Half year 2026 Xior Student Housing NV Earnings Call

August 6, 2026

Sandra Aznar: To the highlights of our first performance. Our COO, Kristina, and CFO, Frederik, will take a deeper dive into the operational and financial results. Following the presentation, we will open the floor for a Q&A session. For the sake of time, we kindly ask that the live Q&A be limited to questions from sell-side analysts. If you have any other questions, please feel free to submit them via the chat during the call or reach out to me directly afterwards. We'll make sure to come back to you as soon as possible after the meeting. With that, I'll hand over to Christian. Christian, the floor is yours.

Speaker #1: Highlights of our first performance, and then our COO, Christina, and CFO, Frederick, will take a deeper dive into the operational and financial results. Following the presentation, we will open the floor for a Q&A session.

Speaker #1: For the sake of time, we kindly ask that the live Q&A be limited to questions from sell-side analysts, if you have any other questions please feel free to submit them via the chat.

Speaker #1: During the call, or reach out to me directly afterwards. We'll make sure to come back to you as soon as possible after the meeting.

Speaker #1: With that, I'll hand over to Christian. Christian, the floor is yours.

Speaker #2: Thank you, Sonja. So, welcome also from my side to everybody attending this analyst call. The highlights: H1 2026. We always like to start with the three USPs.

Christian Teunissen: Thank you, Sandra. Welcome also from my side to everybody to attend this earnings call. The highlights H1 2026. We always like to start with the 3 USPs. Why should somebody invest in Xior? We have a unique operational platform, as everybody knows, in a structural undersupplied market, and this drives rental growth, higher valuations, and also good cash flow. Maybe to focus on a couple of topics, the record demands that we were mentioning this morning. This has been the strongest rental season to date. Where we have focus on Vondel that we delivered last year, Kristina will come back on that later. Fully let only after 1 year. We are looking at 98% occupancy for that H1, and also we look at full occupancy. That's also inside. The pricing power, as everybody knows, 4.92% like-for-like rental growth. That's well above inflation.

Christian Teunissen: Thank you, Sandra. Welcome also from my side to everybody to attend this earnings call. The highlights H1 2026. We always like to start with the three USPs. Why should somebody invest in Xior? We have a unique operational platform, as everybody knows, in a structural undersupplied market, and this drives rental growth, higher valuations, and also good cash flow. Maybe to focus on a couple of topics, the record demands that we were mentioning this morning. This has been the strongest rental season to date. Where we have focus on Vondel that we delivered last year, Kristina will come back on that later. Fully let only after one year. We are looking at 98% occupancy for that H1, and also we look at full occupancy. That's also inside. The pricing power, as everybody knows, 4.92% like-for-like rental growth. That's well above inflation.

Speaker #2: Why should somebody invest in Xior? We have a unique operational platform, as everybody knows, in a structurally undersupplied market, and this drives rental growth, higher valuations, and also cash flow.

Speaker #2: Maybe let’s focus on a couple of topics: the record demand that we mentioned this morning. This has been the strongest rental season to date.

Speaker #2: Also, where we have focused on Rinado, that we delivered last year and so Christina will come back on that later. Fully led only after one year.

Speaker #2: We are looking at 98% occupancy for the H1, and also we look at full occupancy; that's also in sight. The pricing power, as everybody knows, 4.92% light for light rental growth.

Speaker #2: That's well above inflation, and also I will present the slide afterwards. The affordability is not an issue, and also the higher education that supports the demand.

Christian Teunissen: I will present the slide afterwards. The affordability is not an issue. The higher education supports the demand and the like-for-like rental growth full year above 4%. The value creation, also valuations go up by 1.25%, so it's a plus of EUR 44 million. The rental growth outweighs rising interest rates, also important to mention. We will deliver this year 1,100 additional units with an additional rent of EUR 10 million. Financially, EPS and DPS guidance is reconfirmed. The credit lines are fully covered within the next 18 months like we always did the last quarters. LTV a little bit above 50% due to the fact that we had a payout ratio of 80% and approximately EUR 80 million in cash this year. The target remains by the end of the year to go below the 50%.

Speaker #2: And the like-for-like rental growth for the full year is above 4%. The value creation, also, valuations go up by 1.25%, so it's a plus of €44 million.

Speaker #2: The rental growth outweighs rising interest rates—also important to mention. And we will deliver this year 1,100 additional units, with an additional rent of €10 million.

Speaker #2: And then financially, EPS and DPS guidance is reconfirmed. Also, the credit lines are fully covered within the next 18 months, like we have always done in the last quarters.

Speaker #2: LTV is a little bit above 50% due to the fact that we had to pay out a ratio of 80%, at approximately €80 million in cash this year.

Speaker #2: And the target remains by the end of the year to go below the 50%. Then on the next slide, and to focus a little bit, to go a little bit deeper on a couple of topics, the unique platform.

Christian Teunissen: On the next slide and to focus a little bit, to go a little bit deeper on a couple of topics. The unique platform, the high-quality rooms, excellent service, and Baselife community, and more the focus on hospitality. Kristina, she organized this year country days. In each country we bring staff together in one place. This was an example in Portugal, where we had Porto and Lisbon together in Lisbon for a full day, let's say, of education and exchanging experiences as well. We attended as well, and it was Lumiar in Lisbon. Next door was a new delivery of a colleague of us. We said, "Do we feel it?" I said, "Yeah, certainly you feel it at first moment," all the students immediately return.

Speaker #2: So, the high-quality rooms, excellent service, and baseline community, and more the focus on hospitality. Christina, she organized this year Country Days, so in each country we bring the staff together in one place.

Speaker #2: And this was an example in Portugal, where we had Porto and Lisbon together in Lisbon, for a full day, let's say, of, let's say, education and exchanging experiences as well.

Speaker #2: And we attended as well, and we raised the question, okay, next door, and it was Lumière in Barcelona, in Lisbon, next door was a new delivery of a colleague of us, and we said, do we feel it?

Speaker #2: And they said, yeah, certainly, you feel it. That's the first moment. But then all the students immediately returned, and even then we were fully let, and we said, okay, what's the reason behind it?

Christian Teunissen: Even then we were fully let and we said, "Okay, what's the reason behind it?" That's because we're really, really, thanks to Kristina as well, and her team, we're focusing on that hospitality part. We know, and that's what they also told us, the staff members, we know all the tenants, all the students by name. We really meet them in person, and we know their name. We can communicate with them and also what we always want to do, somebody is, for example, doing a reparation of their air conditioning. A tenant will pass by with a question. He immediately, he drops his tools, and he will respond to student, because student is the most important part of our business. He will respond, and then he will return to work. That's really what we're focusing on, the Xior family, the feel at home.

Speaker #2: And that's because, really, really thanks to Christina as well and her team, we're focusing on that hospitality part. So we know—that's what I also told the staff members—we know all the tenants, all the students, by name.

Speaker #2: We really need them in person, and we know their name. We can communicate with them. And also, what we always want to do—somebody is, for example, doing a repair on the air conditioning, a tenant will pass by with a question; immediately, he drops his tools and he will respond to the student, because the student is the most important part of our business.

Speaker #2: So he will respond, and then he will return to work. So that's really what we're focusing on, the XIOR family, the feel-at-home, they need to feel at home.

Christian Teunissen: They need to feel at home. That results also in the fact that we have 86% of student satisfaction and also the Google review is really high. This drives the retention and the pricing power, of course. The robust demand, the shortage in the markets, as everybody knows, and affordability. That's really to emphasize, really important, again, to go to university, higher education, it's almost for free. As always explained, in Belgium, it's EUR 1,000, in the Netherlands, it's EUR 2,000. In Germany, it will be zero, in Denmark, it will be EUR 0. On the continent, it feels like a subsidized system. The only thing that the student has to pay attention to worry about, is student accommodation, to find student housing. Even then, it's at a low end if you compare it to the rest of the world. Also the limited new supply.

Speaker #2: That's the results also in the fact that we have 86% of students satisfaction and also the Google review is really high. This drives the retention and the pricing power of course.

Speaker #2: Then the robust demands. The shortage in the markets, as everybody knows. And then affordability, and that's really to emphasize really important again, to go to university, higher ed education, it's almost free.

Speaker #2: It's always explained: in Belgium, it's €1,000; in the Netherlands, it's €2,000; in Germany, it will be zero; in Denmark, it will be zero euros.

Speaker #2: So, on the component, it feels like a subsidized system. So the only thing that a student has to pay attention to, to worry about, is student accommodation—to find student housing—and even then, it's at the low end if you compare it to the rest of the world.

Speaker #2: The limited, also the limited new supply—there are not that many deliveries on the continent. And this supports the occupancy and further rental growth, of course.

Christian Teunissen: There are not that many deliveries on the continent, this supports the occupancy and further rental growth, of course. The operational leverage, I'll leave that a little bit later to Kristina. She's going to focus on the standardization, the new website, and also the faster ramp-up. We have also a slight focus on the faster ramp-up, so that we can bring the cost per units lower, and that will support the margin growth even further in the future. The organic earnings growth at the pricing power above inflation, more than 4% like-for-like rental growth in 2026. We have the additional income of approximately EUR 10 million from the active pipeline. In the next slide, we really want to present here the fact that if you compare us to the Eurozone inflation, we always beat this inflation number.

Speaker #2: The operational leverage, I leave that a little bit later to Christina, she's going to focus on the standardization, the new website, and also the faster ramp-up we have also a slide focus on the faster ramp-up.

Speaker #2: And so that we can bring the cost per unit lower and that will support the margin growth even further in the future. And then the organic earnings growth, the pricing power, both above inflation, more than 4% light for light, rental growth in 26, and we have the additional income of approximately 10 million euros from the active pipeline.

Speaker #2: And the next slide, we really want to present the year, the fact that we if you compare us to the Eurozone inflation, we always beat this inflation number, but you have a look at 23, it's plus 1%, 24 plus 4%, 25, 3.5%, and again this year a little bit above 2%.

Christian Teunissen: When you have a look at 2023, it's +1%, 2024, +4%, 2025, 3.5%, and again, this year, a little bit above 2%. Also, EPS and DPS, the guidance reconfirms 2026, +4%, and also for 2027, +4%. I leave it over to you, Kristina.

Speaker #2: And then also, EPS and DPS guidance was reconfirmed: €2.60 plus 4% for 2026, and also for 2027, plus 4%. And then I leave the floor to you, Christina.

Speaker #3: So yeah, thank you. Morning, everyone. Let's start with what was a strong rental season and the updates and outlook for September and October. As we communicated, this was indeed strong.

Kristina Olsen: Yeah. Thank you. Morning, everyone. Let's start with the strong rental seasons and the updates and outlook for September, October. As we communicated, this is really indeed strong. It's the strongest we ever had, and it is really literally all markets are performing. What do I mean by strong? It's just that it's selling much quicker, and we are reaching the full cities, the 100% occupancy very early. Also, we have been able to increase prices during the sales season. We put some, I will not say algorithm, because I don't want this to be automized. I want the eyes on the ball at any time. We really also monitor competitors and room by room. We have a rule. If we reach 80% in a city on a property very quick, meaning April, May, then we start increasing prices.

Speaker #3: It's the strongest we ever had. And it is really literally all markets are performing. So what do I mean by strong? It's just that it's selling much quicker and we are reaching the full cities, the 100% occupancy very, very early.

Speaker #3: Also, we have been able to increase prices during the sales season. We put in—well, I will not say 'algorithm' because I don't want this to be automated.

