Many thanks and good morning, everyone. This is Martin from TAG.

Thank you for dialing in for our H1 2026 conference call. Let's start right away with the highlight slide, and I'm on page 3 of the presentation.

I think it's fair to say that H1 2026 was a very strong half year with results strongly up. In absolute terms, FFO I was 9% above the previous-year level, came out at €100.2 million.

Also our net income from sales in Poland was strongly up by 12%, and FFO II, consisting of the FFO I and the net income from sales in Poland, saw quite strong growth at an 11% increase year-on-year. Perhaps you have already seen it in our press release, that led us to narrow the guidance for FFO I 2026 at the upper end of the guidance range, therefore we expect FFO I more to come up at the upper end of the previously announced range.

Operations were well on track, and we saw increasing portfolio values with the half-year valuation. Like-for-like rental growth in Germany was quite strong at 3%, in Poland was 2.4%, excluding the newly acquired Resi4Rent portfolio, just for the existing portfolio that we even owned before.

Sales numbers were quite good in Poland: we sold 1,350 units in the first half of 2026 compared to a bit more than 1,150 in the previous year. Value increase in H1 in the German portfolio was at 1.5%, so that's quite similar to what we've seen in the two previous valuations, which were 1.4% in H2 2026 and 1.7% in H1 2025.

A trend or a continuation of the positive trend we've seen in the two previous semiannual valuations. As we've already announced, the Resi4Rent transaction closed on 27th of May 2026 after an antitrust approval without any conditions.

We had to wait for this, as for quite a long time, but finally it came without any conditions. Therefore, we are right now in the process of integrating this portfolio into our platform, into the Vantage platform, and we can tell you that this process is proceeding quite smoothly and will be completed shortly.

The final purchase price came out at €575 million, and that is a 7.5% implied gross yield based on the expected net actual rent in 2026. The portfolio was, for the first time, valued also like the remaining part of the portfolio at the end of the half year, and we saw a 7% value uplift compared to the original purchase price.

That means the Polish rental portfolio after this completion of the Resi4Rent transaction has now material size with more than 9,100 units, which was, of course, then an important strategic step for us. Another important strategic step was, for sure, the ROBYG IPO, completed to the largest part after the balance sheet date, in July 2026.

Therefore, please be aware that most of the impact from this IPO is not in the H1 numbers, but we will give you some pro forma numbers. As a short overview, after stabilization measures, we had total gross proceeds for the group of €282 million, out of which €188 million was the gross proceeds on TAG level, and the remaining €94 million was the gross proceeds on ROBYG level.

We still are majority shareholder of ROBYG, we are retaining a 67% stake, and we are clearly committed to hold this stake also for a longer time. As I already said, the IPO transactions are not reflected in the H1 numbers because most of that was effective after the balance sheet date, but just as a quick overview, we're expecting an NTA uplift of around €55 million, roughly 30 cents per share, and a quite strong LTV reduction through the inflow of the gross proceeds from the IPO by around 320 basis points.

That means, on a pro forma level, including the ROBYG IPO, the LTV stands at 42.2%. These gross proceeds are clearly now something that we will use for further investments.

If you ask us about our capital allocation strategy for this year, the main focus, and that's basically unchanged, will be on the further growth of the rental business. We have now not only the liquidity, but also the equity basis to invest.

We have basically two markets where we are investing, as in the past, Poland and Germany. As we have a kind of natural growth via construction of rental apartments in Poland via our own platform, ROBYG, on the own land bank that we own, and therefore will have natural growth from simply carrying out this constructions of apartments in Poland.

We are also looking for acquisitions of rental portfolio in Germany and in Poland, so that will provide us additional growth. That's the rental business, but now, more or less for the first time, also the Polish build-to-sell business, meaning ROBYG, has more opportunities to grow through the IPO proceeds.

That means, even though we sold a stake in ROBYG, we expect that quite shortly, we will have higher results from ROBYG through the growth, through the IPO proceeds, so that bottom line, our proportionate result from ROBYG will also grow despite this partial disposal of shares. Therefore, ROBYG IPO, to make it short, from our point of view, a win-win outcome for all segments at TAG.

