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REVIEWED CONDENSED CONSOLIDATED INTERIM FINANCIAL RESULTS FOR THE SIX MONTHS TO 31 DECEMBER 2023
AND CHANGES TO BOARD COMMITTEE
MAS P.L.C. Registered in Malta Registration number: C99355
JSE share code: MSP ISIN: VGG5884M1041 LEI code: 213800T1TZPGQ7HS4Q13 (MAS, the Company or the Group)
INTRODUCTION AND BACKGROUND The Group’s self-imposed, long-term overall debt limit is a maximum LTV ratio of 35%, or, on a forward-looking basis, seven times, The first phase of the Silk District office component was also completed during this six-month period. Tenant fit-outs are ongoing,
MAS (hereafter Group or Company) performed very well in the six months to 31 December 2023, achieving adjusted total earnings targeted to decrease to six times NRI, which is considerably more restrictive than its covenant tolerances. On 31 December 2023, with the first office tenant to become operational during April 2024. Although leasing demand for office is subdued, leasing
of €94.3million and adjusted distributable earnings per share of 4.79eurocents (6% increase compared to the previous six months). the Group’s bond and unsecured facility ratios demonstrated significant headroom compared to covenant tolerances, on both IFRS continues, and alternative options are available for the remaining phases of the office component of the project.
The Group’s financial results and progress with strategic matters are detailed in this commentary. and proportionate consolidation bases. Construction at Arges Mall continues, with the 51,400m2 enclosed mall’s opening brought forward to April 2024. Leasing is
In addition to the International Financial Reporting Standards (IFRS) based reported results, segmental reporting, prepared on progressing very well (currently over 91% leased) and estimated rental value (ERV) income has increased significantly, by
Tolerance Actual IFRS Actual proportionate consolidation basis
a proportionate consolidated basis, is included to assist interpretation of the former rather than replacing it. Detailed financial approximately 18% on previous estimates. The centre is anchored by a Carrefour hypermarket, and the tenant mix benefits from
results and Company Profile (updated on 31 December 2023), including highlights and supplemental operational information, are Solvency ratio Shall not exceed 0.6 0.28 0.28 national and international tenants such as Altex, Bershka, Burger King, C&A, CCC, Colin’s, Cropp, Deichmann, DM, Douglas, Dr. Max,
available on MAS’ corporate website. Unless otherwise stated, amounts included in this commentary are presented on an adjusted Consolidated coverage ratio At least 2.5:1 4.01 5.01 Flanco, Fressnapf, Hervis, House, JD Sports, KFC, LC Waikiki, Mango, Maxipet, Mohito, Motivi, New Yorker, Peek&Cloppenburg,
proportionate consolidated basis. Unencumbered consolidated total assets/ Pepco, Popeye’s, Pull&Bear, Reserved, Sephora, Sinsay, Smyk, Sportisimo, Sportvision, Terranova, Tezyo, Tom Tailor, and Zara.
Minimum 180% 436% 443%
unsecured consolidated total debt
The Group remains committed to maximising total long-term returns from property investments on a per share basis, aimed Work continues on extending and redeveloping the existing Era Shopping Centre (26,000m2 GLA) into Romania’s second
to be achieved by continued focus on capital allocation, operational excellence, sensible leveraging, and cost efficiency. MAS super regional enclosed mall and retail node, Mall Moldova, incorporating approximately 122,600m2 of destination GLA. Retailer
operates directly-owned income property in Central and Eastern Europe (CEE) and employs capital in commercial and residential FUNDING COMMITMENTS TO DJV
interest remains strong and significant progress has been achieved in leasing the project to national and international tenants. Over
developments owned indirectly via the Development Joint Venture (DJV1) with co-investor and developer Prime Kapital. Benefiting By 31 December 2023, MAS had invested €349.2million in preferred equity and the fully drawn revolving credit facility and had an 89% of the project’s GLA is subject to leases in the process of finalisation. DJV has agreed to sell approximately 5.25ha of the site to
from the long-term, continual high growth in consumption in CEE, and leveraging its strong asset prospects and asset management ongoing undrawn commitment to invest €150.8million in DJV preferred equity (figures not proportionally consolidated). MAS must IKEA for it to build and operate its first store in the Moldova region.
