Property company boosts profits despite higher costs
The Zurich-based property company Züblin is satisfied with its performance in the 2025/26 financial year. Despite higher property-related expenses, Züblin increased its operating profit by 4.6 per cent to CHF 9.2 million. Profit fell slightly to CHF 7.5 million, whilst EPRA profit rose to CHF 5 million.
Züblin looks back on a “successful 2025/26 financial year”, according to a press release. Rental income from all properties rose by CHF 0.6 million to CHF 9.8 million. Although the property company had to bear higher operating costs due to higher insurance premiums and increased service charges, it increased its EBITDA (earnings before interest, taxes, depreciation and amortisation) by 7 per cent to CHF 6.8 million.
The property portfolio was revalued by CHF 3.1 million, or 1.3 per cent. In the previous year, the revaluation had amounted to CHF 5.8 million, or 2.6 per cent. Züblin cites the improved market environment, excess demand and lower yield requirements as reasons for this. Net profit fell from CHF 8.7 million to CHF 7.5 million as a result of lower revaluations, the company said. By contrast, the so-called EPRA profit (European Public Real Estate Association), adjusted for valuation effects, rose by CHF 0.5 million to CHF 5 million, whilst EPRA earnings per share increased from CHF 1.35 to CHF 1.51
The Board of Directors intends to propose a tax-free distribution totalling CHF 2.25 per share to the Annual General Meeting. Of this, CHF 1.00 represents an extraordinary distribution, following the absence of a dividend payment in the previous year. The ordinary distribution amounts to CHF 1.25 per share, which is CHF 0.25 higher than the last regular dividend paid to date.
For 2026, Züblin continues to expect the Swiss property market to perform well, despite geopolitical uncertainties and subdued economic conditions. The key drivers are seen as high demand for property investments and strong inflows into Swiss property funds.