That's the overview. Let's look a little bit more into the details.

Perhaps just one short comment on page number 4. You see all the detailed figures, but what I want to mention is the acquisitions in Germany.

We acquired, basically until the last days, roughly 900 units in Germany at a quite good pricing, a gross yield of around 7.1%. Still there's some vacancy reduction potential, the average vacancy rate in these portfolios is around 4.3%.

Nearly all units are located in East Germany in regions that we know very well, and this acquisitions will close, yeah, perhaps more towards the end of the year. We will continue also to acquire in Germany.

We are clearly a buyer of apartments, but please be aware, we will be here selective and disciplined, we will not look for growth at any price. We see a opportunity.

Selective acquisitions in Germany will be part of the future growth. I'm now on page number 7.

This shows the bridge from net actual rent to FFO I. As I already mentioned, FFO I in H1 2026 was up by 9% compared to the previous year.

EBITDA, the operational result, was up by 5% year-on-year. That means we also had a positive impact from the net financial result, which was roughly 1.4% €1.4 million better, as we had for a longer time a quite strong cash position, where we may have been waiting for the closing of the Resi4Rent acquisition.

We had the cash already in the balance sheet, therefore we've seen some interest income. Perhaps in H2, you will see a contrary picture, more stronger EBITDA growth, whereas perhaps then the net financial result is a little bit weaker, but that's then a natural change because of the closing of the Resi4Rent transaction.

Next page, page number 8, shows the development of our build-to-sell business, of the Polish sales results. It was quite strongly up year-on-year.

We came out at €18.6 million. If you compare that with the full-year guidance, which stands at €92 to €98 million, please don't be concerned that this is, on a proportionate basis, quite low, but this is the very normal course of the business.

As last year, as basically all years before, you should expect that the main result is coming towards the end of the year, especially in the fourth quarter, when we hand over the largest part of our apartments. Therefore, we confirm also the guidance for FFO II for this year, because you should expect a strongly growing sales result, especially towards the end of the year.

Page number 9 shows the EPRA NTA development. As said, the positive impact from the ROBYG IPO, which is roughly 30 cents per share, is not included yet.

Still, we have a 6% growth year-on-year compared to H1 2025, even after the dividend payment, which was completely carried out in June 2026, so that's fully reflected, and after the capital increase in August 2025, which we carried out for the Resi4Rent acquisition. Therefore, also the EPRA NTA development should be on a good way.

Let's take a quick look at page number 10, which shows the financing structure. Average cost of debt now at 2.7%.

We're very happy that we received two upgrades in rating in the last month. Firstly, in May 2026, we received an upgrade from Moody's from Baa3 to Baa2.

Following the successful ROBYG IPO, also from S&P Global, which upgraded us from BBB- to BBB. Both upgrades should be a good proof for our, yeah, very stable and very strong financial structure, with, just to repeat this again, in the meanwhile, a quite low leverage, pro forma after the ROBYG IPO, the LTV stands, as said, at 42.2% only.

Page number 11 shows the maturity profile. Looking into 2026, basically everything is refinanced already, we will have a larger repayment at the end of this month of €470 million from a convertible bond that is becoming due.

The pro forma cash position is quite strong right now, more than €1 billion. We had roughly half a billion euros in the balance sheet at the end of the second quarter, plus still an inflow, net after all costs, of around €255 million from the ROBYG IPO, plus some bank loan refinancings that we did after the balance sheet date.

So €1.05 billion roughly is the cash position. Deducting the maturities that we have this year of around €578 million, that leaves us with more than €450 million of free cash that we can use for investments, as I mentioned at the beginning, into our rental portfolio and on ROBYG level to grow the build-to-sell business in Poland as well.

Page number 13 shows you the development of operational data in the German portfolio. The vacancy rate in the portfolio stood at 3.8%.

That's higher than at the beginning of the year, but basically, as the years before, we expect a further reduction in vacancy rate. If you compare that with the same period one year before, we're already lower, we've been 10 basis points below H1 2025.

