A warm welcome to all of you listening in on the update on the occasion of our 2025 full-year figures. My name is Patrick Couttenier, I'm the CEO of the company, and I'm accompanied by Filip Van Zeebroeck, who is the CFO of our company.

Let,

let us take you through the agenda of what we plan to present. We will talk a little bit of, about the key components of our story.

Then we will dive into the portfolio, we'll talk about our strategic focus. Of course, we will zoom in on the financial information and also zoom in on the key interests of share and shareholders, to conclude with some key investment highlights and main messages.

Let me remind you that 2025 was quite an exciting year for us. We celebrated our 30 years of Care Property Invest, and we finished the year with a major transaction that was very important to us, a major increase in our portfolio, and actually a first major transaction illustrating our ambition to grow for the coming years.

It was a year of hard work, but a lot of excitement and fun as well. Let me take you through the rest of the presentation and maybe start with some key takeaways.

Actually in that respect, not much of a change. We still are pure-play healthcare Belgian REIT, included in the EPRA Index.

We still focus on the four core countries where we are present. Actually, the portfolio is is is quite diversified.

We have built quite an expertise and track record in the public and the private market. We still believe in the buildup of an energy-efficient portfolio.

Of course, as you all know, our assets are in, our income is inflation-linked, our portfolio is an inflation hedge if you want. We still are a lean, mean, and agile organization as we organize everything out of our head office in Schoten.

We see growth potential in all the markets where we are present. To finance that, we are convinced we have access to funding to realize these growth ambitions.

We really believe in sustainable relationships on a long-term basis, not only with our operators, but also with our investors and shareholders. As since '25, we have also changed our remuneration policy in a way that the management team has more skin in the game than before, the interest, interests of management and shareholders are well aligned.

We strive for a profitability in line with the risk profile of our company. We are convinced that the risk profile is quite conservative, and we have a long-term view on stable cash flows based on long-term lease contracts, as well in the public as in the private portfolio.

The public portfolio still represents 23% of our income. We have a sound financial discipline and also cost control.

Maybe a very important thing, we have a sustained dividend policy, and the good news is that there is still only 15% of withholding tax to be applied to our dividend. I would like to zoom in on, I'm sorry, on the projects we realized in 2025.

Wait, did you see that flipping through the... Yes, I activated the wrong slide.

Excuse me. Excuse me, I'm struggling with the...

Yeah. Sorry, Filip.

I give you the word to highlight some key figures before we delve into the

details. Good morning also from my side.

Going through the key financials. The fair value of our portfolio was close to €1.4 billion.

Financial leases decreased a little bit in fair value due to the nearing of the expiry of the contracts and higher market interest rates at the end of the year. We had a stable value for our investment properties at €1.17 billion.

If you look at the rental income and EPS, we are very close or on the guidance that we gave for 2025, being €73.9 million in rental income and €1.16 EPS. As Patrick said, our dividend will be €1.

In terms of risk, the LTV at the end of the year 2025 stands at 47.14%. We have an increased headroom on financing due to the cheap bank loans that were in the Welvaart portfolio.

That's why our headroom went up to €91 million and a decreased average cost of debt of 3.11%. I think we can go to the next slide.

Next slide.

Here you can see our portfolio. Indeed, the difference between '24 and '25 being the growth of the portfolio by the acquisition of the Welvaartstate portfolio, the nine assets in Belgium.

Maybe to zoom in a little bit on the acquisitions in 2025. Actually, we bought a very significant portfolio in Belgium consisting of nine locations.

Actually, the good news is that these locations are really prime, high occupancy rates, have a very good energy efficiency, and so on. It's a real positive addition to our portfolio.

We also concluded an acquisition in the Netherlands in Bloemendaal, and we engaged on a acquisition in Alicante, a new project in Alicante late 2025. We also illustrated that we actively manage our portfolio, although we have a strategy of course to build up an asset base of interesting buildings.

We also look opportunistically whether sometimes we need to dispose of some assets because it's a better solution for the company, for ourselves, but also for people operating the premises. In 2025, we disposed a site in Deinze, and we also realized new completions in Almelo, the Netherlands and also in Elche in 20, 2026.