capabilities to generate robust like-for-like (LFL) net rental income (NRI) growth from retail operations through increasing tenants’ ensure it can subscribe for preferred equity of up to €120million in a rolling six-month period.
sales and implementing asset management initiatives, as well as its downside-protected exposure to high-quality commercial and Zoning continues on a 17ha land plot in Cluj-Napoca, the second-largest economic hub in Romania, with a thriving IT and
residential developments via DJV, MAS is well positioned to provide its shareholders with best-in-class total long-term returns. telecommunications sector where the DJV plans a large-scale mixed-use urban regeneration including a 130,000m2 GLA
OPERATIONS super-regional mall seamlessly integrated with a large-scale residential development, as well as on a 17.8ha land plot in Bucharest
FINANCIAL RESULTS Information regarding MAS’ Central and Eastern European LFL footfall and tenants’ sales (compared to the same period in 2022) where the DJV plans a major residential development complemented by a 28,000m2 GLA open-air mall.
and collection rates for the six months to 31 December 2023 is detailed in Table 1. All figures were reported on 28 February 2024. DJV has secured an approximately 10.6ha site in a high-density residential area of Bacau, Romania for the development of an
Group’s adjusted total earnings are, on a segmented basis, the combined return of: (i) directly-owned income property and
operations in CEE; (ii) Central and Eastern European investments with Prime Kapital in DJV (including earnings from a proportion of Table 1 approximately 51,200m2 GLA regionally dominant mall, with approximately 500,000 residents within a 60-minute drive. The
completed DJV-owned income properties, net results of residential sales and development activities); (iii) remaining directly-owned land, which will provide the project with good visibility and access to a main boulevard, is part of a former industrial platform of
Western European income property, and (iv) investments in listed securities (including other elements disclosed as Corporate). Jul 23 Aug 23 Sep 23 Oct 23 Nov 23 Dec 23 Total approximately 34.2ha, that is planned to be rejuvenated by additional retail areas and introducing several social functions, thus
Footfall (2023 compared to 2022) % 110 107 109 106 111 107 108 transforming it into a major attraction for the city.
Adjusted total earnings for the six months to 31 December 2023 were €94.3million, consisting of adjusted distributable earnings of Open-air malls % 110 107 111 107 112 108 109
€31.6million (€29.7million during the previous six months) and adjusted non-distributable earnings of €62.7million (€11.5million Residential developments
during the previous six months). Tangible net asset value (NAV) on 31 December 2023 was €1.60 per share (an 10% increase to the Enclosed malls % 109 106 105 105 109 104 106
Tangible NAV of €1.45 per share on 30 June 2023), and total shareholders return (TSR) was 20.4eurocents per share for the trailing Tenants’ sales per m2 (2023 compared to 2022) % 110 105 106 107 112 110 108 Phase I of Avalon Estate is complete, and on 31 December 2023, 76% of its 352 units sold. Some of the unsold completed units are
12-months to 31 December 2023. Open-air malls % 108 103 106 106 112 111 108 being retained for rental, addressing Bucharest’s rising rental demand for quality rental properties, while preserving the option to
This exceptional financial performance is the result of a number of factors impacting MAS’ adjusted total earnings compared to the Enclosed malls % 113 107 106 108 111 109 109 sell in due course.
preceding six months (to 30 June 2023), including: Collection rate % 99.3 99.6 99.6 99.6 99.8 99.7 99.6 Sales of the first two phases of Silk District’s residential component progressed very well, with 89% of the 661 units (Phase I: 315
(i) standing retail properties’ exceptional operational performance in CEE, leading to increases in passing NRI and improved units, Phase II: 346 units) sold by 31 December 2023. Phase I was completed, and 184 units handed over to clients by 31 December
Robust consumption continued in all Central and Eastern European countries where the Group operates, with exceptional trading 2023. Construction of Phase II is nearing finalisation, and handovers to clients are expected to commence by June 2024. Permitting
asset valuations, enhanced by excellent rental and service charge collections, as well as the positive effect of DJV opening and footfall in all Group’s properties for the six months to 31 December 2023. During this period, collection rates were excellent,
Carolina Mall on 31 August 2023; for Phase III (380 units) was obtained, and sales are planned to begin in March 2024.
and occupancy of Central and Eastern European assets further improved to 97.7% on 31 December 2023 (97.3% on 30 June 2023).