Therefore, we are optimistic that we can improve the vacancy rate, as in the last years, in the remaining part of the year. Like-for-like rental growth, including vacancy reduction, more or less unchanged at 3%, but quite strong was the like-for-like rental growth without vacancy reduction, which came out at 2.9%.

Please be aware, as always, just a very small part, 0.3%, modernization-driven, so that means we have a quite strong underlying like-for-like rental growth from rent increases for existing tenants and from tenant turnover without any capex spending. That should be definitely a good sign.

Page number 14 shows the portfolio valuation. As I said, a total value increase of 1.5%, and just to make this clear, this is including capex, so that should be very much in line with what you have seen in the peer group.

Without the capex, this value increase was around 0.7%, 0.8%, and that's basically more or less the same valuation results that we had in the two semi-annual valuations before. Positive trend continues.

We have no outlook yet for the full-year valuation, no indications from the valuers yet, but currently we expect a more or less, yeah, perhaps unchanged valuation at year-end, because our gross yield is already on a quite, yeah, let's say, reasonable level, 6.6%, which has been now quite stable for the last valuations, should be a gross yield that is, even in this world of higher interest rate, something that still leads to positive cash flow. Therefore, from our point of view, that should be a quite resilient valuation despite the increasing interest rate levels in the past months.

Page number 15 shows you more details on the portfolio valuation, but let's go more to page number 17, which shows you operational data from the Polish portfolio. Here on this slide, you see the development in the vacancy rate and the like-for-like rental growth.

Again, please be aware that this is the data for the like-for-like portfolio, meaning without the Resi4Rent transaction, the portfolio that we owned before, which comprises a little bit more than 3,500 units. Still quite low vacancy level, 2.1% for all the units that have been on the market for at least one year, which are stabilized.

Like-for-like rental growth was a bit lower, 2.4% in H1 2026 compared to 3.4% in 2025. What we observe in the portfolio is that we have more longer-term rental contracts that are linked to inflation, more and more tenants are choosing a two- or three-year contract.

As Polish inflation rates came down in the last months, also the rental growth therefore was a bit lower. Yes, lower rental growth, but, of course, lower turnover also leads then to a lower cost base and less vacancy between tenant changes.

Therefore, we are not concerned that the Polish rental growth is now going in the wrong direction. We will have also more fluctuation or more ups and downs in the like-for-like rental growth in the future, but still, we're very much convinced that we will see sustainable growth also in the coming years.

Page number 18 shows you more data on the Resi4Rent acquisition. I think I already touched the most important points.

Now also our rental portfolio in Poland has a significant size: 9,100 units already in the portfolio, more than 1,000 units under construction, more will follow in the next months. You should expect that in the next two to three years, we will definitely start construction of between 1,500 and 2,000 apartments a year, the portfolio will grow step by step over the next years.

That comes to page number 20, which shows the Polish sales business. As I said, quite good sales results in the first 6 months of 2026, 1,350 units sold after 1,158 units in the same period of the previous year.

As you see on the slide, knowing that the third and the fourth quarter of the year also regarding the sales normally stronger than the first half, we're very much convinced that we are coming out to the sales numbers that we predicted, something between 2,800 and 3,000 units for the full year should be absolutely realistic. We still see healthy demand in the Polish sales market.

Sales prices remain on high level, and that gives us confidence for the future results. Page number 21 shows the revenue recognition.

As said, you should expect, as in the previous years, that in the fourth quarter we will have the largest part of our handovers, therefore the revenue recognition will pick up more and more as we progress throughout the year. Let's talk a little bit more about the ROBYG IPO, and I'm now on slide 22 of the presentation.

Again, quick summary: ROBYG is listed on the Warsaw Stock Exchange since the 2nd of July 2026. On this date, ROBYG had a post-IPO market capitalization of around €860 million.

We own still 67.1% of the ROBYG shares, therefore our remaining stake is valued at currently or at the IPO price, €580 million. Total gross proceeds of €282 million for the group, out of which roughly €94 million from capital increases on ROBYG level, and through the sale of ROBYG shares that we conducted from TAG side, we received on TAG level around €188 million gross proceeds.