Speaker #3: I want the eyes on the ball at any time. So we really also monitor competitors and room by room. But we have a rule: if we reach, like, 80% in a city on a property, very quickly—meaning April or May—then we start increasing prices.

Speaker #3: So we are actually now in a position where we are adjusting the speed of sell ourselves with our pricing mechanism, and we are really strong, really happy about that.

Kristina Olsen: We are actually now in a position where we are adjusting the speed of sell ourself with our pricing mechanism. Really strong, really happy about that. There are no areas that are suffering, I would say. Everything is going according to plan. Yeah. One thing to highlight there is really Poland. Poland were our newest market. The area where we maybe were less experienced as a Xior team. We have done a lot of changes and also introduced the Xior recipe there, and there the selling is just going crazy. We are really selling quick. Just from Friday when we make this deck here and until now, there were 150 room more sold. This is going really quick. Several cities are fully let. Warsaw let, Katowice let, Wroclaw fully let. We still have some few rooms in Kraków and also in Łódź.

Speaker #3: So, there are no areas that are suffering, I would say. Everything is going according to plan. Yeah, one thing to highlight there is really Poland.

Speaker #3: Poland was like our newest market. I mean, the area where we maybe were less experienced as a Xior team. And we have done a lot of changes and also introduced the Xior recipe.

Speaker #3: There. And there the selling is just going crazy. We're really, really selling quick just from Friday when we made this deck here and until now there were like 150 room more sold.

Speaker #3: So this is going really quickly. Several cities are fully let: Warsaw is let, Katowice is let, Wrocław is fully let. We still have a few rooms left in Kraków and also in Łódź, but that's also, as I said, because we really pushed the prices to the limit.

Kristina Olsen: That's also, as I said, because we really pushed the prices to the limit, so I don't want to be full too quick. Also to mention that for Poland, I will be a little back because Poland had a structural three terms a year. There were a first semester, a second semester, and then there were the summer. Now we really managed. That's also the Xior recipe. We really managed to sell the majority 10 months. That also means even though the university do not start their education until October, we actually sell the rooms as of September. Yeah, I'm really happy about Poland. We will be a little back to look into Wenedów in a second. Yeah, I can fully confirm the high occupancy will stay high for sure, and also the like-for-like are well above inflation. Okay. Yeah, what is driving this?

Speaker #3: So I don't want to be fooled too quickly. Also, to mention there for Poland, I will be a little bit back, because Poland had like a structural three terms: a year that were first semester, a second semester, and then there were the summer.

Speaker #3: And now we really manage, that's also the XIOR recipe—we really managed to sell the majority within 10 months. That also means, even though the universities do not start their education until October, we actually sell the rooms as of September.

Speaker #3: So yeah, I'm really happy about Poland, but we'll be back in a little bit to look into the vendor in a second. So yeah, I can fully confirm the high occupancy will stay high for sure.

Speaker #3: And also, the like-for-like are well above inflation. Okay. Yeah, so what is driving this? Of course.

Kristina Olsen: Of course-

Speaker #1: Is now exiting.

Christian Teunissen: Kristina is now exiting.

[Unknown Speaker]: Kristina is now exiting.

Speaker #3: All right, no questions. Okay, I'll continue. So the structural demand is for sure helping us, no doubt. The growth of students coming into continental Europe keeps on increasing.

Kristina Olsen: All right. No questions. I'll continue. The structural demand is for sure helping us, no doubt. It's the growth of student coming into continental Europe keep on increasing, and we really also feel that. We are much better with our digital marketing, so we can actually, from our data, see where is the search coming from, and then we can be much more active towards specific area in China or wherever the students are coming from. That demand is also really a driver. The high retention, it's really driven by our customer satisfaction. I think I'm not going to elaborate too much more about that, but it is really amazing what we do with the service level and also the Baselife community. Students love us.

Speaker #3: And we really also feel that. Also, we are much better with our digital marketing, so we can actually, from our data, see where the search is coming from.

Speaker #3: And then we can be much more active towards specific areas in China or wherever the students are coming from, so that demand is also really a driver.

Speaker #3: The high retention is really driven by our customer satisfaction. I think I'm not going to elaborate too much more about that, but it is really amazing what we do with the service level and also baseline community—students love us.

Speaker #3: And we need to do that and continue so that we get every corner of our business supported by this service DNA, because this is really the differentiator.

Kristina Olsen: We need to do that and continue so that we get every corner of our business supported by this service DNA. This is really the difference creator. This is why I would say we are much better than all the competitors, because we really nail the service part. All our employees have the service DNA, and on top of that, we have a program where we are really structural running the events and not only fun, also the care and the professional, helping the students getting jobs, and so on. This is something very unique for us. This really gives the value. This is a value driver, also a price component, I would say.

Speaker #3: This is what XIOR is. This is why I would say we are much better than all the competitors, because we really nailed the service part.

Speaker #3: All our employees has the service DNA and on top of that we have a program where we are really structural running the events and not only fun, also the care and the professional helping the students getting jobs and so.

Speaker #3: So this is something very unique for us. And, yeah, this really gives value. This is a value driver—also a price component, I would say.

Speaker #3: Regarding commercial execution, I told you that I don't want to have all the dynamics automated in a system, because we want local letting input at any time. This allows us to be able to beat competitors and see what's going on.

Kristina Olsen: The commercial execution, I told you I don't want to have all the dynamics automized in a system because we want the local letting input at any time, also to be able to beat competitors and see what's going on. We want the eye on the ball, not only for the service, but also for the commercial. We, of course, always had nomination agreement with universities and big student organizations, but we are really scaling up on the B2B partnership in the cities. That's everything from NGOs and everything that a little relates to education environment. We can group bookings in our properties. This is also really supporting the occupancy. Last, the digital conversion. I think we mentioned in last meeting that we just launched a new website, a full new website for Xior everywhere, and this is really also helping us.

Speaker #3: So, we want the eye on the ball, not only for the service but also for the commercial. We also, of course, always had nomination agreements with universities and big student organizations, but we are really scaling up on the B2B partnership in the cities.

Speaker #3: And that's everything from NGOs and everything that is a little related to the education environment. We can book group bookings in our properties. This is also really supporting the occupancy.

Speaker #3: And then last, the digital conversion. I think we mentioned in the last meeting that we just launched the new website, full new websites for XIOR everywhere.

Speaker #3: And this is really also helping us. It might not yeah, to look and feel is different. It's much more modern, but what is really, really strong is all the data behind that.

Kristina Olsen: The look and feel is different. It is much more modern, but what is really strong is all the data behind that. That really helps us in our both the digital conversion, but also in the search. Maybe next slide. Feet on the ground. I really want to mention it. This is so important that we have the local market knowledge. We have the local people that are well trained, that are really having the Xior DNA but also commercial-driven. This is really unique for us, and it goes for all our different colleagues. It is not only the commercial assistant or sales people, it is, as Christian said, also our maintenance technicians and our handymen. They have this service DNA. That also means that if we have a competitor entering a city, which of course exists, there are more than Xior out there, so we are not alone.

Speaker #3: That really helps us in our both the digital conversion, but also in the search. So maybe next slide. Yeah. Feet on the ground. I really want to mention that this is so important that we have the local market knowledge.

Speaker #3: We have local people who are well trained, who really have the XIOR DNA, but are also commercially driven. I mean, this is really unique for us.

Speaker #3: And it goes for all our different colleagues. It's not only the commercial assistant or service people. It's, as Christian said, also our maintenance technicians and our handyman.

Speaker #3: They have this service DNA, and that also means that if we have a competitor entering a city—which of course exists; there are more than XIOR out there—

Speaker #3: So, we are not alone. Then, immediately, we know what's going on, and immediately we put together a recipe on how to beat them. So this 'feet on the ground' is really, really valuable—baseline, very valuable.

Kristina Olsen: Immediately we know what is going on, immediately we put together a recipe on how to beat them. This feet on the ground, really valuable. Baselife, very valuable. Just the commercial discipline that we assemble every day, every week. Every Monday morning, working with our pricing and our revenue management and the digital channels and all the improvements. Also, for the digital channel, it is not only to push traffic through Google or through the AI bots or anything. It is also really much social medias because the social medias are selling our community. This is where the students are directly putting up videos from the events, and they are really doing the TikTok content. It is kind of done by our students directly and then just monitored by us. This is really supporting our selling, that we have this unique brand, the community concept.

Speaker #3: And then just the commercial discipline that we have, simply every day, every week—I mean, every Monday morning—working with our pricing and our revenue management, and the digital channels, and all the improvement.

Speaker #3: Also, I mean, for the digital channel, it's not only to push traffic through, like, Google or through, like, the AI bots or anything. It's also really much social media, because the social media are selling our community.

Speaker #3: This is where the students are directly putting up videos from the events, and they are really doing the TikTok content. It's kind of done by our students directly.

Speaker #3: And then just monitored by us. But this is really supporting—this is supporting our selling, that we have this unique, yeah, brand, the community concept.

Speaker #3: So we still kind of really mean that occupancy is of course king. We have to we are driving rental growth at any time. That requires we are full.

Kristina Olsen: We still kind of really mean that occupancy is, of course, king. We are driving rental growth at any time. That requires we are full. We are also driving service. Service is indeed queen and to some extent, more important. Warsaw. We opened in September last year, we were a little late with the opening due to some technical issues and so on. We could not really be ready when the market started last year. I think we ended on 50%, 60% in September last year, which is okay according to plan. This year, we have taken so many initiatives. We have just really made a plan. We identified what are all the partnerships in Warsaw? Remember, Warsaw is a new city for Xior, so we did not have all the university and partnership agreement ready.

Speaker #3: But we are also driving service. So service is indeed queen and, to some extent, more important. Wasja? Yeah. We opened in September last year.

Speaker #3: And we were a little late with the opening due to some technical issues and so on. So we could not really be ready when the market started last year.

Speaker #3: So I think we ended on like 50, 60% in September last year, which is okay according to plan. But then this year we have taken so many initiatives.

Speaker #3: So we just really made a plan. We identified so what are all the partnerships in Washa? Remember Washa is a new city for XIOR.

Speaker #3: So we didn't have all the university and partnership agreement ready. We had to go out and create them together with the local team. So we really identified who's there.

Kristina Olsen: We had to go out and create them together with the local team. We really identified who is that, it was just B2B selling to get all these partnerships up running. Now we have various partnerships, some of them are more hard, some of them are more soft, where there are just a promo code or something. Also, we sponsored some student lunches with some Xior banners and so at the university. That is one pillar where we did a lot. Also on-the-ground activities. We have, of course, the Base Buddies. It takes a little time to get the awareness up running in a big city like Warsaw, where there are a lot going on, of course. Xior is just a small player.

Speaker #3: And then it was just B2B selling to get all these partnerships up and running. And now we have various partnerships, and some of them are more hard and some of them are more soft, where there's just a promo code or something.

Speaker #3: Also, we sponsored some student lounges with some Xior banners at the university. So, that is one pillar where we did a lot.

Speaker #3: And then also on the ground activities, we have of course the base bodies. It takes a little time to get the awareness up running in a big city like Washa where there are like a lot going on of course.

Speaker #3: So, XIOR is just a small player. So these on-the-ground activities—also, we did quite a few out-of-home campaigns at train stations and so on—to really build the local awareness there.

Kristina Olsen: This on-the-ground activities, although we did quite some out-of-home campaigns on train stations and so, to really build the local awareness there. The second we get students in to live with us, we get Base Buddies in, then they also tell the story. The wheel is kind of running, right? We had, of course, all the targeted commercial actions we really identified. Where should the students come from? It's not all local Polish. It's really around All over the world, I would say. There are a majority of Spanish and also Ukrainian students in Warsaw. They are maybe the two large, but else they come from everywhere. We really targeted our initiative to be specific in how to get students to the property. Maybe one more thing to kind of share.

