LOG CP 2Q26 Conference Call Highlights

研报英文原文证据摘录

J P M O R G A N

Latin America Equity Research

07 August 2026

LOG CP

2Q26 Conference Call Highlights

LOG hosted its 2Q26 conference call this morning with CEO Sergio Fischer, CFO

Rafael Saliba and IRO Henrique Schuffner. Please see the main highlights below.

LOGG is trading at 16.7x P/FFO 2027e vs BZ Malls at 7.7-9.0x.

Demand environment. LOG continues to see strong interest from clients

stemming from e-commerce growth and the scarcity of high quality

warehouses. During 2Q26, 91% of LOG’s gross absorption was by ecommerce related tenants.

Services revenues. Reached R$7.5mn in 2Q, +61% yoy and not yet including

R$5mn in annualized revenues from administration fees from the recent asset

sale to ILCP11, which should start being recognized already in 3Q26.

Construction costs. Pressures are under control and 3Q26 is already better

than 1H26. The rise in rental prices more than compensates for the inflation

pressures. Moreover, construction costs for LOG continue to rise below INCC

and regions in Brazil have similar inflation trends. As such, projects yield on

cost are rising, reaching as high as 15% with an average of ~13%.

Units from FIIs. The rationale for holding FIIs’ units from the large sale at the

beginning of the year (R$1.02bn, 11 assets) was for LOG to capture the upside

of the underlying assets. The most recent sales have a much lower share of FII

units.

Client concentration. Largest client concentration increased to 17.8% vs

12.5% a year ago. The increase was mainly driven by e-commerce player

Shopee. Looking forward, divestments will also help to lower this high

exposure.

Receivables securitization. LOG will continue to anticipate receivables if

rates make sense to help on maintaining leverage under control and keep

dividend payments high. Overall, LOG has a target of liquidating 50% of

current receivables.

Average ticket price. The company will continue to increase rental prices and

sees a gap of ~10% between the asked price in new contracts and the average

price in its current portfolio.

2mn m2 plan. The plan remains to deliver 2mn between 2020-2028 YE (not

earlier) but the GLA delivered could be larger, currently around 22% has

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