That means both segments, the build-to-sell segment, meaning ROBYG, and the rental segments, meaning the German business and the Polish rental business, have now the possibility to grow. ROBYG has now significant equity from the gross proceeds from the IPO, is able to buy further land plots, is able to grow stronger than in the past.

As already mentioned, from the sale proceeds from the ROBYG shares that we received on TAG level, we can increase our German and Polish rental portfolio based not on the liquidity, but also based on the equity that we have from the sale of the shares now in the balance sheet. As said before, the LTV will be reduced quite significantly after the IPO.

Page number 23 shows you again the pro forma data, the main impact on the balance sheet. As said, roughly €55 million is the NTA accretion, translating into roughly 30 cents per share.

If we look at our total investment that we have done, the value appreciation since we acquired ROBYG in 2022, meaning the cash proceeds that we now realized, the remaining stake that we still own of 67%, where the value is even higher than the total acquisition cost for the 100% stake, we achieved a value appreciation for the total investment of more than 40%, which should be a quite strong result. One comment on the FFO guidance or FFO II guidance for 2026, this remains unchanged.

Far, we have only deducted minority interests on project level, and this will be unchanged for 2026. For 2027 onwards, we will change the reporting, we will deduct the ROBYG minorities from our FFO II or from our Polish sales results, but this will lead indeed on the one side to a reduction in our Polish sales results next year.

As we expect, based on the IPO proceeds, on ROBYG level quite strong growth, we think that this dilutive impact only lasts one year. That means from 2028 onwards, based on stronger growth, even based on a lower stake in ROBYG, we should have again higher results on our Polish sales business.

Therefore, as said, that should be a win-win situation for all of our segments. Page number 24, and that's then the final conclusion from the ROBYG IPO, shows you that now, based on a market valuation of ROBYG and of our stake in ROBYG, we are able also to value as a kind of sum-of-the-parts valuation, at least the implied market valuation for our rental business.

Just as an example here, shown based on the market capitalization at the end of last month, we had a TAG total market capitalization of around €2.6 billion, deducting the value of our stake at the end of July 2026 in ROBYG. That should implied market valuation for our rental business of a bit more than €2 billion only.

Then comparing that with the upper end of our financial year 2026 guidance for FFO I that we published today as the more precise outcome of the guidance, we're ending up at nearly 10% FFO I yield. Therefore, that should be still a valuation level where an improvement should be possible.

The ROBYG IPO also makes more visible what our value in this Polish build-to-sell business is, and also what stands at least the implied market value on the rental business is. We're operating still on a very high FFO I yield.

Then finally, guidance on page 26. As I said, all guidance for financial year 2026 is confirmed.

After the strong H1 2026 results, we expect now that FFO I for this financial year is coming up now at the upper end of the guidance range, more towards the €197 million. That's it from me as an overview for the H1 results.

Thank you so far for listening, but I'm now very happy to take your questions.

Hi. Good morning.

Thank you for the presentation and for taking my questions. I've got two from my side.

I'll ask them one by one. Firstly, I think you've identified your allocation of capital or reallocation options post-ROBYG.

Of course, German resi acquisitions they've started, but what are you currently tracking in Poland on the acquisitions front? How should we think about timing here?

Then similarly, what about the ramp-up of potential build-to-hold developments now you've got that enhanced capital? I think you were previously ramping this up to around 2,000-unit completions in 2028.

Could you, in fact, go faster now?

Good morning, Marios, and thank you for your questions. That is indeed an option also to ramp up the own constructions in the build-to-hold segment in Poland.

To be honest, the biggest obstacle there is to receive the building permits quickly, so that's a kind of pain which is not completely new. You should assume that I think we have a land bank for further 6,000 units.

As soon as we get the building permits, we will start construction, and therefore we have here also more flexibility. Meaning if we get building permits in the next months and quarters faster, yes, we are also happy to start with construction of more than 2,000 units if possible.

Therefore, that's, as I said, the focus of the future growth, clearly building apartments on the own land bank. Regarding potential acquisitions in Poland, yes, of course, we keep our eyes open and open, and you can assume that we are, yeah, in the market, and there will be also acquisition opportunities in the future.

