By Brazil Stock Guide – Multiplan Empreendimentos Imobiliários SA (B3: MULT3) reported a 73.3% increase in third-quarter net profit to R$383.2 million, driven by the sale of a minority stake in a shopping mall and higher revenue from parking, services and rental operations.
Net revenue rose 37% to R$846 million in the three months ended September, compared with R$617.5 million a year earlier, according to the company’s earnings report. The results were bolstered by the R$250 million sale of a 9.33% interest in ParkShoppingBarigüi, a shopping center in southern Brazil.
Earnings before interest, taxes, depreciation and amortization (EBITDA) increased 37.3% to R$598.2 million, while the EBITDA margin edged up to 70.7% from 70.5% a year earlier.
Funds from operations (FFO), a key measure of real estate company performance, jumped 70% to R$405.3 million. The net profit margin widened to 45.3% from 35.8%, reflecting the contribution of asset sales and operating revenue growth.
The results underscore how Multiplan’s strategy of selling minority stakes in mature assets is contributing to earnings while the company continues investing in expanding its shopping mall portfolio.
Asset Sales Drive Earnings Growth
Revenue from real estate sales more than tripled to R$288.3 million in the third quarter, compared with R$93.2 million a year earlier.
The increase was largely attributable to the disposal of the ParkShoppingBarigüi stake, completed in August. Multiplan also recorded revenue from its Lake Victoria and Lake Eyre residential developments in Porto Alegre.
The company has pursued similar transactions in recent quarters, including minority stake sales in ParkShoppingSãoCaetano and BH Shopping.
The transactions allow Multiplan to release capital tied to existing properties while retaining exposure to its core shopping mall operations.
Excluding real estate sales and certain development-related expenses, property EBITDA rose 8.6% to R$479.6 million. The property EBITDA margin expanded to 83.8% from 83.2%, indicating growth in the underlying business despite the significant contribution from asset disposals.
Shopping Mall Sales Reach R$6.4 Billion
Sales generated by tenants across Multiplan’s shopping malls increased 5.9% to R$6.41 billion in the third quarter, up from R$6.05 billion in the same period of 2025.
Growth accelerated throughout the quarter, rising from 4.3% in July to 5.4% in August and 8.1% in September.
MorumbiShopping in São Paulo delivered the strongest sales growth among the company’s major properties, with revenue generated by tenants climbing 23.4% to R$874.1 million.
The performance followed the opening of the mall’s sixth expansion in March 2026, which added retail space and helped attract more visitors.
VillageMall in Rio de Janeiro recorded a 17.3% increase in tenant sales to R$329.6 million, supported by changes to its retail mix. Parque Shopping Maceió posted 11.1% growth, while ParkShoppingSãoCaetano advanced 8.5%.
Not all properties reported gains. Sales at BarraShopping declined 2.9%, partly reflecting the temporary closure of a major tenant undergoing renovations. ParkShopping recorded a 2.3% decrease as construction work related to its expansion affected operations.
Same-store sales, which exclude the effects of newly opened retail space, rose 3.1% across the portfolio.
Services were the strongest-performing segment, with sales growth of 12.6%, supported by a 52.4% increase in cinema revenue.
Parking and Rental Revenue Expand
Parking revenue climbed 17.5% to R$99.6 million, supported by a 2.5% increase in vehicle traffic, pricing adjustments and changes in ownership stakes across the portfolio.
Service revenue rose 9.6% to R$47 million, reflecting higher property management fees and brokerage income.
Total rental revenue increased 2.8% to R$443.6 million, marking the company’s highest third-quarter rental revenue on record.
Shopping mall rental income accounted for R$429.7 million, while corporate office properties contributed R$13.9 million.
Same-store rent increased 4.3% from a year earlier, representing real growth of 3.1% after accounting for the inflation adjustments applied to lease contracts during the period.
The average occupancy rate across Multiplan’s shopping malls stood at 96% at the end of September, compared with 96.3% a year earlier.
The company added 143 new stores during the quarter, reflecting continued leasing activity as new retail space became available.
Net operating income (NOI) rose 2.2% to R$509 million, although the NOI margin narrowed to 91.6% from 94.1%.
Property expenses increased 50.3% to R$46.9 million, reflecting higher provisions, additional operating space and a relatively low comparison base in the previous year.
Debt Declines as Capital Spending Continues
Multiplan ended September with net debt of R$4.44 billion, down 2.3% from R$4.55 billion at the end of June.
Cash and cash equivalents increased 82.8% over the quarter to R$926.6 million.
The company’s net debt-to-EBITDA ratio declined to 1.76 times from 1.93 times, marking a third consecutive quarterly improvement in leverage.
Gross debt rose 6.2% to R$5.37 billion, largely because of a R$300 million real estate receivables certificate issuance completed in August.
The average cost of debt fell for a third consecutive quarter, reaching 14.16% annually at the end of September.
Capital expenditures totaled R$122.7 million during the quarter, as Multiplan continued funding property expansions and modernization projects.
The company also announced R$139 million in interest on equity distributions and repurchased R$49.9 million of its shares.
Multiplan expects expansions at ParkShopping and BarraShopping to add approximately 11,000 square meters of gross leasable area, with openings scheduled for November 2026.
The developments form part of a broader effort to increase retail capacity and improve the revenue-generating potential of existing properties.
Annual Profit Exceeds R$1.5 Billion
Multiplan’s net income for the first nine months of 2026 reached R$1.13 billion, an increase of 56.6% from the corresponding period a year earlier.
On a trailing 12-month basis, net profit reached R$1.55 billion, up 25.7%, exceeding R$1.5 billion for the first time in the company’s history.
Trailing 12-month EBITDA totaled R$2.52 billion, representing growth of 28.4%, while FFO reached R$1.82 billion.
As of September, Multiplan owned interests in and managed 20 shopping malls comprising approximately 906,000 square meters of gross leasable area and around 6,500 stores.
The company also held interests in two corporate office complexes, bringing the total gross leasable area of its portfolio to approximately 956,500 square meters.
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