(ii) the removal of management’s estimate of disposal realisation costs and losses for Flensburg Galerie, in Western Europe (WE), Occupancy cost ratios on 31 December 2023 (excluding certain tenant categories: supermarkets, DIY stores, entertainment and Construction of Pleiades Residence’s first phase is ongoing, with the first two buildings’ 142 units planned to be completed and
offsetting the negative impact of further asset valuation decreases, mainly due to the Group’s decision to continue operating services) were healthy, at 10.7% (same as 30 June 2023). delivered to clients by 30 June 2024. Sales are progressing, with 53% of the first phase units having been contracted to date. Further
Flensburg Galerie until the German retail real estate transactional market improves; phases (five buildings) have been put on hold, and the unsold completed units will be put to market for renting.
During this period, on a LFL basis, Central and Eastern European tenants’ sales continued to be outstanding, and both open-air malls
(iii) realised gains on MAS bonds repurchased during the six months to 31 December 2023; and enclosed malls outperformed by 8% and 9%, respectively, compared to the same period in 2022. Significant outperformance
of the aggregate was achieved by services, entertainment, health and beauty, home appliances, complements and food service EXTENSIONS AND REFURBISHMENTS TO DIRECTLY-OWNED ASSETS
(iv) a reduction in net interest expenditure due to a higher proportion of debt being capitalised on DJV’s developments, partially
offsetting unfavourable variances in interest rate derivatives’ valuations (cap assets), and tenant categories. In contrast, DIY and specialist categories have performed less admirably. At Carolina Mall (opened on 31 August Galleria Burgas’ refurbishment, which includes reconfiguring the food court and improving the centre’s leisure and entertainment
2023 with 92% of the 28,900m2 gross leasable area (GLA) occupied), the record-breaking first month was followed by continued facilities, is progressing as scheduled and will be finalised by June 2024.
(v) income increases from MAS’ preferred equity investment in DJV.
strong tenants’ sales. Responding to the catchment area’s high demand for anchor tenants, MAS is enhancing Prahova Value Centre’s tenant mix
CAPITAL STRUCTURE Passing NRI of the Group’s properties in CEE increased by 7.2% during the six months to 31 December 2023 and 14.5% year-on-year, with a partial extension of approximately 2,900m2 GLA, scheduled to be completed by June 2024. It is expected that this asset
which is partly attributable to rent indexation and rental from overage, but also to the positive effect of Carolina Mall becoming management initiative will further improve the centre’s attractiveness and consolidate its position as the dominant retail node in
In May 2021, MAS issued an inaugural €300million green Eurobond, and undertook to pay cash dividends until the bond’s maturity, operational. the area.
provided its ambitious but achievable strategic objectives were not at undue risk or alternative, attractive investment opportunities
not available. The achievement of its strategic objectives by June 2026 would have implied an increase in scale, partially via Flensburg Galerie (Germany) continued to benefit from MAS’ proactive internalised asset management. Occupancy increased Further updates regarding extensions and refurbishments to MAS’ directly-owned assets in CEE will be provided when appropriate.