We are hesitating to guiding you or the market towards timing, you should not perhaps expect something in the short term. As we said in the previous calls and discussions, if we look at the market, we know that a lot of market participants are on the market with an exit horizon that perhaps is ending 2027 or 2028.

There will be opportunities, and we are clearly a natural buyer of these assets. If we achieve reasonable prices, we are also happy to buy in Poland existing portfolios.

Perhaps just so to make this clear again, that in a base case, the natural growth is coming from building apartments on the own land bank.

Okay. Thank you for that.

That's very clear. Then just switching slightly to the like-for-like rental growth in Poland.

You mentioned some fluctuation here. Can I just double-check what caused that reduction quarter-on-quarter in terms of the actual growth level, and whether we should actually anticipate this trending more in line with that 3%, 3.5% expectation over this year with maybe a bit of a stronger H2, or, yeah, what are your expectations here?

Happy to explain this more. Firstly, in Poland we are in an unregulated market, so that means if we need to make estimates about rental growth, we always have a swing to the upside and to the downside, which is more difficult to estimate, for example, compared to Germany, where it's regulated and we know, yeah, some basis points up and down, that's the maximum swing.

Firstly, we are still very much convinced that we will see a very strong and good rental growth in Poland in the future. When we look, let's say, at average rental growth in the past years, that was perhaps between 3% and 4%, and that should also be a good estimate, good expectation for the next two or three years.

Now what we have seen, and that's what I tried to explain some minutes ago, that we have more tenants in our Polish portfolio that choose a longer-time rental contract, which is good, right? They're going for a two- or three-year contract, not only a 12-month contract, and that means the turnover is gone down.

We have not any vacancy between tenants, we're not losing normally a monthly rent for tenant changes. A very constant rental income, but on the other side, these rental contracts are then normally linked to inflation rates, which are then in Poland below 3% currently, which is also good, but then also leads to a somewhat lower like-for-like rental growth in Poland.

Again, we're not concerned that we now enter a weaker market phase in the Polish rental portfolio. Just look at the vacancy rate for all apartments that are on the market since more than 12 months, which is still very, very low at around 2%.

Okay. Thank you for the color here.

Thank you.

Yeah. Hi, Martin.

Thank you for the presentation. I also have two questions, please.

I'll ask one by one. Firstly, just coming back to capital allocation and as a follow-up from Marius's question.

Appreciate your comments at the beginning, Martin, but I just want to follow up here. As you lay out on page 24, the rental business is trading at a 10% implied FFO I yield.

Would it therefore not just be a better use of capital on an equity return basis to instead just buy back your own shares rather than acquiring in Germany at a gross 7% or building in Poland?

Good morning, Andrew. A share buyback, I would say, is not yet on the table.

You're right, if you look at current implied valuation, 10% would point toward a share buyback. Let's look at the next 3, 4, 5 years.

Yes, perhaps the initial yield from a portfolio acquisition in Germany or from a finished construction of a Polish rental portfolio is lower, but we're convinced that these portfolios provide strong cash flow growth, meaning we will have good rental growth, we will have perhaps in Germany from the portfolios that we're acquiring also a vacancy reduction upside potential. We will also have, especially in Poland, a good value growth.

We're constructing these apartments at a 7% to 8% gross yield, they're perhaps afterwards valued at a call it 5.5% or 6% gross yield. Right now, we think carrying out these investments is something that makes sense.

Let's hope that the share price is going in the right direction. As we have done share buybacks in the past, so that's not excluded.

Currently, as you see from my quite long answer, it's not the first strategy we have. Let's observe this, and perhaps something to follow up in the next quarters.

Hopefully our current capital allocation is certainly something that really also leads to a better share price development.

Okay. That's helpful color.

Thank you. Then my second question is just on vacancy in the German business on page 13.

You had a reduction contribution of 10 bps to like-for-like in 1H against a 30 to 50 bps guide for the full year, with vacancy itself up 60 bps since year-end and 20 quarter-on-quarter. Correct me if I'm wrong, but I believe vacancy is typically flat between 1Q and 2Q in the portfolio.

