Lotte Reit롯데리츠

Lotte REIT's trailing earnings are steady and its margins are high, but its debt is heavy and its valuation is rich for a REIT.

Lotte REIT owns retail, logistics and hotel properties in Korea, mostly leased to Lotte affiliates under master lease agreements. For the twelve months to H1 2026 it reported revenue of ₩74.5B, operating income of ₩49.3B and net income of ₩20.5B, with an operating margin of 66.1%. Its shares closed at ₩4,210 on 2026-10-21, with a market cap of ₩1.22T.

What stands out

• Revenue has grown most years since 2021, from ₩56.2B in 2021 to ₩70.9B in 2025, with 2025 growth of 8%.
• Net income is volatile: ₩19.6B in 2025, ₩10.6B in 2024 and ₩3.2B in 2023, so profit is less steady than operating income.
• Borrowings of ₩1.57T are large against cash of ₩39.2B, and liabilities are 158.7% of equity.
• Trailing ROE is 1.8%, and the price-to-earnings ratio of 59.4 is high next to SK Reit at 48.8, although it is below Hanwha Reit at 65.8.
• The share price is up 20.6% over three months and 8.6% over one year, and sits between its 52-week low of ₩3,260 and high of ₩4,900.
• Filings in October 2026 include several securities registration statements, a securities issuance results report and insider shareholding reports. The data does not say what the issuance covers beyond these titles.

What to watch

• The issuance results and prospectus filed on 2026-10-16 and the amended borrowing filings, which may show how the company plans to fund itself and manage its debt.
• Whether net income keeps pace with operating income, given the swings in recent years.
• Foreign ownership is unchanged at 7.4% over 60 days and 20-day flows are net negative for foreign and retail investors, while institutions are net buyers; the data gives no reason for these moves.