increases in gearing levels, and positioned the Group well for an investment grade (IG) credit rating, allowing MAS to refinance with to 89.6% (86.0% on 30 June 2023), and both footfall and tenants’ sales outperformed by 2% compared to the six months to
a €500million bond in 2025/2026, in advance of the current bond’s maturity. 31 December 2022. The collection rate achieved for the six months to 31 December 2023 was 98%. DIVIDEND
Unforeseen changes in circumstances have occurred since May 2021, significantly reducing the likelihood of MAS achieving IG credit Regarding DJV’s residential business, MAS’ adjusted distributable earnings for the six months to 31 December 2023 include a loss The Company suspended dividends to accumulate liquidity for a more robust capital structure to meet operating requirements
rating in time for a bond issue in 2025/2026 and making bond issues unviable for non-IG real estate issuers. Many of the bonds of €1.1million, being its proportion of net results from residential operations. This loss includes the result of completing significant of the business in a more challenging funding environment. MAS does not expect it will be able to consider resuming dividend
maturing in 2025/2026 are, therefore, expected to require refinancing on the secured debt market, increasing competition and pre-construction sales from the first phases of Avalon Estate and Silk District (from 2018 and 2021 financial years, respectively) at payments for financial periods ending prior to December 2026. If MAS supplements planned new secured debt with unsecured
putting pressure on bank debt availability. prices considerably lower than the current market sales levels. Costs of these assets included preferred equity coupon capitalised financing, it would likely include covenants that may further restrict MAS’ ability to declare dividends post the 2026 calendar
MAS considered all its available capital allocation options in this context, with the overarching goal to maximise long-term TSR per over the development cycle, which was significantly extended due to Covid-19. Comparatively, sales for Silk District’s Phase II are at year. MAS will consider resuming dividend payments when capital requirements are sufficient to cover its funding commitments
share, and aiming to source capital required to replace the bond maturing in 2026, including the additional €200million planned to significantly improved prices, and the combined sales for the first two phases (92% and 87% of residential units in respect of Phases and depending on the attractiveness of investment opportunities relative to the available liquidity at the time. This list is not
be raised by then. Thus, MAS adopted a combination of two options, which are value enhancing to long-term TSR per share. Plans I and II, respectively, sold by 31 December 2023) are expected to deliver a positive combined margin. comprehensive, and, if relevant, other factors will be considered. The Board may take a more conservative approach and apply
were put in place, and their implementation continues, to raise new secured debt on all unencumbered properties and as dividends a lower payout ratio to MAS’ diluted adjusted distributable income per share on a proportionate consolidated basis. Accordingly,
are discretionary, the Group is retaining earnings from its operations to cover the shortfall. PROPERTY VALUATIONS in keeping with MAS’ approach of providing transparent public communication, and to provide further insight into its liquidity, the
MAS previously estimated that the Group could raise €343million of new secured debt (compared to secured debt on 30 June 2023), The overall €40.8million income property fair value uplift was the result of positive fair value adjustments of €44.2million to income Group is introducing the publication of a new financial performance indicator, cash available from distributable earnings per share
provided MAS takes on secured debt on all its directly-owned properties unencumbered on 30 June 2023. MAS further needs to property in CEE (LFL improvement of 4.3% compared to valuations on 30 June 2023) and a decrease of €3.4million in WE (5.1% (CDEPS). CDEPS is defined as distributable earnings excluding non-cash items. This performance indicator illustrates the portion
retain all earnings generated from its directly-owned income property assets, as well as earnings generated from a full distribution decrease compared to valuations on 30 June 2023, mainly due to an increase in the valuation discount rate for Flensburg Galerie). of total proportionally consolidated distributable earnings that have either been collected, or paid, in cash and that is under MAS’
by DJV of distributable earnings from its operations until the bond’s maturity in May 2026. Valuation of MAS’ (and DJV’s) properties is determined biannually by external, independent professional valuers, with appropriate, direct control, and thus limit returns from DJV to dividends declared or paid by the DJV in respect of the reporting period. An
From a credit perspective, banks typically view MAS and DJV as a single group, despite their separate corporate governance recognised qualifications and recent experience in the relevant location and property category. Valuations are primarily based on adjusted version of CDEPS highlights the impact of amortisation on secured debt paid during the period.
structures. This assumption negatively impacts the overall amount of secured debt finance MAS and DJV can raise with a funding discounted forecast cash flows and are therefore forward-looking. Compared to valuations on 30 June 2023, the weighted average
counterparty, due to banks’ internal credit exposure limits placed on groups. The combination of increasing difficulty in raising bank unlevered discount rate for income property in CEE decreased from 9.94% to 9.56%. EARNINGS GUIDANCE AND PROSPECTS
funding, MAS suspending dividend payments (affecting DJV’s liquidity) and DJV’s attractive growing development pipeline, led to Earnings guidance for the 2024 financial year, is adjusted to a range from 8.83 to 9.31 eurocents per share (previously at 9.81 to
DJV deciding to limit distributions to its shareholders. If this continues until 2026, as much as €71million in capital may be required ASSET SALES IN WE 10.65 per share). This is mostly a result of a lower investment in DJV-issued preferred equity during the 2024 financial year than
to be additionally raised, in the form of unsecured debt or otherwise. As a result, MAS’ new debt target may increase to €414million.