It would just be helpful, I guess, to understand what the main driver is here. Is it mostly from acquisitions?

Then also, are you still confident with the guidance on this line? Thank you.

Firstly, we're still confident with the guidance on the vacancy reduction. Yes, you're right, also the acquisitions that we had had an impact of perhaps 10 basis points, then perhaps I would not look too much on the last basis points.

Perhaps excluding acquisitions, vacancy rate is flat, which is, I would say, normal development between the two quarters. Therefore, we're not concerned that this is now going in a different direction.

H2, as in the past years, should also hopefully, in terms of vacancy reduction, be a good second half.

Okay. That's helpful.

Thank you.

Hi. Good morning, Martin.

Thanks for taking my questions. I just wanted to follow up on your comments on potential redeployment of proceeds.

If I look into your acquisitions in Germany at a 7% yield, it comes in quite comparable to your acquisition yields in Poland. How do you see the risk-adjusted returns from your opportunity set?

Because the risk profile is quite different, looking at how Germany is regulated and Poland is unregulated.

Good morning, John. You're right.

Basically we are acquiring or building at a quite similar gross yield, you can argue, well, Germany as a regulated market is even a lower risk, which is correct. If you really look bottom line after capex, of course, the Polish portfolio is very strong, right?

It's not only that we have a good EBITDA margin, because maintenance costs are more or less zero, and also there's no capex needed. We are buying in Germany nothing distressed, but as typical for buildings that are some years old, we have to invest from time to time.

That's not needed in Poland. It's all new.

Therefore, the cash flow bottom line is very strong, and that should be then something that outweighs, let's say, a little bit higher risk because it's an unregulated market.

That's clear. Thank you.

Then on your leverage, the proceeds are going to lower your pro forma LTV to 42%. I appreciate that the target LTV is 45%, but given rate volatility in this market, could you talk about how much firepower you have, and how you balance redeploying the proceeds with your leverage?

If I try to keep it really simple, after the repayment of the debt that is now due in the next weeks, we have a remaining cash position of call it around perhaps a little bit more than €400 million, out of which, in round numbers, roughly €100 million are available on ROBYG level, that's basically the IPO proceeds, and roughly €300 million are available on TAG level, that's basically something that we can use for further investments in rental portfolio. If you would fully redeploy this into new land bank, new portfolios, then we would end up again at an LTV which is perhaps exactly our LTV target of 45%.

That's what I try to explain, that we have now really flexibility to acquire and to invest, not only from cash perspective, also from the LTV perspective. Please be sure that we are not getting unnecessarily nervous and try to invest it as fast as possible.

We of course need to be disciplined. By the way, the cash is currently working, most of that is in zloty, where we get 3.7% interest income.

If we wait with further debt refinancings, we're saving more than 4% interest costs. Therefore, I think we have some months and quarters to reinvest this into acquisitions that really make sense, into constructions, as I mentioned, on our own land bank for the Polish rental portfolio.

Good to have this opportunity, that liquidity and the equity is there for further investments.

Just to understand correctly, we'd probably see LTV go back towards 45% in, say, 12 months from now?

That depends, John, on how fast we are reinvesting this. What I try to explain is if we would theoretically reinvest that tomorrow in full, we would still be at our LTV target.

Perhaps that's the better way to explain it.

That's clear. Thank you.

Hi, good morning. Hopefully you can hear me.

I have two questions. The first one is on your FFO guidance for for the year.

You've already achieved about €100 million in H1. Arguably, you will have more positive contributions in H2 from the R4R R4R portfolio and potentially some positive contributions as well from your acquisition in in Germany.

Why not raising the the full-year guidance given given the the run rate pace? Then my second question would be on the Polish development-to-sell business.

You are expecting an acceleration of handovers and therefore revenue recognition in in H2. It seems like in Germany, this has been a common feature of the result seasons across your peers to see some acceleration on on those businesses in in H2, but the transactional environment remains difficult there.

I was wondering what you're seeing in Poland in terms of health of the development market and transactional environment this year and going into H2. Thank you.

Good morning, Nicolas. Perhaps I start with the second question.