Speaker #3: And the second we get, like, students in to live with us, we get base bodies in, then they also tell the story. And then the real is kind of running, right?

Speaker #3: So then we had, of course, all the targeted commercial actions. We really identified where should the students come from? It's not all local Polish.

Speaker #3: It's really around all the world, I would say, there are a majority of Spanish and also Ukrainian students in Washa. They are maybe the two last, but else they come from everywhere.

Speaker #3: So, we really targeted our initiative to be specific in how to get students to the property. Yeah. And then maybe one more thing to kind of share.

Speaker #3: Now, I'm sharing a little about our commercial secrets, so to speak—how we kind of ramp up the property. But we also figured out that Sowa is a big tourist destination.

Kristina Olsen: Now I'm sharing a little about our commercial secret, so to speak, how we ramp up the property. We also figured out that Warsaw is a big tourist destination. There are quite a lot of tourists, and there are also a lot going on in Warsaw with concerts, fairs, and stuff. Many of all of the tourist properties actually have a commercial license, so we can use them also as hotels. It requires, of course, that we have two different operational platforms so that we can actually shift from hotel business to student business. In this period where we were not fully full, then we used the rest stands for hotels during the weekends. That was the first thing, and then during summer. Now we actually have always on 50/60 rule that we use.

Speaker #3: There are quite a lot of tourists, and there is also a lot going on in Warsaw with concerts and fairs and stuff. And so, this means that many of the Polish properties actually have a commercial license.

Speaker #3: So we can use them also as hotels. But it requires, of course, that we have two different operational platforms, so that we can actually shift from hotel business to student business.

Speaker #3: But in this period where we were not fully full, then we used the rest stands for hotels during the weekends. That was the first thing.

Speaker #3: And then during summer—and now, we actually have always around 50 to 60 rooms that we use. It's not the same rooms, because it depends—students have first priority.

Kristina Olsen: It's not the same rule because it depends, students first priority, and then we use the rest for hotel business. This is, of course, room rates per day. This is total different revenue streams, but it's really supporting us, and I think this is one of the best piece in Poland where we have the summer, and we do have still some structural gaps, so to speak, and that can be filled with the hybrid hotel concepts. We still work a little with the system support for that. Right now, it's mainly Booking.com and these kind of elements, which of course we have to pay some commission. We need to find even more efficient solution for the hybrid hotel. This is really a secret that I don't know if competitors are talking about it, but the difference is that we actually do it.

Speaker #3: And then we use the rest for the hotel business. This is, of course, room rates per day. So these are totally different revenue streams, but it's really supporting us.

Speaker #3: And I think this is one of the rare pieces in Poland where we have the summer, and we do have, like, still some structural gaps, so to speak.

Speaker #3: And that can be filled with the hybrid hotel concepts. We still work a little with the system support for that right now. It's mainly booking.com and these kind of elements which of course we have to pay some commission.

Speaker #3: So we need to find an even more efficient solution for the hybrid hotel. But this is really a secret that I think—I don't know if competitors are talking about it—but the difference is that we actually do it.

Speaker #3: So, it's stabilized now. It's fully let, really. There is not even one room more there, and the contracts are mostly for 10 months. That's the success of Venado.

Kristina Olsen: It's stabilized now. It's fully let really. There are not even one room more there. The contracts are majority 10 months. That's the success of Benetow. We launched this new student website. Of course, it's the experience. We need to have a first-in-class website at any time. We are all the time also still optimizing. There might be some more functionality required by students or by parents, we're adding it to the website. The new thing might be that there are also a Parent Hub now because we know that, especially in some of the territories, it's actually the parents who are doing the search first, and then they introduce the idea of where to live to their kids, right? We really focus also on parents, and there the content is more professional.

Speaker #3: We launched this new student website. Of course, it's the experience we need to—we need to have a first-in-class website at any time. And we are all the time also still optimizing. There might be some more functionality required by students or by parents.

Speaker #3: So we're adding it to the website. The new thing might be that there are also a parent hub now because we know that for especially in some of the territories it's actually the parents who are doing the search first and then they introduce the idea of where to live to their kids, right?

Speaker #3: So we really focus also on parents. And there the content is yeah, kind of more professional. So we have like another tone of voice where on the student part it's more this student language a little more high way of speaking.

Kristina Olsen: We have another tone of voice, where on the student part, it's more the student language, a little more hype way of speaking. It's there now. All the properties, also Basecamp. We still have the Basecamp website open. That's probably the last step that we need to retire this one, but it's still taking a lot of SEO value and taking a lot of traffic. We need to be fully sure not to lose any business before we close down the old Basecamp website. The content is the same, and they are built on exact same platform. That's really supporting us.

Speaker #3: So it's there now. It's yeah, all properties also base camp. We still have the base camp website open. So that's probably the last step that we need to retire this one.

Speaker #3: But it's still taking a lot of issue value and getting a lot of traffic. So we need to be fully ready before we close down the old Basecamp website.

Speaker #3: But the content is the same, and they are built on exactly the same platform, so that's really supporting us. Base size, I think most of you have also experienced it because you have been with us on the Capital Markets Days and you have seen how it works.

Kristina Olsen: Baselife, I think most of you also experience it because you have been with us on the capital market days, and you feel that, you see how it works, and we are just trying to split our portfolio into what we call product family so that we can also have a Baselife Lite version for the properties that are not that amenified. We try to work a little with the plan, with the strategy, and the tactics here to be able to apply Baselife everywhere. It's not going to be executed the exact same way in all our territories.

Speaker #3: And yeah, we are just trying to kind of split our portfolio into what we call, like, product families, so that we can also have, like, a base "lite" version for the properties that are not that amenitized.

Speaker #3: So we try to kind of work a little with the plan, with the strategy, and the tactics here to be able to apply best practice everywhere.

Speaker #3: But it's not going to be executed the exact same way in all our territories.

Speaker #1: Thank you, Christina. Frederick, also from my side, good morning. We're going to go through the first half 2026 key figures, as already mentioned, but I will repeat some of them.

Sandra Aznar: Thank you, Kristina. Frederik?

Frederik Snauwaert: Thank you, Kristina. Also from my side, good morning. We're going to go through the H1 2026 key figures. As already mentioned, but I will repeat some of them, is the like-for-like growth is at 44.92%, high, little bit down compared to last year, but still, as Kristina explained, more than 2% above inflation, beating inflation, and we always promise we will be 1% above inflation. We are also on track for our full year guidance of above 4%. We don't know yet all the parameters, of course, for Q4. The Belgium inflation, for example, is unknown, and that's a drive for our like-for-like for Belgium as the tension, as Kristina explained, is very high in Belgium. We guide still above the 4%. Occupancy fully let as always, and also for Q4 and the next academic year, we foresee at full occupancy 98%.

Speaker #1: The like-for-like growth is at 4.92%—high, a little bit down compared to last year, but still, as Christian explained, more than 2% above inflation.

Speaker #1: So beating inflation and we always promised we would be 1% above inflation. And we are also on track for our full year guidance of above 4%.

Speaker #1: We don't know yet all the parameters, of course. For Q4, the Belgium inflation, for example, is unknown, and that's the driver for our like-for-like for Belgium, as the tension, as Christina explained, is very high in Belgium.

Speaker #1: But so, we guide still above the 4%. Occupancy fully let as always, and also for Q4 and the next academic year we foresee yet full occupancy—98%.

Speaker #1: The revaluations are plus 1.25%. So, the rental growth is partially offset by the yield movement, and potentially more of the revaluations to come as ERVs grow. For the Netherlands, ERV has already been taken into account in the valuations, as the indexation moment is the 1st of July.

Frederik Snauwaert: The revaluations are +1.25%. The rental growth is partially offset by the youth movement and potential more of the revaluations to come as ERVs grow. For the Netherlands, ERV has already taken into account in the valuations as there the indexation moment is 1 July. For the rest, we are looking to like-for-like or September ERV increase with the new rental season. LTV slightly above 50% explained by indeed the payout of our dividend in cash in Q2. Of course there we guide for a below 50% LTV at year-end. On the credit lines that are undrawn, we have liquidity position of EUR 72 million. A little bit down as well because we paid out the dividend in cash.

Speaker #1: But for the rest, we are looking to September like-for-like, or September ERV increase, with the new rental season. Then, LTV slightly above the 50%, explained by, indeed, the payout of our dividend in cash in the second quarter.

Speaker #1: But of course, there we guide for a below 50% LTV at year-end. On the credit lines that are undrawn, we have a liquidity position of €72 million.

Speaker #1: A little bit down as well because we paid out the dividend in cash. But there also we are working on a new let's say new lines to have there also at the end of the year a liquidity of above 100 million.

Frederik Snauwaert: There also we are working on, let's say, new lines to have there also at the end of the year, a liquidity of above EUR 100 million as a minimum. The guidance is reconfirmed. We are on schedule for our EPS of EUR 2.3 at the end of the year. Operational margin is in line with Q1, so at 81.5%. NTA is also stable there. Of course, we have the operational result, increasing the NTA but then paying out the dividend again decreasing. There we are 38.6 rounded. Net debt-to-EBITDA also stable around 12 times, and ICR is increasing to 3.24 times. There we make progress by progress. The last but not the least, is that we cover for 18 months all our funding needs.

Speaker #1: As a minimum. Then the guidance is reconfirmed. We are on schedule for our EPS of €2.30 at the end of the year. Operational margin is in line with the first quarter.

Speaker #1: So at 81.5%, NTA is also stable. There, of course, we have the operational result increasing the NTA, but then paying out the dividend again decreases it.

Speaker #1: So there, we had 38.6 rounded. Net to EBITDA also stable around 12 times. And ICR is increasing to 3.24 times. So there we make progress, plus progress.

Speaker #1: And then last but not least, we cover all our funding needs for 18 months. So, the commercial paper is covered by credit lines.

Frederik Snauwaert: The commercial paper is covered by credit lines, the CapEx that we foresee and also the credit lines that might come to maturity in the first 18 months are all covered with our cash. The active pipeline, there we are making progress. This year we will deliver Boavista in Porto. It's a big development and together with also Brinktoren in Amsterdam, another big development. Those two will be delivered soon. We will be open then for the next academic year. Seraing is on target also to deliver in September 2027. Warattensstraat is a smaller project in Ghent. We sold that one. We signed an agreement and normally it should be signed and/or sold and the cash in by the end of September. There we had a sale of 10% above the book value. That's a good project.

Speaker #1: The capex that we foresee and also the credit lines that might come to maturity in the first 18 months are all covered with our cash.

Speaker #1: Then the active pipeline there we're making progress. So this year we will deliver Boa Vista in Porto. It's a big development and together with also Bringtoren in Amsterdam another big development.

Speaker #1: Those two will be delivered soon, so we will be open then for the next academic year. Sera is also on target to deliver in September 2027.

Speaker #1: And Bahattenstraat is a smaller project in Gent. We sold that one and we signed an agreement, and normally it should be signed and/or sold.

Speaker #1: And the cash-in by the end of September. And there we had a sale of 10% above the book value, so that's a good project.

Speaker #1: It took us some time, but in the end we made a profit on that. So, with the net €7 million to invest in the second half of the year, we will unlock more than €10 million of rental income on those active pipeline projects.