This and any other change that may cause material decreases in MAS’ anticipated funds from operations, exacerbate the risk of MAS Flensburg Galerie and Arches street retail units (UK) remain the last of MAS’ Western European properties. On 31 December 2023, previously estimated.
being required to raise additional capital via (i) the issue of unsecured debt, which is likely to be subject to covenants that could they had a combined book value of €55.8million, with €20.1million secured bank debt outstanding. After discontinuing the sale of This guidance is based on the assumptions that no additional material macroeconomic disruption occurs, a stable political
further restrict MAS’ ability to declare dividends post the 2026 calendar year, (ii) a sale of assets, which will further negatively Flensburg Galerie in July 2023, as the potential buyer did not secure appropriate funding to complete the transaction, the Group environment prevails in Groups’ markets, developments continue as scheduled, and no major corporate failures ensue.
impact the Group’s future ability to achieve IG, or (iii) a rights issue. The Board will continue monitoring the situation and consider partially extended the property’s debt funding (previously €33.4million at its maturity on 30 November 2023) for three years. The Shareholders should note that MAS’ estimates and distributable earnings per share targets have not been reviewed by the Group’s
alternatives in the context of maximising long-term TSR per share. asset remains available for sale, and will be disposed of, should an appropriate opportunity arise. However, the Group intends to auditors and are subject to change. Inevitably, some assumptions will not materialise, plans will change, and unanticipated events
continue operating the property and achieve further progress with asset management initiatives until such time as the German real and circumstances may affect eventual financial results. MAS will not hesitate to adopt changes in strategy, or to take action that
LIQUIDITY, DEBT AND COST OF DEBT estate market improves sufficiently to facilitate optimal disposal. will impact negatively on distributable income per share, if this is considered appropriate from a long-term, risk-adjusted, total
On 31 December 2023, MAS had €101.8million in cash and undrawn credit facilities (figure not proportionally consolidated). After In January 2024, following a competitive sales process, MAS concluded an agreement for the disposal of the Arches street retail return perspective.
disposing of its remaining investment of €36.5million in NEPI Rockcastle NV shares during the six-month period, at a realised profit units, at a price close to its book value on 31 December 2023. Completion of the transaction, which is conditional on MAS finalising This forecast has not been audited or reviewed by MAS’ auditors and is the responsibility of the Board of Directors.
of €1.1million (compared to 30 June 2023), MAS does not hold any listed securities. agreed minor capital expenditure works, as well as on consent to transfer the long leasehold interest being received from Edinburgh
MAS’ management has made considerable progress to date in raising new secured debt finance. Secured loans of €156million were City Council, is estimated by 30 June 2024. CHANGES TO BOARD COMMITTEE
finalised since 30 June 2023, of which €95million was also drawn by 31 December 2023 (debt secured on Militari Shopping and Progress at Arches street retail units, further decreases in Western European assets’ valuations and Flensburg Galerie no longer Following and considering directorship changes during the six months to 31 December 2023, Claudia Pendred was appointed Chair
Flensburg Galerie), and the Group has term sheets in place for an additional €60.5million of secured debt, subject to banks’ credit actively being sold, resulted in management’s estimate of the Western European disposal realisation costs and losses being of the Environmental, Social and Ethics Committee, and Werner Alberts joined as a member. As a result, the composition of Board’s
committee approvals and documentation being finalised. Terms are under discussion, and processes ongoing, with respect to an significantly reduced from €19.9million to €0.5million. The remainder represents costs for completing the Arches sale and winding
additional €33.1million in secured bank finance. The Group has extended the maturity of its €20million revolving credit facility to committees is as follows:
down other nearly dormant Western European structures.