An important fact is that from the handovers that we expect to come, especially in the fourth quarter, but also to a larger part in the third quarter already, most apartments are already sold. The only risk that we have for the balance sheet is that we really finish construction before the balance sheet date, hand it over, and can realize the profit.

I don't have the exact number in my head, but I assume that's something 90%, 95% of the apartments that we're handing over this year is already sold. We're not exposed to a market risk.

We simply need to carry out the construction and hand it over. That was, by the way, the same situation in the last years.

We have, regarding this Polish build-to-sell business, always a high visibility on results for the next, let's say, 12, 12 months. That's perhaps a difference to a business in Germany, where we're selling apartments in a privatization program, where we are really exposed to future sales.

Here these apartments are already sold. Regarding your comment on the FFO I guidance for 2026, perhaps it's fair to say that it's not aggressive if we say, well, we will end up at the upper end of the guidance range.

Firstly, the acquisitions in Germany, they will kick in mostly or to the very largest part in 2027, closing of these acquisitions will be mostly towards the end of the year. Secondly, it's always good to have a little bit buffer for perhaps higher maintenance costs that are more seasonal in H2.

Again, your comment has also a point, therefore we should be well positioned for the guidance, even if we say we're coming up at the upper end of the range.

Okay. Thank you very much.

That's very clear. Have a good day.

Thank you.

Hi. Good morning.

I think I have three questions. The first one is on the ROBYG IPO proceeds and capital deployment.

You say the main focus is on rental business both in Poland and Germany, just wondering what's the targeted mix between both countries regarding capital allocation? The second one is on the Resi4Rent portfolio.

The first-time revaluation puts it at about 7% gross yield, I think, based on my calculations, while your Poland portfolio is valued at much lower yields, just wondering what's the reason for the valuation gap. My last question is also on ROBYG.

You expect an acceleration of the sales business with the IPO proceeds. What's the sales run rate you expect compared basically to the previous levels?

Good morning, Thomas. Your first question was regarding the mix of investments in our rental portfolio, whether this is more Germany or Poland.

We're really here completely focused on, let's say, the numbers. We would also be happy to buy in Germany a larger portfolio if the numbers make sense.

If we have something in the size of the Resi4Rent portfolio in Germany, just as an example, on the market in regions that we know very well at a yield that is on a level that we had now in the last acquisitions of a reasonable construction quality, yes, very happy to buy it. As I said, we will be selective here, and we will be disciplined.

We can be disciplined because we have this natural growth plan from the units that we will construct on our own land bank. Even in a let's call it theoretic case where we would acquire nothing, we would still grow because we will have this constructions on our own land bank.

We look at both markets. In the last years, investments in Poland have simply given us the better opportunities, like the Resi4Rent portfolio, which was, looking back, for sure a good deal.

We have really now the opportunity to look at both markets, and that's what we will do also in the future. Then you had got the question on the yield for the Resi4Rent portfolio.

Yes, it's correct, we acquired that at a 7.5% gross yield, valuation brings this now close to 7%. The remaining portfolio had a lower yield.

Firstly, as I think we explained before, the Resi4Rent portfolio has also a different structure, smaller apartments, higher turnover, this will naturally lead to a somewhat higher yield. Also to be open, I think we've got also some potential for further valuation uplifts in the next, let's say, one or two valuations, because it's also clear that after you sign such a valuation, you set a kind of market price, therefore a huge valuation uplift would be something which could be a kind of contradiction to the price that you actually paid.

Let's wait the next one or two valuations and let's see where the Resi4Rent portfolio in terms of gross yield stands. There should be further improvement possible.

We will give guidance basically with next results and also on the sales numbers that we expect in ROBYG or for our sales business in Poland. For this year, in round numbers, we expect sales of around 3,000 units.

There's definitely room to improve that. ROBYG has sold, for example, in 2021 more than 4,000 apartments, why not go back to this at least in the mid term.

Therefore, the market is there, the platform can do more, and that's also why we think that the sale of our stake in ROBYG will have, but in 2027 just concerning the sales result in Poland, a small dilutive impact. With the help of the IPO proceeds, the ROBYG business will grow faster, and we will have then in absolute amounts a higher profit from our sales business in the future compared to a situation without the IPO.