Frederik Snauwaert: It took us some time, in the end, we made a profit on that. With a net EUR 7 million to invest in H2, we will unlock more than EUR 10 million of rental income on those active pipeline projects. These are almost done and dusted. We have the future pipeline there we are, as always explained as well, further working on obtaining the permits. For the first big project in Amsterdam, we have a permit, but there was one complaint that will be handled in Q3, Q4 of this year. It's a very simple complaint that it's from a student organization wanting to have student accommodation instead of short stay. It's positive for us.

Speaker #1: So these are yeah almost done and dusted. And then we have the future pipeline. There we are as always explained as well further working on obtaining the permits.

Speaker #1: For the first big project in Amsterdam, we have a permit, but there was one complaint that will be handled in Q3 or Q4 of this year.

Speaker #1: It's a very simple complaint that it's from a student organization wanting to have student accommodation instead of short stay. So it's possibly for us of course there was pre-discussions with the government that this is not possible as of today.

Frederik Snauwaert: There was pre-discussions with the government that this is not possible as of today, they will waive this complaint, and we will receive the final permit in this year. The second project, Boekelweg in Rotterdam, there we started, let's say, the stripping out of the building and that's ready for now. Some costs already borne in 2025 and 2026. There we are ready to start, let's say, the reconstruction of the building. The third big one is Amsterdam, the extension of the Karspeldreef site. There we have the permit, and we are currently looking there to find a structure to start up this construction with a contractor, maybe to partially do it off balance until delivery, that we don't have any costs incurring on LTV impact until it's delivered.

Speaker #1: So they will waive this complaint and we will receive the final permit in this year. The second project Bokelweg in Rotterdam there we started let's say the stripping out of the building and that's ready for now.

Speaker #1: So some costs already born in 2025 and 2026. So there we already to start let's say the building. The construction, the reconstruction of the building.

Speaker #1: And the third big one is Amsterdam the extension of the Karspeldreef site. There we have the permit and we are currently looking there to find a structure to start up this construction with a contractor maybe to partially do it of balance until deliveries that we don't have any costs incurring and relative ease impact until it's delivered.

Speaker #1: So we are also working on the project there, and we will keep you updated, of course, in due time. From the balance sheet perspective and regarding financing, we have total debt of €1.9 billion at the moment.

Frederik Snauwaert: We are working also there on the projects, and we will keep you updated, of course, in due time. From the balance sheet perspective and then the financing, there we have a total debt of EUR 1.9 billion at the moment at the cost of debt of 3.16%, a little increase as always there. Of course, in the end, we will tend to go to a marginal cost of debt, of course, which is higher than our current cost of debt. The maturity is five years, there we are well advanced to cover everything. A hedge ratio of 88% with also there a duration of four and a half years. That's also well under control. I've explained the financing needs are covered for the next 18 months.

Speaker #1: At the cost of debt of 3.16% a little increase as always there of course in the end we will tend to go to a marginal cost of debt of course which is higher than our current cost of debt.

Speaker #1: The maturity is five years, so there we are well advanced to cover everything. And H ratio of 88% with also their duration of four and a half years.

Speaker #1: So that's also well under control. And as explained, the financing needs are covered for the next 18 months. So that gives a lot of security, let's say, and comfort that we are covered for the next 18 months.

Frederik Snauwaert: That gives a lot of security, let's say, and comfort that we are covered for the next 18 months. On the next slide, the debt maturity there you see a well-spread portfolio. We have 23 different lenders, good duration, good spread over the next years. It's also a mix on loans, some secured loans, corporate loans, and then some bonds. We believe we have a good spread of debt. We also have continued access to new lending. We are discussing currently also with new lenders. We increase with existing lenders. There the confidence and the trust in Xior is at a very high level. On the graph below, you see the runoff, let's say, of the hedge ratio of the hedgings. There is macro hedging as explained.

Speaker #1: On the next slide, the debt maturities, there you see a well-spread portfolio. We have 23 different lenders, good duration, and good spreads over the next years.

Speaker #1: It's also a mix on loans. Some secured loans corporate loans and then some bonds. So we believe we have a good spread of that.

Speaker #1: And we also have continued access to new lending. We are discussing currently also with new lenders we increase with existing lenders. So there the confidence and the trust in SIOR is at a very high level.

Speaker #1: And there on slide five, the graph below, you see the runoff—let's say—of the H ratio of the hedgings. There, it's macro-hedging as explained.

Speaker #1: So, we don't have hedging by loan. It's more on a macro level, on the portfolio level, where we hedge as much as possible to keep that under control.

Frederik Snauwaert: We don't have hedging by loan, it's more on a macro level, on the portfolio level, where we hedge as much as possible to keep that under control. I think that covers my presentation, we can go to Q&A.

Speaker #1: I think that covers my presentation. So we can go to Q&A.

Speaker #2: Yes, thank you, Frederick. We will now open the floor for questions. Please raise your hand if you have a question. When it's your turn, please unmute your microphone.

Sandra Aznar: Yes. Thank you, Frederik. We will now open the floor for questions. Please raise your hand if you have a question. When it's your turn, please unmute yourself. To help us address each question properly, we kindly ask that you ask one question at a time. That gives us more structure to answer them. Let me see who is first in line. I don't see it. One sec.

Speaker #2: And to help us address each question properly we kindly ask that you ask one question at a time. That gives us more structure to answer them.

Speaker #2: Let me see who is first in line. I don't see it. One sec.

Speaker #1: It doesn't matter.

Speaker #2: It doesn't matter if, Vim. Go ahead, please. If you can, unmute.

Frederik Snauwaert: Doesn't matter.

Sandra Aznar: Doesn't matter. Wim, go ahead, please. If you can unmute.

Speaker #1: Yes. Hi. Thanks for taking my question first. As yeah my favorite topic I will ask three small questions on the Dutch pipeline. First so in the comments space that Frederick gave so Bokelweg is ready to start.

Wim Lewi: Yes. Hi, thanks for taking my question first. As my favorite topic, I will ask three small questions on the Dutch pipeline. First, on the comments page that Frederik gave, so Boekelweg is ready to start. My question is really, do you need additional capital for that or a partnership since the LTV is close to 50, I don't think you have a scrip dividend planned also next year?

[Analyst 1]: Yes. Hi, thanks for taking my question first. As my favorite topic, I will ask three small questions on the Dutch pipeline. First, on the comments page that Frederik gave, so Boekelweg is ready to start. My question is really, do you need additional capital for that or a partnership since the LTV is close to 50, I don't think you have a scrip dividend planned also next year?

Speaker #1: My question is really, do you need additional capital for that, or a partnership, since the LTV is close to 50? And I don't think you have a scrip dividend planned also next year?

Speaker #3: For this year, we had no scrip dividend. Indeed, next year we did discuss with the board and there is, let's say, an agreement that we can propose or can foresee that for next year.

Frederik Snauwaert: For this year, we had no scrip dividend. Next year, we did discuss with the board and there is, let's say, an agreement that we can propose or can foresee that for next year. That's one. Secondly, we pay out 80%. We have 20% of retained earnings. There we have a capacity, let's say, of EUR 50 million a year to grow. We have some CapEx on the existing portfolio and the day-to-day CapEx, which we have, of course, on existing portfolio. There is some room to develop, say, one project a year within the same LTV constraints that we have today. There is some room, of course, not a lot, we all know that, but there is some room to do that.

Speaker #3: That's one. And secondly, we pay out 80%. We have 20% of it in earnings. So there, we have a capacity, let's say, of €50 million a year to grow. So we have some capex on the existing portfolio and the day-to-day capex which we have.

Speaker #3: Of course on the existing portfolio. So there is some room to develop say one project a year within the same LTV constraints that we have today.

Speaker #3: So there is some room—of course, not a lot. We all know that. But there is some room to do that.

Speaker #1: Okay. Yeah. On the Amsterdam area project. Very interesting what you said that there was a kind of a request from students to make student housing.

Wim Lewi: Okay. Yeah. On the Amsterdam area project, very interesting what you said, that there was a request from students to make a student housing. Do you want to go ahead with short stay? How do you see that? Because it's 1,200 units. Do you still expect students to go in there? Or are you going to?

[Analyst 1]: Okay. Yeah. On the Amsterdam area project, very interesting what you said, that there was a request from students to make a student housing. Do you want to go ahead with short stay? How do you see that? Because it's 1,200 units. Do you still expect students to go in there? Or are you going to?

Speaker #1: Do you want to go ahead with short stay? How do you see that because it's 1200 units is that still do you still expect students to go in there or are you going to you know see like more like a B Airbnb thing or?

Frederik Snauwaert: Yeah

Wim Lewi: See more like an Airbnb thing or?

[Analyst 1]: See more like an Airbnb thing or?

Speaker #3: No, no, it's the purpose to do the students. We have a dossier running, and we have it also in Rotterdam, for example. So that's the key.

Frederik Snauwaert: No, it's the purpose to do the students. We have it also in Groningen, and we have it also in Rotterdam, for example. That's the key, the students. This, like a transitional, it's a first permit that we can start, of course, and build 1,200 units for students. Then the possibility is that in five to seven years, that we can get at the end, also a student housing or a residential permit. Let's say that's the track. In a first step, it needs to be the short stay.

Speaker #3: The students. But this is like a transitional—it's a first permit that we can start, of course, and build 1,200 units for students. And then the possibility is that in five to seven years we can get, at the end, also a student housing or a residential permit, let's say.

Speaker #3: That's the track. But in the first step, it needs to be the short stay.

Speaker #1: Okay.

Speaker #3: Indeed, you mentioned Schrödinger. One third of the building is short stay there. It took us some time to get it done, with control, let's say.

Wim Lewi: Okay.

[Analyst 1]: Okay.

Christian Teunissen: Indeed, you mentioned Groningen. One-third of the building is short stay there. It took us some time to get it done with control, let's say. That was really a new business for us. Now it's over-performing, and it allows us also to use a little bit more dynamic pricing. It's really going well there.

Speaker #3: It was really new business for us, but now it's overperforming. And it also allows us to use a little bit more dynamic pricing, so it's really going well there.

Speaker #1: Okay. And then last question on the sunk cost that you show on the Landbank. I guess that's also mainly concentrated in the Netherlands. So it's about 271 million.

Wim Lewi: Okay. Last question on the sunk cost that you show on the land bank. I guess that's also mainly concentrated in the Netherlands. It's about EUR 271 million. Can you give an idea how that's valued? Do experts look at the historic costs, or is there like a ERV yield cash flow analysis behind it? Just want to know how solid that number is.

[Analyst 1]: Okay. Last question on the sunk cost that you show on the land bank. I guess that's also mainly concentrated in the Netherlands. It's about EUR 271 million. Can you give an idea how that's valued? Do experts look at the historic costs, or is there like a ERV yield cash flow analysis behind it? Just want to know how solid that number is.

Speaker #1: Can you give an idea how that's valued? Like, do experts look at the historic costs, or is there an ERV yield cash flow analysis behind it?

Speaker #1: So, I just want to know how solid that number is.

Speaker #3: Today, that cost and the rule is that when we receive the permit, then we're going to make a valuation of the end product, the finalized delivered building, without deducting the cost to come.

Frederik Snauwaert: Today, that cost. The rule is that when we receive the permit, then we're going to make a valuation of the end product, finalized, delivered building without deducting the cost to come. That's when the permit is there, because then we know the exact cost, the exact planning, and the exact value with the permit in place. Today, these are booked because there is no permit in place for most of them. They are booked at cost.

Speaker #3: That's when the permit is there, because then we know the exact cost, the exact planning, and the exact value with the permit in place.