Actually, a completion that was planned actually late '25, but ultimately was realized in '26 due to some minor technical elements. If you look at the composition of our portfolio, it's actually spread over four countries.

As a result of the acquisition in '25 of the big portfolio in Belgium, there is a somewhat increased concentration on Belgium, but the strategy is still to diversify over the existing four countries. There is actually very nice growth potential in all of the countries as the aging of the population is pretty much the same in all countries, and there is a huge need for new and future-proof buildings in all the countries.

To zoom in a little bit on the Belgian situation, here we actually see in all countries, but certainly in general, that the occupancy rates continue to improve, which means that actually in terms of operations, the post-COVID difficult period is coming to an end for the operators in terms of occupancy. We were at the slide of the Belgian market, and I was just illustrating the increased occupancy rates in Belgium and actually in all other countries.

Also in Belgium, the demand remains very high for additional buildings and additional services through nursing homes. I will flip through the other markets to gain somewhat time in the meantime.

You see that occupancy rates in the Dutch market are somewhat lower, but this is also a given. The buildings we have are smaller, we have somewhat higher frictional unoccupancy, if you want.

Also there, the demand remains very strong, and certainly also in the Spanish market and which has known a very high occupancy rate in our buildings in 2025, as well as Ireland, very high occupancy rate, 95.9%, and an very high increase in elderly people, 85-plus, a certainty of increasing demand for the coming years. To continue with the geographical distribution of our projects and our residential units, it's a slide that you are used to see if you are a regular follower of our presentations, but it actually indicates that there is still, in terms of number of projects, but also in terms of residential units, a high concentration on Belgium.

Let's see, in the Netherlands, the buildings are slightly smaller than compared to other countries, which gives a difference in these slides. Very interesting slide is the distribution of our projects by the age of our buildings, and this illustrates, in fact, that we have a very young portfolio, especially in the countries that we recently joined to the portfolio, Spain and the Netherlands, but also in Belgium compared to peers.

Our portfolio is quite young and quite qualitative in terms of energy efficiency and so on. In terms of lease maturity, well, one of the aspects that underpin our conservative risk profile is, of course, the view on the leases, the long-term leases we have.

You see in Belgium, the Netherlands, as well as Ireland, we have an average lease of 18 years plus. Only in Spain there's a somewhat smaller lease maturity, but still a very high visibility on future cash flows and, of course, again, illustration of the young portfolio.

A word on the legacy portfolio of the finance leases, as there is quite some attention over the last quarters on that portfolio. As you all know, it's a legacy of the initial setup of the company as Serviceflats Invest.

It's a portfolio of financial leases that are on a number of local government authorities, communities in Belgium, and for a total of almost 2,000 assisted living rooms. The initial structure, based on a building right we have for 30 years, we structured the leasehold with the communities for 27 years.

Actually, as of '25, the first leasehold periods came to an end in the portfolio of initial public market contracts. Which means that we have a slight decline of our income on these contracts as of '25.

Actually, the next slide is an interesting slide giving you, in full transparency, an impact on the annual rental income of that portfolio, but also the impact of the acquisition we realized in late '25 of the Welvaart portfolio that actually compensates to a large extent the top-line impact of the build-down of the legacy portfolio for the coming close to 13 years. Actually, it was a very important transaction for us in a way that we can compensate top-line the income loss for the coming years in the legacy portfolio.

As there is a difference in yield, and that's one of the reasons why there is an impact in our earnings per share going forward. That's why Filip will illustrate in a minute the EPS bridge between '25 and '26.

There's a good diversification in our operators. Actually, the result of Welvaart was an increased concentration going forward on the Korian Group.

We explained that very clearly when we realized the transaction. We feel comfortable with that increased concentration risk because we consider Korian as a very qualitative operator in the market.

You will certainly have thoughts or concerns or questions on the impact of the topics on the Belgian operators that were already covered in the newspapers. What we can say about that is that, for the knowns, the files that we know and that have been, in the meantime, remedied and renegotiated, we can say that the impact for '25 and '26 is fully integrated in our figures and in our guidance for the market next years.