We're still very much convinced that this sales business in Poland is going very well also in the future.

Thank you.

Yeah. Good morning.

Thanks for taking my question. I would like to know the valuation results.

Did it halve in the first half compared to the previous period? Also, are you able to specify net proceeds from the ROBYG IPO?

My last question would be have you also experienced higher financing costs as some or probably most competitors do right now? Thank you.

Good morning. Of course, happy to answer the questions.

With the valuation result, if you look in the P&L, it is indeed lower than in the first half of 2025, and that's not so much coming from the German portfolio, that's mostly coming from the Polish portfolio, where we saw a stronger valuation uplift of the existing like-for-like portfolio in 2024, 2025 on the back of strong sales price growth, which was in Poland, yeah, for some two or three years exceptional high. This also then was reflected in the valuation.

We have still a positive valuation result in Poland, but lower than that, as sales prices are still growing, but not in the double-digit numbers than in the years before. That's the reason of the somewhat lower valuation results, which is again still positive.

The IPO costs, we can give you a rough amount of the total IPO costs, that being bank fees, lawyer fees, and so on. It should, in total, on ROBYG level and on TAG level, estimated is around €10 million.

When we're talking about gross proceeds of €282 million, the net proceeds should be roughly around €272 million. The final question was higher financing costs, and the answer is yes.

Also we see the higher financing costs, not because of increased margins, to the contrary, if you look, for example, at the development of our bond margins, they are coming down, but the risk-free rates are higher. We're currently financing for 5 years, I would say, slightly below 4%, for 10 years, it's perhaps slightly so no for 5 years, it's slowly below 4%, and for 10 years, it's slowly above 4.5%.

We have a portfolio with high yields, 6.6% gross yield, and it's roughly the same yields in the meanwhile in Poland, where we really are able to achieve positive cash flows even in this higher interest rate environment. Therefore, we think we're very well positioned even after the increase in interest rates.

Thank you very much. Much appreciated.

Bye-bye.

Yes, good morning. I've got a question on the capex investments.

As mentioned somewhere in the H1 report, that for the first time, you also had capitalized personnel expenses in Germany. Could you indicate for which segment this was, and how much we can expect going forward?

Second question was, in general, the modernization capex increased by about €10 million year-on-year. You mentioned also somewhere in the report it was for large-scale measures.

Maybe you could also elaborate a bit more what in which regions and what volumes we can expect going forward. The last question would be on the LTV calculation.

The contribution from joint ventures went down. Was it because of the project that completed compared to previous year, or were there other reasons behind?

Thanks.

Good morning, Kai. First, perhaps on the capitalized personal costs, the amount from German business is quite small.

It's not completely new, but since, I would say, one or two years, are investing also a little bit more in larger modernization measures. Therefore, we started now also to capitalize the costs for our own workforce that are exclusively managing this, from the technical department.

I think in the first half of this year, it was around €500,000. The very largest part of capitalized personnel costs is still coming from Poland, where we have a large construction department, where we have the engineers and the architects who are purely working on the processes.

The German contribution is quite low compared to Poland. Then, Kai, you need to help me regarding your question regarding the LTV.

Perhaps you can repeat this again.

Yes, sorry.

It was something in connection with the joint ventures?

Yes, the contribution from JVs, if I saw that correctly, was lower compared to last year. Was it that some projects you did together in Poland were completed, or were there other reasons?

That's really so. In the relevant gross asset values for the LTV calculation, we also report our investments in joint ventures because they are completely project-based joint ventures.

When some investments are completed, when apartments are handed over, then the cash is distributed to the parent company, in this case ROBYG. It means our share in the joint venture is reduced as we have received the cash, therefore it's then lower compared to the previous period.

That's correct.

All right, thank you.

We can only say many thanks for your questions. Many thanks for dialing in into our conference call.

As always, if there's anything left, please feel free to contact us. We are very happy to answer additional questions.

That's it from our side. Have a good day, and looking forward to seeing and speaking to you soon.

Bye-bye.