November 2025. Audit and Risk Committee Chair: Vasile Iuga; Members: Brett Nagle, Mihail Vasilescu
During December 2023, the Group repurchased, via public tender, bonds issued by its subsidiary, MAS Securities BV, at a 9.3% DEVELOPMENTS, EXTENSIONS AND REFURBISHMENTS IN DJV Remuneration and Nomination Committee Chair: Dan Pascariu; Members: Mihail Vasilescu, Werner Alberts
discount to their nominal value of €80.7million. Therefore, on 31 December 2023, the Group had €436million of outstanding debt Environmental, Social and Ethics Committee Chair: Claudia Pendred; Members: Irina Grigore, Werner Alberts
(bonds and secured bank loans), and its loan-to-value (LTV) ratio was 24.3% on a proportionate consolidated basis (28.1% on 30 Progress with developments and changes to DJV’s secured pipeline are detailed below.
June 2023) and 24.8% on an IFRS consolidated basis (28.8% on 30 June 2023). Commercial developments The change to committee membership is effective 1 March 2024. The Board remains compliant in all material respects, with the King
MAS’ weighted average cost of debt (WACD) for the period, on an IFRS consolidated basis, increased to 5.34% per annum (4.42% IV Code on Corporate Governance following these changes to the composition of its committees.
The DJV’s commercial developments pipeline is becoming larger and more diverse, with numerous projects being considered and
for the financial year to 30 June 2023). Except for MAS’ undrawn revolving credit facility, all debt interest rates are hedged. The work being done on securing these, despite a value centre project previously disclosed being removed from the pipeline. Irina Grigore
new secured debt is subject to margins above EURIBOR rates, and the Group hedges its interest rate exposure, typically via interest Chief Executive Officer
rate caps, protecting against future increases in variable rates over loans’ terms to maturity. The Group expects the WACD to Carolina Mall (Alba Iulia, Romania) was completed, and opened for trade on 31 August 2023 with 92% of the 28,900m2 GLA occupied
continue to increase as the debt management plan progresses and secured debt is drawn down in the current elevated interest by tenants. The yield on cost is 9.1%, which, combined with high collection rates and occupancy increasing to 93.7% since opening, Nadine Bird 1 March 2024, Malta
rate environment. highlights the development’s quality. Footfall and trading levels experienced since opening were well above expectations. Chief Financial Officer Released on 4 March 2024
1
DJV is an abbreviation for a separate corporate entity named PKM Development Ltd (PKM Development), an associate of MAS since 2016 with independent governance. MAS owns 40% of PKM In terms of applicable contractual undertakings and restrictions, Prime Kapital:
Development’s ordinary equity (€20million), an investment conditional on it irrevocably undertaking to provide preferred equity to PKM Development on notice of drawdown. By 31 December 2023, (i) is not permitted to undertake real estate development in CEE outside of PKM Development until the DJV’s capital commitments are fully drawn and invested or 2030 (end of exclusivity period);
MAS had invested €319.2million in preferred equity and had an obligation of €150.8million outstanding. In addition, MAS has committed to provide PKM Development a revolving credit facility of (ii) contributes secured development pipeline to PKM Development at cost;
€30million at a 7.5% fixed rate, which was fully drawn on 31 December 2023 (figures not proportionally consolidated). The balance of the ordinary equity in PKM Development (€30million) was taken (iii) takes responsibility for sourcing further developments, and
up by Prime Kapital in 2016 in cash. (iv) provides PKM Development with all necessary construction and development services via integrated in-house platform.
All amounts in € thousand unless otherwise stated.