For the unknowns, what we call, we took a slightly conservative position going forward. Given the fact that it's unknowns and it's, let's say, sensitive information spoke about files that have not yet really let's say, come to the surface in all details, we will not comment on that.

The only thing we can say is that, yes, as we have communicated in the past, when issues would arise, we will handle, we will take care of them, we will integrate them in our financial forecasts. The thing is that it's very often a quite multi-factor renegotiation.

It's not only giving in on things, it's also renegotiating other parameters, which makes that, all in all, the impact on our business today for the known files is quite limited. It's actually very limited.

I wanted to confirm that, and maybe we can dive into somewhat more when we talk about the EPS bridge. Okay.

Ultimately, the strategic focus of Care Property is still the same. We want to grow within strategic boundaries, huh?

Continue to focus on the four main markets where we are active in because of the growth prospects. We have a multi-solution approach towards the legacy portfolio of service flats, which means that the base case is that we think that the amounts will be paid back.

We stay interested to renew contracts with the local governments, but it is fair to say, with the experience of the contacts during 2025 with the municipalities of which the contracts become due in the next 5 years, we have the sentiment that the probability of renewal is quite low. We actually took a conservative position in a way that we take into account that the investment amounts will be paid back to us, and we will reinvest them in new projects in the public market or new projects in the private market.

That's the base scenario we took into consideration in our prospects. The strategic focus remains to be a dividend stock.

We are planning a consistent dividend and, ultimately, a growing dividend. The payout ratio of 2025 probably comes very close to what we would consider a healthy, strategic payout ratio for the future.

Excuse me, in the meantime, we still plan for a nominal dividend of €1, and when it is sustainably defendable, we will increase our dividend. Finally, as we have illustrated with the sale of the premises in Deinze, we manage our portfolio in a dynamic way, and we also try to increase value on the existing locations by trying to realize extensions or increase income potential on existing sites.

Finally, although the reporting requirements on sustainability have come down to a large extent, we still believe in the defensive strategy that sustainability is key to remain and keep the value in our portfolio in the long term. Sustainability of our buildings, long-term relationships remains key for us.

Now I will give the word to Filip to dive into the financial information and the guidance going forward.

Yes, operationally things under control, if we look at rent collection rate, behind all calls by the operators was still at 98%, at a stable level compared to previous quarters. Average indexation was at 3.08%, and occupancy rate and 100%, but real occupancy rate increased to 94%, being a proof that the demographic evolution is in our favor.

In terms of solvency, like I said, EPRA LTV, 47.14%. We have limited cash-outs, we have the project in Elche, which was completed in January, and the project we acquired in December in Alicante, which has to start, it will be a gradual cash-out over 2026 and 2027.

We have a stable valuation of the portfolio, and like-for-like, we see a small growth of 0.21% in 2025. Like I said, we slightly increased the capacity on our credit lines, which amounts to €91 million at the end of the year.

If you see the €1 DPS and the €1.16 EPS for 2025, we get at a healthy payout ratio of 86%. I will go to the next slide, which gives you more information on the evolution from the EPS 2025 being €1.16 to the guidance we gave for 2026 being €1.07.

The first block, it's a positive impact in turnover, which is a combination of different factors. The first one is, of course, the acquisition of the Welvaartstate portfolio.

We have an increase in rental income of €8.2 million, and of course, we have an indexation of our rental income, a large part also already on January the 1st. Of course, we also have a negative impact from the historical portfolio, as Patrick showed on slide 26, for the year 2026.

It is a gross impact, without indexation of the remained lease portfolio, of €1.1 million. Then, of course, we had the operators.

We included the known impact, the limited impact of the renegotiations with Armonea and Vulpia. There is also an unknown for potential other parties like Korian.

However, we didn't make any concessions so far. Like you all know, we issued shares, and so you have the share dilution due to the rights issue.

We have increased interest expenses mainly due to the additional debts that was in the Welvaartstate legal entity and higher general expenses. That in 2025, we had a one-off positive impact of €960,000 due to a bonus of the previous CEO.

