Corporación Inmobiliaria Vesta S.A.B. de C.V. reported a 16.7% increase in total rental revenue to US$ 78.5 million for the second quarter ended June 30, 2026, driven by new contracts and favorable inflationary impact. Adjusted EBITDA rose 15.7% to US$ 63.6 million, while Vesta Funds From Operations (FFO) totaled US$ 46.1 million, a 6.8% increase compared to the prior year. The company’s portfolio occupancy reached 91.7% at quarter end, an improvement of 200 basis points sequentially.

Financial Performance

Total revenues excluding energy increased 16.2% year over year to US$ 76.0 million. Adjusted Net Operating Income (NOI) increased 15.6% to US$ 71.5 million, with an Adjusted NOI margin of 94.0%. Adjusted EBITDA margin for the quarter was 83.7%. Vesta FFO after tax decreased to US$ 30.3 million from US$ 37.7 million in the second quarter of 2025, primarily due to current tax expense.

Operational Highlights

Leasing activity for the quarter reached 2.4 million square feet, including 0.9 million square feet of new leases with tenants in the data center infrastructure, electronics, automotive, and logistics sectors. Renewals accounted for 1.5 million square feet with a weighted average lease term of approximately seven years. Same-store NOI increased 5.9% year over year.

Construction in progress totaled 1.8 million square feet at the end of the second quarter, representing an estimated investment of approximately US$ 162.4 million. The development pipeline was 22.3% pre-leased, with an expected yield on cost of 10.1%. The total value of Vesta’s investment property portfolio was US$ 4.3 billion as of June 30, 2026.

Capital Allocation

During the quarter, Vesta closed a global offering of 1,199,285 American Depositary Shares (ADSs) at US$ 34.62 per ADS and 58,054,784 common shares at Ps. $59.50 per share. Gross proceeds totaled approximately US$ 242.5 million. Subsequently, underwriters exercised an option to purchase an additional 774,920 ADSs, generating approximately US$ 26.8 million in gross proceeds. Vesta paid a cash dividend of US$ 18.7 million for the first quarter of 2026 on May 5, 2026, and a dividend of US$ 18.7 million for the second quarter on July 15, 2026.

UBS has maintained a Buy rating on Corporacion Inmobiliaria (NYSE:VTMX) and increased its price target to $43 from $39. The adjustment reflects a revised valuation outlook for the real estate firm.

Rating and Target Details

The brokerage firm's decision to retain the Buy rating underscores its confidence in the company's performance potential. The new price target of $43 represents an upward revision from the previous target of $39.

Corporacion Inmobiliaria trades on the NYSE under the ticker symbol VTMX.