CONDENSED CONSOLIDATED STATEMENT Reviewed Reviewed Audited SEGMENTAL ANALYSIS Proportionate accounts Adjustments Adjusted proportionate accounts
OF FINANCIAL POSITION 31 Dec 23 31 Dec 22 30 Jun 23 INCOME STATEMENT (JUL – DEC 2023) Six-month period to 31 Dec 2023 Six-month period to 31 Dec 2023 Six-month period to 31 Dec 2023
Non-current assets 1,413,960 1,219,323 1,280,460 Total CEE DJV WE Co** Total CEE DJV WE Co Total CEE DJV WE Co
Current assets 112,007 264,005 193,565 EARNINGS 68,635 49,971 21,650 (2,831) (155) 25,623 5,946 (406) 19,435 648 94,258 55,917 21,244 16,604 493
Total assets 1,525,967 1,483,328 1,474,025 DISTRIBUTABLE EARNINGS 30,990 25,543 12,234 287 (7,074) 577 – – – 577 31,567 25,543 12,234 287 (6,497)
Equity attributable to owners of the Group 1,033,526 967,069 964,656 Net rental income – income property 34,988 32,539 1,327 1,122 – – – – – – 34,988 32,539 1,327 1,122 –
Total equity 1,033,526 967,069 964,656 Net result – residential property (1,119) – (1,119) – – – – – – – (1,119) – (1,119) – –
Non-current liabilities 456,388 442,989 441,850 Net income – preferred equity and revolving credit facility 8,147 – 8,147 – – – – – – – 8,147 – 8,147 – –
Current liabilities 36,053 73,270 67,519 Net dividends – listed securities – – – – – 290 – – – 290 290 – – – 290
Total liabilities 492,441 516,259 509,369 Net corporate expenses (3,409) (1,476) (200) (294) (1,439) – – – – – (3,409) (1,476) (200) (294) (1,439)
Total shareholder equity and liabilities 1,525,967 1,483,328 1,474,025 Interest on debt financing (11,351) (3,958) (46) (502) (6,845) – – – – – (11,351) (3,958) (46) (502) (6,845)
Interest capitalised on developments 4,480 – 4,480 – – – – – – – 4,480 – 4,480 – –
Reviewed Reviewed Other distributable net income/(cost) 1,708 76 (45) (9) 1,686 287 – – – 287 1,995 76 (45) (9) 1,973
Six-month Six-month Audited Income tax (2,454) (1,638) (310) (30) (476) – – – – – (2,454) (1,638) (310) (30) (476)
CONDENSED CONSOLIDATED period to period to Year to NON–DISTRIBUTABLE EARNINGS 37,645 24,428 9,416 (3,118) 6,919 25,046 5,946 (406) 19,435 71 62,691 30,374 9,010 16,317 6,990
STATEMENT OF PROFIT OR LOSS 31 Dec 23 31 Dec 22 30 Jun 23
Fair value adjustments – income property 40,754 35,253 8,978 (3,477) – – – – – – 40,754 35,253 8,978 (3,477) –
Continuing operations Fair value adjustments – interest rate derivatives (5,234) (4,823) (372) (39) – – – – – – (5,234) (4,823) (372) (39) –
Rental income 35,970 32,391 66,519 Fair value adjustments – listed securities 1,124 – – – 1,124 (290) – – – (290) 834 – – – 834
Service charge income and other recoveries 11,335 10,044 21,369 Investment expenses (826) (56) (12) (387) (371) – – – – – (826) (56) (12) (387) (371)
Gross revenue 47,305 42,435 87,888 Share-based payment expense (596) (235) – – (361) 596 235 – – 361 – – – – –
(Impairment)/Reversal of impairment of receivables (183) 47 (76) Other non-distributable income 6,943 – 416 – 6,527 – – – – – 6,943 – 416 – 6,527
Service charge and other property operating expenses (13,515) (12,497) (25,617) Tax on sale of property 415 – – 415 – – – – – – 415 – – 415 –
Net rental income 33,607 29,985 62,195 Deferred tax (4,935) (5,711) 406 370 – 5,305 5,711 (406) – – 370 – – 370 –
Corporate expenses (3,555) (3,580) (6,965) Estimation for WE disposal realisation costs – – – – – 19,435 – – 19,435 – 19,435 – – 19,435 –
Other income 7,694 5,914 10,097 Weighted average adjusted number of shares (million) 659.5
Investment expenses (573) (556) (1,129) Diluted weighted average adjusted number of shares (million) ~ 671.2