That, of course, is no longer in place in 2026. We are also implementing a new ERP system, which is also part of the €0.04 negative impact in higher general expenses.

That's how we get to the €1.07, which is to be considered as a minimum. It's, like I said, there are some unknowns because it's only March, and so we have included that in our EPS guidance.

On the next slide, you can see the P&L. I think also no real surprises there.

The net rental income, €73.9 million, general expenses well under control. We're above the target of 85% as an operating margin, and there is this one-off effect, like I said, of €960,000, which you see on the left-hand part.

Of course, we also have the negative impact in corporate income taxes at about €800,000 because of the abolishment of the FBI regime in the Netherlands. That's how we get to the €1.16, exactly the guidance we gave on EPS.

That's €1.16 '25 in more detail for the financial year 2025. Here you can see on the next slide the like-for-like change in each of the four countries we are active in.

On the next slide, the growth of the portfolio. Of course, going forward with the acquisition of the Welvaartstate portfolio, a further dilution to just above 20% of the historical portfolio to our total rental income.

If we look at our balance sheet, and so we can see the investment properties, like I said, with the stable valuation, and our IFRS LTV is close to 49%. Here you have more detail on valuation.

A slight increase in Q4 and also a slight increase overall over a year, financial year 2025, leading to a valuation yield of 5.63% at the end of the year. Here you can see this gross yield of the different countries, the four countries, and the average of 5.63%.

Debt slightly increased over the year with about 50 bps due to also the acquisition of the Welvaartstate portfolio. There you can see the different headrooms and, like I said, the limited cash-out due to the committed developments.

If you look at the maturity wall, there is no refinancing that has to be done in 2026. We are currently working on 2027.

We are making some progress there. There is not an issue.

However, these are our bank loans that still have favorable conditions. We will see how we deal with that, but there's no issue there.

Okay. Here you can see the weighted average interest rate, which came slightly down to 3.11% in 2025.

We are well hedged for the future. We were almost done until 2028, and there might be some decrease in hedge ratio over this year for the year 2028, and we are now focusing on 2029 and beyond.

In terms of cost of debt, it will be stable and it will be about 3% for the next years. Debt structure, and so bank loans are taking important parts, 83%.

Commercial paper was kind of stable over the year, about €90 million, 89 at the end of the year. Then we have a small part of bonds outstanding.

If we look at net debt to EBITDA and the ICR, and see an improvement in both ratios in 2025 compared to 2024. Then I hand over to Patrick.

Okay. Just some information on, yeah, on the long-term performance of our stock, which is maybe less relevant the past.

Let's look at the future. Just to give you an indication of the total return, despite the let's say, volatility of the stock in a certain period of cheap money and then afterwards the correction for that.

The total return of Care Property is 7.10%, including reinvestment of dividends. Actually, it's an indication of, in my opinion, also of the future potential of what Care Property could generate for shareholders reinvesting their dividends every year.

Actually, given the current discount, this is probably a low estimation, but it illustrates that there is a nice additional return in the total return beyond inflation. Actually, it's almost 5% additional on top of inflation that was generated by the share.

This is an overview of our dividend per share. We already illustrated that in terms of dividend policy.

We continue to stress our dividend policy. We are a dividend stock, and ultimately, in increasing the portfolio and the revenue going forward, we target an increase of the dividend, but we will only do so when it is sustainable for the future.

Let's say, ultimately, I think the dividend policy would result in a payout anywhere between 80% and 85% as of the moment that the earnings per share allow for that with an increased dividend. This is an evolution of our stock price versus the EPRA NTA.

Actually, the stock price evolved quite nicely after the Welvaart transaction. I think, in general, the market for real estate and REITs recovered, and additionally, I think there was a small rerating already of the risk of Care Property Invest.

In terms of our shareholder base, well, that's an overview, still predominantly a Belgian shareholder base, but as a result of the EPRA inclusion, additionally international. Which brings us to the end of the presentation and actually just summarizing the key investment highlights as they are mentioned here.