Speaker #3: Today, these are booked because there is no permit in place. For most of them, they are booked at cost.

Speaker #1: Okay, that’s clear. All right, thanks a lot. Maybe you know, but this is my last call on XIOR, so I wish you good luck. I’ll be looking, obviously, from the sidelines—maybe as an investor.

Wim Lewi: Okay, that's clear. All right. Thanks a lot. Maybe you know, this is my last call on XIOR. I wish you good luck. I'll be looking obviously from the sidelines, maybe as an investor. Good luck to you all.

[Analyst 1]: Okay, that's clear. All right. Thanks a lot. Maybe you know, this is my last call on XIOR. I wish you good luck. I'll be looking obviously from the sidelines, maybe as an investor. Good luck to you all.

Speaker #1: So good luck to you

Speaker #3: Thank you. Same to you. Good luck.

Speaker #2: Thank you, Vim Veronique. Up to you.

Frederik Snauwaert: Thank you.

Christian Teunissen: Thank you.

Frederik Snauwaert: Thank you.

Frederik Snauwaert: Good luck.

Christian Teunissen: Good luck.

Sandra Aznar: Thank you, Wim. Véronique, up to you.

Speaker #4: Hi. Yes. Good morning, all. Thank you for the presentation and for taking my question. First, on that same pipeline, I noticed a bit further down in the report you actually already speak of a committed capex program of €20 million in '26 and €30 million in '27.

Véronique Meertens: Hey. Yes. Good morning, all. Thank you for the presentation and taking my question. First on that same pipeline, I noticed that a bit further down in the report, you actually already speak of a committed CapEx program of EUR 20 million in 2026 and EUR 30 million in 2027. Does that refer already to Rotterdam? The plan is to actually start this year already with the actual construction?

[Analyst 2]: Hey. Yes. Good morning, all. Thank you for the presentation and taking my question. First on that same pipeline, I noticed that a bit further down in the report, you actually already speak of a committed CapEx program of EUR 20 million in 2026 and EUR 30 million in 2027. Does that refer already to Rotterdam? The plan is to actually start this year already with the actual construction?

Speaker #4: So, does that refer already to Rotterdam? And if so, is the plan to actually start this year already with the actual construction?

Speaker #3: So this capex is the capex on the existing portfolio. We've received some ESG capex, and in the Netherlands we have the labels, as you know.

Frederik Snauwaert: This CapEx is the CapEx on the existing portfolio. We've seen some ESG CapEx. In the Netherlands, we have the labels, as you know. We want to improve those labels. Those improved labels will give you more points or more rent. That's in that plan. For 2027, we have still some CapEx to do on Seraing, Liège. That's also in the 2027. 2026 is same, what we have to invest in the active pipeline plus then the remainder of the CapEx of the existing portfolio. No Boekel in that CapEx number.

Speaker #3: So we want to improve those labels those improved labels will give you more points so more rent. So that's in that plan and for 27 we have still some capex to do on Liège.

Speaker #3: So that's also in '27, and '26 is the same—what we have to invest in the active pipeline plus then the remainder of the capex of the existing portfolio.

Speaker #3: So no Bokelweg in that capex number.

Speaker #4: Okay. Clear. And because it does look like they are I appreciate that you said that they're already stripping but it looks like they're already building as well but that's not the case yet.

Véronique Meertens: Okay. Clear. Because it does look like I appreciate that you said that they're already stripping, but it looks like they're already building as well. That's not the case yet?

[Analyst 2]: Okay. Clear. Because it does look like I appreciate that you said that they're already stripping, but it looks like they're already building as well. That's not the case yet?

Speaker #3: They stripped the building, and of course, the structural elements, we are already putting. That, we are fully ready for. And we are looking into if we can do it for next year, for example, with retained earnings—that we can finish that project—because, of course, it's a big one as well, and we can unlock a lot of rent. But still, we're looking at what's the best thing to do to keep, in detail, LTV under control.

Frederik Snauwaert: They strip the building, of course, the structural elements we are already putting that we are fully ready. We are looking into if we can do it for next year, for example, with the retained earnings that we can finish that project because of course, it's a big one as well, and we can unlock a lot of rent. Still looking at what's the best to do to keep indeed the LTV under control.

Speaker #4: Okay, that's clear. And could you please remind me—the financial income obviously went up a lot. What exactly were the drivers? More importantly, what is now the estimate for where it will land for the full year?

Véronique Meertens: Okay, that's clear. Could you please remind me the financial income? Obviously, that went up a lot. What's exactly the driver and more importantly, what is now the estimate for it to land on for the full year?

[Analyst 2]: Okay, that's clear. Could you please remind me the financial income? Obviously, that went up a lot. What's exactly the driver and more importantly, what is now the estimate for it to land on for the full year?

Speaker #3: So, there is the financial income indeed—that's an index compensation on advanced payments on the project. So, for example, on BrinkDoor, we did some advanced payments to cover potential inflation risk on the construction prices.

Christian Teunissen: There in the financial income, indeed, that's an interest compensation on advanced payments on projects. For example, in Brinktoren, we did some advanced payments to cover potential inflation risk on the construction prices. Also, Boavista, there are some advanced payments that we've done also for the project in Amsterdam. There we get an interest compensation. Then the bigger project, at market interest rate. That's why it's now a little bigger. Full year might increase a little bit, but that should be under control because, of course, Brinktoren, Boavista will be delivered so that goes out. That's the case. Yeah, on the next years, there might also be some of that income as we might start that project or not, but that's linked to the projects.

Frederik Snauwaert: There in the financial income, indeed, that's an interest compensation on advanced payments on projects. For example, in Brinktoren, we did some advanced payments to cover potential inflation risk on the construction prices. Also, Boavista, there are some advanced payments that we've done also for the project in Amsterdam. There we get an interest compensation. Then the bigger project, at market interest rate. That's why it's now a little bigger. Full year might increase a little bit, but that should be under control because, of course, Brinktoren, Boavista will be delivered so that goes out. That's the case. Yeah, on the next years, there might also be some of that income as we might start that project or not, but that's linked to the projects.

Speaker #3: Also, with Boa Vista, there are some advanced payments that we've made for the project in Amsterdam. So there, we get an index compensation. That's why, for the bigger projects, and at market interest rate.

Speaker #3: So that's why it's now a little bit bigger. For the full year, it might increase a little bit, but that should be under control because, of course, BrinkDoor Boa Vista will be delivered, so that goes out.

Speaker #3: So that's the case. And yeah on the next years there might also be some of that income as we might start that project or not but that's linked to the projects.

Speaker #4: Okay, that's clear. Maybe one last question about the BrinkDoor. I noticed that in the press release it said something about a yet to be signed long-term contract.

Véronique Meertens: Okay, that's clear. Maybe one last question about the Brinktoren. I noticed that in the press release it said something, "Yet to be signed long-term contract." Is there any risk this won't be signed, or why hasn't it been signed yet for the T.O. Business School?

[Analyst 2]: Okay, that's clear. Maybe one last question about the Brinktoren. I noticed that in the press release it said something, "Yet to be signed long-term contract." Is there any risk this won't be signed, or why hasn't it been signed yet for the T.O. Business School?

Speaker #4: Is there any risk this won't be signed, or why hasn't it been signed yet for the TEO Business School?

Speaker #5: It's in progress. It was a lot of intent of course and we are in the last rounds of negotiations. So it's not signed yet.

Kristina Olsen: It's in progress. It was a letter of intent, of course, and we are in the last rounds of negotiation, so it's not signed yet.

Speaker #5: But yeah we expect.

Speaker #3: And again it's nice to have you. So we will manage but it's nice to have. It's not necessary because the scarcity as we know on the market is so big.

Christian Teunissen: Yeah.

Kristina Olsen: Yeah, we expect it.

Christian Teunissen: Again, it's nice to have.

Kristina Olsen: Yeah.

Christian Teunissen: We will manage, but it's nice to have. It's not necessary because the market, the scarcity as we know in the market is so big. It's not necessary, but, yeah, nice to have. It's not always nice to have some stability in the portfolio.

Speaker #3: It's not necessary but yeah nice to have. It's not always nice to have some stability in the portfolio.

Speaker #5: Yeah, and actually, we already have a long waiting list ourselves. So, in case they don't want to take all the rooms, then it will be rented out in an hour.

Kristina Olsen: Yeah. Actually also, we already have a long waiting list ourself. In case they don't want to take all the rooms, then it will be rented out in an hour.

Speaker #4: Okay, that's good to hear. Okay, thank you.

Véronique Meertens: Okay. That's good to hear. Okay, thank you.

[Analyst 2]: Okay. That's good to hear. Okay, thank you.

Speaker #2: Thank you Veronique. Vincent. Please go ahead.

Sandra Aznar: Thank you, Véronique. Vincent, please go ahead.

Speaker #1: Yes. Good morning. Thank you very much for taking my questions and congrats on the results. Two points on my side. First maybe a recurring question I believe but but nonetheless is you've highlighted your interest in well or your performance in some of the markets like Poland but also in the sentiment whereas you've highlighted LTV and maybe on some projects it might be a little bit tight.

Vincent Koppmair: Yes. Good morning. Thank you very much for taking my questions, and congrats on the results. Two points on my sides. First, maybe a recurring question I believe, but nonetheless, is, you've highlighted your interest or your performance in some of the markets like Poland, but also in the sentiment where, as you've highlighted, LTV and maybe on some projects might be a little bit tight. Would you not, again, potentially consider joint ventures selling certain portfolios to Spanish, for example, and reinvest capital into higher-yielding markets or segments?

[Analyst 4]: Yes. Good morning. Thank you very much for taking my questions, and congrats on the results. Two points on my sides. First, maybe a recurring question I believe, but nonetheless, is, you've highlighted your interest or your performance in some of the markets like Poland, but also in the sentiment where, as you've highlighted, LTV and maybe on some projects might be a little bit tight. Would you not, again, potentially consider joint ventures selling certain portfolios to Spanish, for example, and reinvest capital into higher-yielding markets or segments?

Speaker #1: Would you not again potentially consider joint ventures selling certain portfolios to Spanish for example and reinvest capital into higher yielding markets or segments?

Speaker #3: Of course, we always mention the idea of asset rotation, potential asset rotation. So, in an opportunistic way, we will always have a look at it, and it's really a work in progress.

Christian Teunissen: Of course. We always mentioned the idea of asset rotation, potential asset rotation. In an opportunistic way, we will always have a look at it, and it's really work in progress. Why not selling a certain asset that's 5% and reinvesting, for example, in a high-yielding area of 7% or 8% we will do, or to bring leverage a little bit down or whatever. That's really something that's always on the table and we're always looking at. That's work in progress.

Speaker #3: So why not sell certain assets at 5% and reinvest, for example, in a high-yielding area of 7 or 8%? We will do that either to bring leverage a little bit down or for other reasons.

Speaker #3: So that's really something that's always on the table, and we're always looking at it. So that's a work in progress.

Speaker #1: So, looking, but there's no strategic, well, direct plan, right? It's just...

Vincent Koppmair: Looking, but there is no strategic, well, direct plan, right?

[Analyst 4]: Looking, but there is no strategic, well, direct plan, right?

Speaker #3: So also that we set up a disposal program like we did in the past. Now it's really opportunistic and also for example when it's also a good idea for example there's a building of 10 years old let's say and we can sell it at 5% and we can reinvest in a new development of 8%.

Christian Teunissen: That we set up a disposal program like we did in the past. Now it is really opportunistic and also, for example, when it is also a good idea, for example, there is a building of 10 years old, let us say, and we can sell it at 5%, and we can reinvest in new development of 8%, we will certainly have a look at it. To keep also that average age of the portfolio very low. All these kind of reasons we will have a look at.

