**Mall of Cyprus Reports 25.5% Increase in First-Half Profit, Reaching Nearly €6 Million**
The Mall of Cyprus (MC) Plc has announced a significant increase in its first-half profit for 2026, reporting a 25.5% rise to €5.96 million, compared to €4.75 million during the same period last year. This financial growth is attributed to enhanced income from commercial space and a reduction in finance costs. The company’s interim financial statements, which are unaudited, were disclosed through the Cyprus Stock Exchange (CSE) on July 3, 2026.
The report covers the six months ending June 30, 2026, revealing that the total revenue from rights for the use of space and other income increased by nearly 8% to €10.39 million, up from €9.63 million in the first half of 2025. This growth was primarily driven by stronger income generated from the mall's commercial spaces.
A breakdown of the income sources shows that minimum licence fees rose to €7.75 million from €7.34 million, while additional licence fees increased to €185,118, up from €151,837. Furthermore, licence fees associated with common-area contributions grew to €711,979 from €700,806, and turnover-related licence fees also saw an increase, rising to €173,486 from €152,951. Overall, the total licence-fee income reached €8.28 million, compared to €7.82 million in the previous year.
Additionally, income from recharged utilities and other recoveries increased to €2.11 million, up from €1.81 million, and other operating income—which includes revenue from advertising, car parking, and electricity—rose significantly to €720,982 from €453,481 in the first half of 2025.
As a result of these positive financial indicators, the operating profit increased by approximately 17% to €8.68 million, compared to €7.42 million for the same period last year. However, administration and other operating expenses also saw a modest rise, increasing to €2.75 million from €2.58 million, with property management, maintenance, and utility costs accounting for about €2.25 million of this total.
The company reported a decrease in net finance costs, which fell to €2.17 million from €2.24 million a year earlier. Profit before tax climbed to €6.53 million, up from €5.14 million in the first half of 2025. However, the tax charge increased to €569,236 from €389,866, reflecting the rise in Cyprus’ corporation tax rate from 12.5% to 15%.
Earnings per share also improved, rising to 1.79 cents from 1.42 cents in the previous year. The Mall of Cyprus concluded the reporting period with a stronger cash position, holding €13.63 million in cash at bank and in hand, compared to €9.14 million at the end of 2025.
The company’s total assets increased to €255.1 million, up from €250.7 million at the end of December 2025, while total equity rose to €127.61 million from €121.65 million. Investment property was valued at €239.73 million, although the company recorded a €213,461 fair-value loss on investment property during the first half of the year. Borrowings decreased slightly to €97.23 million from €98.14 million at the end of 2025, with the weighted average effective interest rate on bank loans dropping to 4.02% from 4.28%.
Cash generated from operations reached €7.81 million, while net cash generated from operating activities amounted to €7.68 million, a decrease from €8.12 million in the first half of the previous year. In a move to reward shareholders, the company approved an interim dividend of €6 million on July 3, which was paid out on July 20.
The Mall of Cyprus continues to focus on its primary activities, which include leasing and granting rights for the use of space at Shacolas Emporium Park in Strovolos, encompassing the Mall of Cyprus, IKEA, and other retail and commercial developments. Management has emphasized the importance of maintaining strong relationships with tenants, attracting new tenants, and controlling operating costs, while also remaining vigilant regarding economic and geopolitical risks that could impact consumer spending and the retail sector.