Maybe some closing messages on our future strategy. Actually, I think we are convinced that the priority we should aim at is trying to reduce the discount on our stock versus the intrinsic value of the stock.

The risk the market allocates to our company today is quite high, it's maybe too high, which results in a high cost of equity and WACC that is used by market participants. The reasons for that are multiple.

It's the result of sector dynamics, operator concerns. It has to do with the size and liquidity of the company, and it has also to do, that's at least what I read in analysts' reports, with a perceived too high leverage.

Let me comment on that. The sector dynamics and the operator concerns.

We have the impression that actually it's predominantly a Belgian phenomenon, and that actually the files are coming to the surface and that we are in a phase of probably having seen most of the issues, and it's a temporary effect. I think the sector has good prospects in a way that the demand is increasing.

We are convinced that landlords and operators will find a win-win for the next years. That concern will gradually evolve and probably disappear.

The second element, size and liquidity. We are convinced that we have to grow, huh?

We have to grow, and actually the target would be to double in size. We will not pin a deadline on that.

You will agree with me that current geopolitical and market circumstances are highly unpredictable and very difficult to navigate, but we are convinced that if we double the size of the company, we will reduce the issue of size and liquidity. By the way, the acquisition of the Welvaartstate portfolio was an important first step, and we already see that market responds to that by reducing the discount on our stock and also increasing the liquidity.

There's a notable increase in liquidity in our stock as a result of that transaction. We will look at all opportunities going forward actively, and looking for ways to realize them and finance them in a way that adds value and creates value for the shareholder.

The third maybe element why the risk on Care Property is perceived somewhat higher is our leverage. I can confirm that actually as a management team, we are not too worried about the leverage as it is today.

The reason is the existence of the public portfolio on our balance sheet, which is actually a risk-free series of cash flows that comes our way for the next 14 years. If you would separate that portfolio from the new portfolio that we built since 2012, and you would attribute a more normal market-conform leverage to that public portfolio of secure cash flows, you would actually see that the leverage on the new portfolio is much lower, and actually, in the reality, is quite conservative.

That is not one of our concerns, but we understand and we try to explain to you how things are in reality, and hope that the risk perception will reduce over time. Having said that, we see the legacy portfolio also as an opportunity to maybe unlock value at a certain point in time when it makes sense for Care Property and its shareholders.

We also are looking to increase value-creating capacity in our existing portfolio. We are looking for extensions into our new-built portfolio, but also our legacy portfolio.

We are looking for ways to increase return on invested capital, and at the same time, we try to work on our weighted average cost of capital. By doing both and increasing our asset base, we are convinced that for the next years we can create value.

Finally, I would say we try to improve the operational efficiency of the company. We have decided to invest in new ICT systems, ERP systems.

We will improve our document and data management. We are reviewing our processes, and we are also embracing AI solutions to further increase our operational efficiency going forward.

Growth should indeed also lead to improving operating margins. To conclude, I think we also continue to believe in sustainability, not only in the buildings, but in long-term relationships with operators and investors.

We are convinced that actually Care Property Invest is a sound investment with a conservative risk profile offering interesting total return perspectives for long-term patient capital. That's really our conviction.

The reason why we are conservative is Care Property is very much what you see is what you get. There's a value backed by a diversified real estate portfolio.

We have triple-net contracts with our operators. We have long weighted average lease terms.

We have, in our opinion, a low leverage. We have efficient operations.

We have a clear dividend policy towards the shareholders. Maybe finally, we still have the benefit of the 15% withholding tax, and there is no reason why this should disappear in the near future.

I think this is maybe the concluding message from the CEO in this earnings call. I would like to thank you for your attention on behalf of Filip and myself.

Apologies once again for the technical issue we faced. It was really Murphy's Law.

We had an energy breakdown temporarily, but we managed to resolve that. Thank you very much for your attention.

I hand over to Filip to see if there are questions raised, if we need to answer questions. Filip?

No, there are no questions so far.

Everything must have been very clear. Yeah.

Thanks again for your attention, and I look forward to the next earnings calls in 2026.