Speaker #3: We will certainly have a look at it, so as to keep the average age of the portfolio very low. So, for all these kinds of reasons, we will have a look at it.

Speaker #1: Right, looking forward to it. The next question is maybe a little bit more granularity on the operating margins. So, in Q1, you highlighted it was a little bit lower due to one-offs moving away.

Vincent Koppmair: Great. Looking forward to it. The next question is maybe a little bit more granularity on the operating margin. In the Q1, you highlighted it was a little bit lower due to one-offs moving away. You highlighted in the report that there was some improvement in H1, but basically it is flat. How should we see now the margins? Can you give a little bit of granularity of where it is going? Thank you.

[Analyst 4]: Great. Looking forward to it. The next question is maybe a little bit more granularity on the operating margin. In the Q1, you highlighted it was a little bit lower due to one-offs moving away. You highlighted in the report that there was some improvement in H1, but basically it is flat. How should we see now the margins? Can you give a little bit of granularity of where it is going? Thank you.

Speaker #1: You highlighted in the report that there was some improvement in H1, but basically it's flat. But how should we see the margin now? Can you give a little bit of granularity on where it's going?

Speaker #1: Thank you.

Speaker #3: Yes, we always said the operational margin would be between 80% and 85%. That's the case, and we are now at 81.5%. We were above that before because there were some one-offs.

Christian Teunissen: Yep. We always said for the operational margin between 80% and 85%. That is the case. We are now at 81.5%. We were above that because there were some one-offs. These are now out, let us say. That is why it is a little bit lower. We are working on that, on the margin. As Stina explained, we are working on the pricing. I mean, pricing, on the other hand, we are also looking to the costs. Costs are also increasing, we need to check also the day-to-day. We evaluate the operating platform, let us say, the people. Do we need all the people? Can we do it better? Can we do more with the same? That is the day-to-day exercise. Long term, it should be around 85%, that is for sure. Also, in some of the markets, we have a little lower margin. For example, Germany, it is a lower margin.

Speaker #3: These are now out, let's say, so that's why it's a little bit lower. We are working on that, on the margin, as Christina explained.

Speaker #3: We can, we are working on the pricing. I mean, pricing—on the other hand, we are also looking at the costs, because costs are also increasing.

Speaker #3: We need to check also with day to day we evaluate the operating platform let's say the people do we need all the people? Can we do it better?

Speaker #3: Can we do more? Which is same. So that's a day to day exercise. So long term it should be around 85%. That's for sure.

Speaker #3: Also in some of the markets we have a little lower margin. For example Germany it's a lower margin. We have only two buildings there.

Speaker #3: It's more difficult to manage than in a country like Belgium or the Netherlands, where margins are much higher. So that's a little bit the granularity I can provide.

Christian Teunissen: We have only two buildings there. It's more difficult to manage than in a country like Belgium or Netherlands, where margins are much higher. That's a little bit the granularity I can provide. Working on it and going towards the 85%.

Speaker #3: But working on it and going towards 85%.

Speaker #1: All right. Clear. Thank you. That's all from my side.

Vincent Koppmair: All right. Clear. Thank you. That's all from my side.

[Analyst 4]: All right. Clear. Thank you. That's all from my side.

Speaker #2: Thank you. Frederick you're next.

Sandra Aznar: Thank you. Frederik, you're next.

Speaker #6: I'm not so sure I was next, actually. I think it's Francesca. I want to respect the audience.

Frédéric Renard: I'm not so sure I was next, actually. I think it's Francesca. I want to respect.

[Analyst 3]: I'm not so sure I was next, actually. I think it's Francesca. I want to respect.

Speaker #2: Yeah, go ahead. Francesca, you can go ahead.

Sandra Aznar: Yeah. Please go ahead, Francesca.

Kristina Olsen: It's okay. You can go ahead. I can see Frederik, but you can.

Speaker #6: I can go.

Speaker #2: Sorry, Francesca. I also have some questions on the chat. But Frederick, please go ahead.

Frédéric Renard: No, you can go.

[Analyst 3]: No, you can go.

Sandra Aznar: Sorry, Francesca. I also have some questions on the chat. Frederik, please go ahead.

Speaker #6: Okay. I will go there. So maybe just first one. So you mentioned a very or probably the strongest entrance season. That you ever had.

Frédéric Renard: Okay, I will go then. Maybe, just first one. You mentioned a very, or probably the strongest verhuurseizoen that you ever had. Actually, for us as analysts, and I guess for investors as well, it's difficult to quantify it because I think Q1 you indicated a pre-booking figure, but now in H1 you don't really indicate a pre-booking, so it's difficult for us to compare on a year-on-year basis. What would be great for us probably is to give that figure in the coming years so that we can compare it. I think it's more a remark than a question. Maybe the question is would you provide that data going forward?

[Analyst 3]: Okay, I will go then. Maybe, just first one. You mentioned a very, or probably the strongest verhuurseizoen that you ever had. Actually, for us as analysts, and I guess for investors as well, it's difficult to quantify it because I think Q1 you indicated a pre-booking figure, but now in H1 you don't really indicate a pre-booking, so it's difficult for us to compare on a year-on-year basis. What would be great for us probably is to give that figure in the coming years so that we can compare it. I think it's more a remark than a question. Maybe the question is would you provide that data going forward?

Speaker #6: But actually, for us as analysts, and I guess for investors as well, it's difficult to quantify because I think in Q1 you indicated, like, a pre-booking figure.

Speaker #6: But now in H1, you don't really indicate a pre-booking. So it's difficult for us to compare on a year-on-year basis. What would be great for us, probably, is to give that figure in the coming years so that we can compare it.

Speaker #6: I think it's more a remark than a question. So maybe the question is, would you provide that data going forward?

Speaker #3: Yeah, it's not the first time we receive this question. It's typical for the UK to present these kinds of numbers. For us, until now, it was not really necessary, because let's say we were always full.

Christian Teunissen: Yeah. It's not the first time we've received this question. It's typical for the UK to present such kind of numbers. For us until now, it was not really necessary or because it's always, let's say, full. It was just to give you an idea that pressure is on the market, that the pace is much higher now. Even then, from our side, we don't mind because in the end, we know that it will be full. It has been already since I started in 2007, but I just feel that the pressure has become bigger and bigger on the markets. Can we present such kind of numbers?

Speaker #3: And it was just to give you an idea that the pressure is on the market, that the pace is much higher now. But even then, from our side, we don't mind because in the end we know that it will be full.

Speaker #3: It has already been since I started in 2007, but I just feel that the pressure is becoming bigger and bigger on the markets. Can we do it? Can we present such kind of numbers?

Speaker #2: I come back also to what Christina said earlier—that sometimes you don't want to be full too quickly. It's also a strategic decision to lower it a little bit, so it can also be misinterpreted.

Sandra Aznar: I come back also to what Kristina earlier said, that sometimes you don't want to be full too quick, that it's also a strategic decision to lower it a little bit. It can also be that we just want to make it lower to increase the pricing. At the end, the pace can be different, but at the end it will be full at 98%, which is still full.

Speaker #2: As we just want to make it lower to increase the pricing. At the end, yeah, the pace can be different, but at the end it will be, yeah, full or at 98%, which is the same as full.

Speaker #4: Which pricing strategy—and I would not feel comfortable to kind of release these because it can change. It can also be that we are holding some rooms for a big group that we expect to sign, and, yeah, we might take a little risk for a certain point in time, but it's the pricing strategy. We need to have that for ourselves, to be honest.

Kristina Olsen: It's pricing strategy, I would not feel comfortable to release these because it can change. It can also be that we are holding some rooms for a big group that we expect to sign, yeah, we might take a little risk for a certain point in time, but it's the pricing strategy. We need to have that for ourselves, to be honest. It's not my decision.

Speaker #4: So, yeah, but it's not my decision. But this is really—like, this is.

Frédéric Renard: No, fair argument.

[Analyst 3]: No, fair argument.

Speaker #3: It's creating discourse. Yeah. It was also the short stay part of scrolling it for example. So we had a chat with the country manager in the Netherlands a couple of months ago and he said he mentioned yeah we're 80% full and 80% full in the Netherlands.

Kristina Olsen: This is really.

Frédéric Renard: It's creating this scarcity.

[Analyst 3]: It's creating this scarcity.

Kristina Olsen: Yeah.

Christian Teunissen: Yeah. It was also the short stay part of Groningen, for example. We had a chat with the country manager in the Netherlands a couple of months ago, he said, he mentioned, Yeah, we're 80% tours and 80% full. In the Netherlands, it's not possible. It needs to be 100% full, always. He said, Yeah, but I took away the short stay part, and I keep it to the end, and then we just launch it, and then we have the dynamic pricing and it goes up.

Speaker #3: It's not possible. It needs to be 100% full always. He said, "Yeah, but I took away the short stay part and I keep it to the end. Then we just launch it, and then we have the dynamic pricing, and it goes up."

Speaker #4: Yes.

Speaker #3: So, yeah, it's not that I fully understand the question. Frederick, let us think about it. Maybe we can find a way—we can find a solution for that.

Kristina Olsen: Yes.

Christian Teunissen: I understand fully the question, Frederik. Let us think about it. Maybe we can find a way, we can find a solution on that.

Speaker #3: With exceptions, I don't know. I don't know. Let us think about it. But it's not that we want to hide something. It's really that the pressure is on the market, and every year, from my point of view—every year, like also last year—I said, what's happening is this goes faster and faster every year, and I thought this is like the maximum we can do. And even then, this year it's at a higher pace.

Sandra Aznar: Yeah, let us know.

Christian Teunissen: With exceptions. I don't know. Let's think about it. It's not that we want to hide something. It's really the pressure is on the market. Every year, from my point of view, every year, like also last year, I said, What's happening? This goes faster and faster every year. I thought this is like the maximum we can do. Even then, this year it's at a higher pace. It's always for myself, a surprise.

Speaker #3: So, it's always, for myself, a surprise.

Speaker #6: Okay. That's fair. Maybe a question because and I wanted to come back on the operating margin. You just refer to for instance so Germany where you have only two assets and if I look at the pipeline you don't have any asset upcoming in Germany.

Frédéric Renard: Okay. That's fair. Maybe a question because, and I wanted to come back on the operating margin. You just referred to, for instance, for Germany, where you have only two assets. If I look at the pipeline, you don't have any assets upcoming in Germany. From a capital allocation point of view, isn't it better to sell your, I would say, assets where you have a lower concentration and for which you cannot grow the pipeline? Let's face it, LTV is too high today that you cannot focus on growing in Germany. Basically the question is the following.

[Analyst 3]: Okay. That's fair. Maybe a question because, and I wanted to come back on the operating margin. You just referred to, for instance, for Germany, where you have only two assets. If I look at the pipeline, you don't have any assets upcoming in Germany. From a capital allocation point of view, isn't it better to sell your, I would say, assets where you have a lower concentration and for which you cannot grow the pipeline? Let's face it, LTV is too high today that you cannot focus on growing in Germany. Basically the question is the following.

Speaker #6: So, from a capital allocation point of view, isn't it better to sell, I would say, assets where you have a lower concentration and for which you cannot grow the pipeline? Because, let's face it, LTV is too high today that you cannot focus on growing in Germany.

Speaker #6: And basically the question is the following. I mean I understand that your target the 85% operating margin at some point in the future but I'm still struggling to see a life or life business growing 5% and the operating margin barely moving.

