EQS-News

Grand City Properties S.A. announces good start in Q1 2024 driven by strong operations

EQS-News: Grand City Properties S.A. / Key word(s): Quarter Results/Quarterly / Interim Statement Grand City Properties S.A. announces good start in Q1 2024 driven by strong operations 16.05.2024 / 06:39 CET/CEST The issuer is solely responsible for the content of this announcement.

THIS ANNOUNCEMENT IS NOT FOR RELEASE, PUBLICATION OR DISTRIBUTION, DIRECTLY OR INDIRECTLY, IN OR INTO THE UNITED STATES, CANADA, AUSTRALIA, JAPAN, SOUTH AFRICA OR ANY OTHER JURISDICTION WHERE TO DO SO WOULD CONSTITUTE A VIOLATION OF APPLICABLE LAWS OR REGULATIONS 

GRAND CITY PROPERTIES S.A. ANNOUNCES GOOD START IN Q1 2024 DRIVEN BY STRONG OPERATIONS

• Net rental income of €105 million in Q1 2024, higher by 4% as compared to €101 million in Q1 2023.
• Solid like-for-like rental growth of 3.4%, driven mainly by in-place rent growth.
• Adjusted EBITDA of €82 million in Q1 2024, higher by 3% as compared to €80 million in Q1 2023.
• FFO I of €45 million and €0.26 per share in Q1 2024, lower by 4% as compared to €47 million and €0.27 in Q1 2023, as higher perpetual notes attribution offset the operational growth.
• Successful perpetual notes exchange in April 2024 with high acceptance ratio of 82%, re-establishing GCP in the capital markets and supporting the FFO and credit metrics by S&P.
• Net profit of €44 million and basic earnings per share of €0.17.
• Strong liquidity position with €1.3 billion of cash and liquid assets as of March 2024, reflecting 29% of total debt and covering debt maturities until the end of 2026.
• Conservative financial position maintained with an LTV of 36% as of March 2024, ICR ratio of 5.8x in Q1 2024 and €6.6 billion of unencumbered assets (75% of total portfolio value). EPRA LTV (considering perpetual notes as debt) as of March 2024 is 48%. 
• EPRA NTA amounted to €4.1 billion or €23.5 per share as of March 2024.
• FY 2024 guidance confirmed. 

Luxembourg, May 16, 2024 – Grand City Properties S.A. (“GCP” or the “Company”) announces results for the three-month period ending March 2024 with strong operational performance, higher liquidity position and conservative financial leverage. Net rental income increased by 4% to €105 million, mainly driven by the solid like-for-like rental growth of 3.4%. The growth is the result of in-place rent growth of 3.3%, while the occupancy was relatively stable with a like-for-like increase of 0.1%, reflecting strong positive operational dynamics. GCP continues to record low vacancy rate of 3.9% as of March 2024. Adjusted EBITDA increased to €82, higher by 3% as compared to €80 million in Q1 2023. The increase in the adjusted EBITDA is the result of the strong operational performance of the Company, driven by the solid like-for-like increase, partially offset by net disposals. FFO I decreased by 4% to €45 million in Q1 2024, mainly due to the higher perpetual notes attribution, as the financing costs remained relatively stable. FFO I per share amounted to €0.26 per share in Q1 2024, as compared to €0.27 per share in the comparable period. FY 2024 FFO I guidance is confirmed.