITDA guidance of CHF 335 million following its first-half results, supported by higher earnings and the successful sale of its Richtipark development project in Wallisellen.
The company reported rental income of CHF 174 million during the first half, broadly unchanged from the corresponding period last year. Net income excluding gains and losses on real estate investments increased 40.1% to CHF 149.7 million, compared with CHF 106.9 million a year earlier. EBITDA excluding gains and losses on real estate investments rose 26% to CHF 187.4 million, while the EBITDA margin improved to 87.1%.
PSP Swiss Property's return on equity stood at 8.3%, while earnings per share excluding gains and losses on real estate investments increased 40.1% to CHF 3.26. Overall net income rose 21.7% to CHF 236.5 million.
The company’s real estate portfolio was valued at CHF 10.2 billion at the end of the first half, compared with CHF 10.1 billion at the end of 2025. The portfolio comprised 148 investment properties and 11 development properties. The vacancy rate stood at 4% at the end of the first half, temporarily higher than the 3.5% recorded at the end of 2025. PSP Swiss Property continues to expect the vacancy rate to return to 3.5% by the end of 2026.
During the second quarter, PSP Swiss Property acquired the Schützengasse 1 / Beatengasse 4 property in Zurich for CHF 75 million. The purchase price could increase by up to CHF 5 million depending on the agreed earn-out conditions. The company also completed the sale of its Richtipark development project in Wallisellen for CHF 150 million, with additional earn-out payments of up to CHF 24.75 million.
The Richtipark transaction was a key factor behind the improvement in the company’s first-half earnings and led PSP Swiss Property to increase its 2026 EBITDA guidance from the earlier CHF 310 million to CHF 335 million. The latest guidance is now confirmed.
PSP Swiss Property also received a rating upgrade from Moody’s, which raised its Long-Term Issuer Rating to A2 from A3, with a stable outlook. The company ended the first half with shareholders’ equity of CHF 5.7 billion and an equity ratio of 55.4%. Interest-bearing debt stood at CHF 3.39 billion, equivalent to 32.9% of total assets.
The company expects the Swiss property market to perform well during 2026, particularly in its core market segment. It expects demand for high-quality office and commercial properties in central locations to remain strong. PSP Swiss Property also sees continued demand from institutional investors for high-quality and sustainable assets, although the availability of properties that meet its investment criteria remains limited.
PSP Swiss Property said it will continue to take a selective approach to acquisitions, focusing on properties in prime locations with potential for medium- to long-term value appreciation. The company owns a portfolio concentrated in Switzerland's major economic centres, with Zurich and Geneva continuing to see strong demand for centrally located commercial space.
Source Reuters
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