Frédéric Renard: I understand that you target the 85% operating margin at some point in the future, but I'm still struggling to see a like-for-like business growing 5% and the operating margin barely moving while you don't invest any more in the development, if you see what I mean, in terms of finding new assets. Everything is a bit related, so how do you think about all that?

[Analyst 3]: I understand that you target the 85% operating margin at some point in the future, but I'm still struggling to see a like-for-like business growing 5% and the operating margin barely moving while you don't invest any more in the development, if you see what I mean, in terms of finding new assets. Everything is a bit related, so how do you think about all that?

Speaker #6: Why don't you invest anymore in the development if you see what I mean, in terms of finding new assets? So, everything is a bit related.

Speaker #6: So, how do you think about all that?

Speaker #3: Yeah, you never know. Frederick, it's possible that we could leave a certain country, for sure. If it's only two assets, why keep them in the portfolio? And it's also the strategic board.

Christian Teunissen: Yeah. You never know, Frederik. It's possible that we can leave a certain country, for sure. If it's only two assets, why keep it in the portfolio? It's also on the strategic board, so that's not a surprise. Also it can be the other way around. Maybe we can find a very attractive deal on the German market, and we can expand there. Let's say, imagine 8%, maybe that's not feasible. We can start up a joint venture with a local partner, and we find assets of 8%, and we can drive operational margin. That's also a solution. Then we can divest an asset in another country at 4.5% or 5%, as I mentioned before. We're looking at that. That's also a good question, indeed. It's also something that's really on the tables to have a look at it.

Speaker #3: So that's not a surprise. But also, it can be the other way around. Maybe we can find a very attractive deal on the German market, and we can expand there.

Speaker #3: Let's say, imagine 8%—maybe that's not feasible. We can start up a joint venture with a local partner, and if we find assets at 8% and we can drive the operational margin, that's also a solution.

Speaker #3: And then we can divest an asset in another country at 4.5% or 5%, as I mentioned before. So, but we're looking at that.

Speaker #3: So that's also a good question indeed. And it's also something that's really on the tables to have a look at it. So we will also at a certain point in time come back on that.

Christian Teunissen: We will also, at a certain point in time, come back on that. It's not something that we ignore. It's really a focus.

Speaker #3: So it's not something that we ignore; it's really a focus.

Speaker #6: Okay. Thank you. That's it from me. Thank you.

Speaker #2: That's it for you. Then maybe I'll take a question from Berenberg via the chat for Christina. You mentioned that you increased prices after you achieved the QC levels of around 80%.

Frédéric Renard: Okay. Thank you. That's it for me. Thank you.

[Analyst 3]: Okay. Thank you. That's it for me. Thank you.

Sandra Aznar: That's it for me. Maybe I take a question of Berenberg via the chat for Kristina. You mentioned that you increased prices.

Kristina Olsen: Yes

Sandra Aznar: After you have achieved occupancy levels of around 80%. Could you indicate by how much you raised price for a room at occupancy levels in a facility of 98%, compared to the start of the rental season?

Speaker #2: Could you indicate by how much you raise the price for a room at a QC level in a facility at 98% compared to the start of the rental season?

Speaker #2: So there is a margin. If you could just elaborate a little.

Kristina Olsen: Yeah.

Sandra Aznar: There's a margin, if you can.

Speaker #4: Yeah. Give some examples maybe. So we have like for example Benidorm which is we of course our aim is to be full. So we do not we start with a price that we know is the right price that we know can break through the market and then when we see that room categories and we look very much into room categories are really selling quick then we add to it.

Kristina Olsen: Yeah. Let me just elaborate a little.

Sandra Aznar: Yep.

Kristina Olsen: Give some examples maybe. We have, for example, Benidorm. Of course our aim is to be full. We start with a price that we know is the right price, that we know can break through in the market. When we see that room categories, and we look very much into room categories, are really selling quick, then we add to it. It might just be PLN 100 or something margin, but it is really to get the last euro, the last rental out of them. No reason. That is also why I am a little reluctant in releasing the base, because I might not even release all the rooms at a certain time to be able to still have the opportunity to increase them at a later point. Poland, both Wrocław and Katowice and Wrocław is examples where we have increased prices during the rental season.

Speaker #4: It might just be 100 Polish zloty or something marginal, but it's really to get the last euro, the last rental, out of them. So, no reason.

Speaker #4: That's also why I'm a little reluctant in releasing the base because I might not even release all the rooms at a certain time to be able to still have the opportunity to kind of increase them at a later point.

Speaker #4: So Poland goes wash up and Gatwick and Wasla is examples where we have increased prices during the rental season. That's also why we said now I don't know if you noticed we said four plus in the guidance of the like for like because we do believe that it will be more than four but on the other hand we also have some territories where we can only index with inflation.

Kristina Olsen: That is also why we said, now, I do not know if you noticed, we said four plus in the guidance of the like-for-like, because we do believe that it will be more than four. On the other hand, we also have some territories where we can only index with inflation. That is all the open-ended, all the students who stay and with high retention. This is something we need to bear in mind when we guide the like-for-like. These additional rental incomes that we get during the rental season, we need to have them because it might be that Belgium comes up with a health index that is not as high as we would like to. Yeah, to be specific, it is Wrocław, it is Katowice, it is Wrocław, it is Málaga, where we have actually more significantly increased prices. There are also some cities here in Belgium.

Speaker #4: So that's all the open-ended, all the students who stay and will have high retention. This is something we need to bear in mind when we guide the like-for-like to these additional rental incomes that we get during the rent season. We need to have them.

Speaker #4: Because it might be that Belgium comes up with a health index that is not as high as we would like it to be. But yeah, to be specific, it's Wroclaw, it's Gatwick, it's Wroclaw, it's Malaga.

Speaker #4: Where we, and then where we have actually more significantly increased prices. And then there are also some cities here in Belgium, but yeah, the retention is really, really high.

Speaker #4: Goes Ghent, Brussels, Leuven. So there are not that much falls that we can kind of increase.

Kristina Olsen: Yeah, the retention is really high. Those Ghent, Brussels, Leuven. There are not that much falls that we can increase.

Speaker #3: The initial price is very high, so we cannot.

Speaker #4: Yeah.

Speaker #3: Do more because.

Speaker #4: But it's also more—I'm trying to describe the mentality, the way we work with the pricing. That was actually the reason why I brought it up.

Frederik Snauwaert: Initial price very high, we cannot do more.

Kristina Olsen: It's also more, I try to describe the mentality, the way we work with the pricing. That was actually the reason why I brought it up. It's not mechanic, but it is giving us additional revenues. All in all, the aim is to significantly beat inflation, right? That's the reason why we aim for.

Speaker #4: And so, it's not mechanistic, but it is giving us additional revenues. But all in all, the aim is to significantly beat inflation, right?

Speaker #4: So that's really why we.

Speaker #3: It's different compared to the last years, let's say. We can use this strategy.

Frederik Snauwaert: That strategy is different compared to the last year, let's say.

Speaker #4: Yeah. Yeah. Yeah.

Speaker #3: Because we see the demand is so high, we changed our strategy.

Kristina Olsen: Yeah.

Frederik Snauwaert: It's a new strategy.

Speaker #4: Yeah. Also, Copenhagen, for example, is a place where we actually keep on pushing it and, we could have been full the day we opened the website.

Kristina Olsen: Yeah.

Frederik Snauwaert: Because we see the demand is so high, so we changed strategy.

Kristina Olsen: Yeah. Also Copenhagen, for example, is a place where we actually keep on pushing it and where we could have been still full the day we opened the website, but then we keep them. We do not open for the periods. Actually, it's also how we push to the 10-month contract. We were not opening in Poland for October selling, which would be the normal. We didn't do that. We only have September open, and we still only have September open most of the places. We really try to push it. Could we have been selling quicker if we opened for only October? Yes, for sure. Okay. I think it might explain you a little how we work with our pricing strategy and the pace.

Speaker #4: But then we keep them; we do not open for the periods. Actually, it's also how we push to the 10-month contracts. There, we were not opening in Poland for October selling, which would be the normal.

Speaker #4: We didn't do that. We only have September open, and we still only have September open in most places. So we really try to push it.

Speaker #4: So could we have been selling quicker if we opened for, like, only October? Yes, for sure. Okay. So I think it might explain to you a little how we work with our pricing strategy and the pace.

Speaker #2: Okay. Next, we have a couple of minutes left. Steven, you're next.

Sandra Aznar: Okay, next we have a couple of minutes left. Steven, you're next.

Speaker #6: Thank you, Sandra. Hi, thanks for taking my questions. It's great to hear that leasing is doing very well, obviously. But with the current leasing season being the strongest ever and pricing power being strong, why are the '26 and especially '27 outlook only reaffirmed instead of improved?

Steven Verrept: Thank you, Sandra. Hi. Thanks for taking my questions. It's great to hear that leasing is doing very well, obviously. With the current leasing season being the strongest ever and pricing power is strong, why are the 2026 and especially 2027 outlook only reaffirmed instead of improved? Wouldn't the strongest leasing market imply better rental growth and hence better EPS growth? What do I don't understand here?

[Analyst 5]: Thank you, Sandra. Hi. Thanks for taking my questions. It's great to hear that leasing is doing very well, obviously. With the current leasing season being the strongest ever and pricing power is strong, why are the 2026 and especially 2027 outlook only reaffirmed instead of improved? Wouldn't the strongest leasing market imply better rental growth and hence better EPS growth? What do I don't understand here?

Speaker #6: Wouldn't the strongest leasing market imply better rental growth, and hence, better EPS growth? Or is there something I'm not understanding here?

Speaker #3: Well it's of course taken into account most of the time already in the guidance. The four percent it's like for like it's on the portfolio that is to be like for like.

Frederik Snauwaert: Well, it's of course taken into account most of the time already in the guidance. The 4%, it's like-for-like, it's on the portfolio that is to be like-for-like. That's number one. On the other hand, there is also increasing cost. Interest costs are also increasing, we have to take into account that as well. It's not that you have only your top line going +5%, that your bottom line also goes +5%. That's not the case, unfortunately. Otherwise, we would love to have that. It's a combination of, the plan is taking into account those different elements. Indeed, we're talking about four cities increasing prices. I'm not talking about millions also. It's a start of more doing the pricing dynamic and dynamic pricing, and that in the future might contribute more in the future. That's start of the strategy.

Speaker #3: That's number one. On the other hand there is also increasing cost interest costs are also increasing. So we have to take into account that as well.

Speaker #3: It's not that you have only your top line going plus five percent that your bottom line also goes plus five percent. That's not the case.

Speaker #3: Unfortunately. Otherwise, you would love to have that. But, so it's a combination of—and in the plan it's taken into account those different elements. And indeed, we're talking about four cities increasing prices. It's not talking about millions also.

Speaker #3: So it's a start of doing more with pricing dynamics and dynamic pricing, and that in the future might contribute more. But that's the start of the strategy.

Speaker #3: And if you talk about a very good letting season, it's the fastness also that is even more than before. It's not that we can produce more and have more income.

Frederik Snauwaert: If you talk about the very good leasing season, it's the fact is also that is even more than before. It's not that we can produce more and have more income. It's we have 22,000 rooms and we can sell them only once, and the only thing we can do is, yeah, sell them at a higher price. It is of course, the basis is the basis which is taken into account in the guidance already.

Speaker #3: It's we have 22,000 rooms and we can't sell them only once. And the only thing we can do is yeah sell them at a higher price but it is of course the basis is the basis which is taken into account in the guidance already.