Fair value adjustments 28,275 33,205 40,392 Adjusted distributable earnings per share (eurocents) 4.79
Foreign currency exchange differences (16) (2,068) (2,213) Diluted adjusted distributable earnings per share (eurocents) 4.70
Share of profit from equity-accounted investee, net of tax 8,072 1,953 4,315 Cash available from distributable earnings per share (eurocents) 2.29
Impairment of share-based payment prepayments (67) – (9,624)
Profit before finance income/(costs) 73,437 64,853 97,068
Finance income 15,175 9,678 20,628
Finance costs (12,297) (9,901) (19,993)
Profit before tax 76,315 64,630 97,703 SEGMENTAL ANALYSIS Proportionate accounts Adjustments Adjusted proportionate accounts
Current tax (2,132) (1,983) (4,165) BALANCE SHEET (DEC 2023) 31 Dec 2023 31 Dec 2023 31 Dec 2023
Deferred tax (5,341) (2,536) (6,542) Total CEE DJV WE Co** Total CEE DJV WE Co Total CEE DJV WE Co
Profit from continuing operations 68,842 60,111 86,996 NET ASSET VALUE 1,033,526 735,644 407,632 52,126 (161,876) 22,390 38,937 (16,093) (454) – 1,055,916 774,581 391,539 51,672 (161,876)
Discontinued operations ASSETS 1,564,309 987,294 445,977 75,914 55,124 (21,942) (2,372) (19,570) – – 1,542,367 984,922 426,407 75,914 55,124
(Loss)/Profit from discontinued operations, net of tax (207) 4,031 3,836 Income property 1,061,946 934,901 71,249 55,796 – – – – – – 1,061,946 934,901 71,249 55,796 –
Profit for the period/year 68,635 64,142 90,832 Developments – income property 56,289 5,298 50,991 – – – – – – – 56,289 5,298 50,991 – –
Attributable to: Developments – residential property 62,402 – 62,402 – – – – – – – 62,402 – 62,402 – –
Owners of the Group 68,635 64,142 90,832 Preferred equity and revolving credit facility 224,456 – 224,456 – – – – – – – 224,456 – 224,456 – –
Profit for the period/year 68,635 64,142 90,832 Listed securities 19,570 – 19,570 – – (19,570) – (19,570) – – – – – – –
Goodwill 1,696 1,696 – – – (1,696) (1,696) – – – – – – – –
Deferred tax asset 3,674 1,015 1,070 1,589 – – – – – – 3,674 1,015 1,070 1,589 –
FINANCIAL PERFORMANCE 31 Dec 23 31 Dec 22 % Change
Interest rate derivative financial assets 5,970 5,441 492 37 – – – – – – 5,970 5,441 492 37 –
IFRS Net Asset Value attributable to 1,033,526 967,069 6.87%
owners of the Group (€ thousand) Other assets 568 6 190 132 240 – – – – – 568 6 190 132 240
IFRS Net Asset Value per share (eurocents) 150.2 140.6 6.83% VAT receivable 3,411 23 3,206 115 67 – – – – – 3,411 23 3,206 115 67
IFRS Gross revenue from continuing 47,305 42,435 11.48% Share-based payment prepayments 676 676 – – – (676) (676) – – – – – – – –
operations (€ thousand) Trade and other receivables 33,886 12,950 4,376 14,887 1,673 – – – – – 33,886 12,950 4,376 14,887 1,673
IFRS Earnings per share (eurocents) 9.98 9.32 7.08% Cash and cash equivalents 89,765 25,288 7,975 3,358 53,144 – – – – – 89,765 25,288 7,975 3,358 53,144
Adjusted distributable earnings (€ thousand) 31,567 29,168 8.22% LIABILITIES 530,783 251,650 38,345 23,788 217,000 (44,332) (41,309) (3,477) 454 – 486,451 210,341 34,868 24,242 217,000
Adjusted distributable earnings per share (eurocents) 4.79 4.42 8.37% Debt financing 435,992 185,471 14,555 20,054 215,912 – – – – – 435,992 185,471 14,555 20,054 215,912
Cash dividend (eurocents) – 4.36 -100.00% Deferred tax liability 44,786 41,309 3,477 – – (44,786) (41,309) (3,477) – – – – – – –
Headline earnings (€ thousand) 34,508 41,601 -17.05% Trade and other payables 50,005 24,870 20,313 3,734 1,088 – – – – – 50,005 24,870 20,313 3,734 1,088
Headline earnings per share (eurocents) 5.02 6.05 ...