Speaker #6: Okay, clear. Then a separate question: what can we expect from revaluations in H2? And maybe a difference between the developments that are coming online and what we can expect from like-for-like revaluations.

Steven Verrept: Okay. Clear. A separate question, what can we expect from revaluations in H2 and maybe a difference between maybe the developments that coming online, and what we can expect from like-for-like revaluations?

[Analyst 5]: Okay. Clear. A separate question, what can we expect from revaluations in H2 and maybe a difference between maybe the developments that coming online, and what we can expect from like-for-like revaluations?

Speaker #3: Yeah. So, as said, for the Netherlands it's already taken into account in H1 because on the 1st of July we do the indexation legally.

Frederik Snauwaert: Yeah. As said, for the Netherlands, it's already taken into account in H1 because they have in July, 1 July, we do the indexation legally. That's in the valuation. That's already a big part of the portfolio, as you know. In September, the ERVs, the new ERVs will be given to the valuers. As they are increasing, I don't know if there might be some yield expansion or not. The next quarters, it depends on all, I think, a little bit on the war in Ukraine and if the interest rates come down a little bit or not. Based, if you look only to our ERVs, yeah, we will have an increase again. There should be some evaluation, but indeed with a question mark on what the yields will do based on interest rate hikes or not.

Speaker #3: So that’s in the valuation, so that’s already a big part of the portfolio, as you know. And then in September, the ERVs—the new ERVs—will be given to the valuers, as they are increasing.

Speaker #3: I don't know if there might be some year expansion or not in the next quarters. It depends a little bit, I think, on the war in Iran and if the interest rates come down a little bit or not.

Speaker #3: But based on, if you look only at our ERVs, yeah, we will have an increase again, so there should be some revaluation, but indeed with a question mark on what the yields will do based on interest rate hikes or not.

Speaker #3: So yeah, from our side, it's positive because we can increase price. We have the power. On the other side, yeah, the model of the valuers takes into account not only the ERV but also other elements: inflation, interest rates, etc.

Christian Teunissen: Yeah, from our side, positive because we can increase price. We have the power on the other side, yeah. The model of the valuer takes into account not only ERV but also other elements, inflation, interest rates, and et cetera. That's.

Speaker #3: So that's.

Speaker #6: And for the pipeline revaluations for the developments?

Steven Verrept: For the pipeline revaluations for the developments?

[Analyst 5]: For the pipeline revaluations for the developments?

Speaker #3: For Boa Vista, there might be a nice uplift. The other ones are already at market value for the active pipeline because we are only developing those ourselves then.

Christian Teunissen: For Boavista, there might be a nice uplift. The other ones are already at market value for the active pipeline because we are developing ourselves then. It might be limited, but Boavista might be a nice one.

Speaker #3: So there, it might be limited, but Boa Vista might be a nice one.

Speaker #6: Okay, clear. Thank you so much.

Speaker #2: Thank you, Steven. Yeah, we're running out of time and I see there are still some questions in the chat and other people waiting in the waiting room. Francesca, sorry to keep you waiting, but you're the last one.

Steven Verrept: Okay, clear. Thank you so much.

[Analyst 5]: Okay, clear. Thank you so much.

Sandra Aznar: Thank you, Steven. Yeah, we're running out of time, and I see there are still some questions on the chat and other people waiting in the waiting room. Francesca, sorry to keep you waiting, but you're the last one. For the other people that we didn't address the question, please send them to me by mail and we address them afterwards. Francesca, go ahead, please. I'm sorry to keep you waiting.

Speaker #2: For the other people that we didn't address the questions, please send them to me by mail and we will address them afterwards. So, Francesca, go ahead, please.

Speaker #2: I'm sorry to keep you waiting.

Speaker #4: No, no problem. Good morning, everybody. Thanks for taking my question. I have two. The first one is on disposals. I understand the opportunistic approach that you would like to maintain.

Francesca Ferragina: No, no problem. Good morning, everybody. Thanks for taking my question. I have two. The first one is on disposals. I understand the opportunistic approach that you would like to maintain. Can you be a little bit more explicit? We haven't seen much in H1. Can we expect some more dynamicity in H2? Is there any negotiation ongoing? What do you experience on the market when it comes to disposal lately? The second question is probably for Kristina. We talk about very strong organic performance, pricing power. Can you make a comment about affordability and how you track, how you monitor affordability, and if you see any differences among the countries where you operate? Many thanks.

[Analyst 6]: No, no problem. Good morning, everybody. Thanks for taking my question. I have two. The first one is on disposals. I understand the opportunistic approach that you would like to maintain. Can you be a little bit more explicit? We haven't seen much in H1. Can we expect some more dynamicity in H2? Is there any negotiation ongoing? What do you experience on the market when it comes to disposal lately? The second question is probably for Kristina. We talk about very strong organic performance, pricing power. Can you make a comment about affordability and how you track, how you monitor affordability, and if you see any differences among the countries where you operate? Many thanks.

Speaker #4: But can you be a little bit more explicit? We haven't seen much in H1. Can we expect some more dynamicity in H2? Is there any negotiation ongoing?

Speaker #4: What do you experience in the market when it comes to disposals lately? And the second question is probably for Christina. We talk about very strong organic performance and pricing power, but can you make a comment about affordability and how you track and monitor affordability? Also, do you see any differences among the countries where you operate?

Speaker #4: Many thanks.

Speaker #3: For the first part, yes, there is appetite in the markets. Also, a couple of firms are being raised, let's say, to do some developments in the asset class of student housing, and we know that parties are interested in buying certain assets from us.

Christian Teunissen: For the first part, yeah, there is appetite on the markets. Also, a couple of funds are being raised, let's say, to do some developments on the asset class of student housing. We know that parties are interested in buying certain assets from us. We're not a distressed seller, so we want to keep it that way so that the feeling is not that we need to do something. It's really in a good way, in a healthy way, that we want to have a look at it. At the right pricing, let's say no discounts, as we did with Berg am Laim. It's a small one, but it's at a premium, and we had a tough negotiation, and we did it.

Speaker #3: We're not a distressed seller, and we want to keep it that way so that the impression is not that we need to do something.

Speaker #3: It's really in a good way, in a healthy way, that we want to have a look at it, so at the right pricing. So, let's say no discounts, as we did with Bagata.

Speaker #3: It's a small one, but it's at a premium, and we had a tough negotiation, and we did it. So that's the way we want to continue.

Speaker #3: The good work, and let's say, if we have the right price, to reinvest in a high-yielding asset, or to bring leverage down when necessary. So we will keep on—let's say, keep up the good work on that.

Christian Teunissen: That's the way we want to continue the good work and to, let's say, if we have the right price, to reinvest in a high-yielding asset or to bring leverage down when necessary. We will keep on, let's say, keep up the good work on that. Is the market there? Yeah, for sure. We have the right assets, the right locations, as we know, as everybody knows. Otherwise, it wouldn't be fully let again. We will come to the market at the right moment. Immediately when something happens, we will communicate.

Speaker #3: But is the market there? Yeah, for sure. And we have the right assets, the right locations, as we know, as everybody knows, otherwise it wouldn't be fully let again.

Speaker #3: But we will come to the market at the right moment. So, immediately when something happens, we will communicate.

Speaker #4: Okay, and maybe a quick comment then on affordability. I mean, because John mentioned—and we also communicated several times—that the majority of our students are international.

Kristina Olsen: Okay, maybe a quick comment then on affordability. Jan mentioned, and we also communicated several times that the majority of our students are international. They come to continental Europe, where the universities are very cheap. For the students coming from abroad, then it's the total cost of living and studying that is important for them, right? Then next, they really want high-quality accommodation. Parents abroad, they want us to take care of their kids. That's also why they want to pay a premium for the community and the service. That's actually the reasons why we focus so much on that, because we want to add something more.

Speaker #4: They come to continental Europe, where the universities are very cheap. And for the students coming from abroad, it's the total cost of living and studying that is important for them, right?

Speaker #4: And then next, they really want high-quality accommodation. Parents abroad want us to take care of their kids. That's also why they are willing to pay a premium for the community and the service.

Speaker #4: That's actually the reason why we focus so much on that, because we want to add something more. So if you compare the seer prices, you will actually have to go to the naked price, so to speak—take away the community component and all our all-inclusive components—and then compare to the competitors or the public dorms. And then we are actually not expensive.

Kristina Olsen: If you compare the Xior prices, you will actually have to go to the naked price, so to speak, take away the community component and all our all-inclusive component, and then compare to the competitors or the public dorms, and then we are actually not expensive.

Speaker #3: Correct.

Speaker #4: Yeah.

Speaker #2: Francesca, that gave an answer to your question.

Christian Teunissen: Correct.

Kristina Olsen: Yeah.

Speaker #4: Yes. Thanks.

Sandra Aznar: Francesca, that gave an answer to your question?

Speaker #2: Okay, thank you. So, we have come to the end of our analyst and investor presentation. Please, for any remaining questions, send them over by email to me so we can answer them after this call.

Francesca Ferragina: Yes, thanks.

[Analyst 6]: Yes, thanks.

Sandra Aznar: Okay, thank you. Yeah, we came to the end of our analyst and investor presentation. Please, for the remaining questions, send them over by mail to me so we can answer them after this call. I want to give the words to Christian for some last remarks, and I will thank you already all for attending and for your questions.

Speaker #2: I want to give the words to Christian for some last remarks, and I already thank you all for attending and for your questions.

Speaker #3: Yeah. I want to thank each and every one for the good questions. I believe that we’ve proven that the questions were no surprise and that we could answer them, and that we are really aware of what we need to do and have to do, such as the last question regarding, let’s say, the asset rotation.

Christian Teunissen: Yeah. I want to thank each and everyone for the good questions. I believe that we've proven that the questions were no surprises, that we could answer them, and that we are really aware of what we need to do and have to do, such as the last question of the, let's say, the asset rotation. We are on top of it. We know what to do, and we do it, let's say, maybe not too fast, but just at the right moment, we will act, and we will prove that we know what we're doing to improve the quality even more of the company. Then maybe to conclude, final remark, the rental season, as we mentioned before a couple of times, has always been good on the continent.

Speaker #3: We are on top of it. We know what to do, and we do it—let's say, maybe not too fast, but just at the right moment. We will act, and we will prove that we know what we're doing to improve the quality of the company even more.

Speaker #3: And then maybe to conclude, a final remark: the rental season, as we mentioned before a couple of times, has always been good on the continent.

Speaker #3: Now it's has been by far the strongest one ever and that proves that we are in the right product the right asset class on the right market.

Christian Teunissen: Now it has been by far the strongest one ever, that proves that we are in the right product, the right asset class on the right markets. Kristina and Frederik, with the right people, are working for Xior, and it's a team effort, and it's each and everyone working for Xior who can come to these H1 results. For the rest, I want to thank you for attending this earnings call. Thank you. I speak to you and also him. Goodbye.

Speaker #3: And Christina and Frederick, with the right people, we're working for XIOR, and it's a team effort. It's each and every one working for XIOR who can come to these results, these H1 results.

Speaker #3: And for the rest, I want to thank you for attending this analyst call. Thank you. Let's speak to you, and also, Wim, good luck.

Speaker #2: All right. Bye.

Speaker #3: Thank you.

Speaker #4: Bye.

Frédéric Renard: Bye.

Christian Teunissen: Thank you. Bye.

Sandra Aznar: Bye.

Christian Teunissen: Thank you. Bye.

Frédéric Renard: Bye.

Frederik Snauwaert: Bye.

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Half year 2026 Xior Student Housing NV Earnings Call

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