Paris, Amsterdam, 26 October 2023
Press release
UNIBAIL-RODAMCO-WESTFIELD Q3-2023 TRADE UPDATE
2023 AREPS EXPECTED TO BE AT LEAST €9.50
ON THE BACK OF A STRONG OPERATING PERFORMANCE
- Like-for-like revenue increased by +11.7% in 9M-2023 vs. 9M-2022. Including the impact of disposals in 2022 and 2023 and lower property development and project management revenues after 2022 deliveries, overall performance increased by +1.9%
- Like-for-like gross rental income increased by +11.5% in 9M-2023 vs. 9M-2022 powered by strong operational performance and indexing
- 9M-2023 sales hold up +7.9% vs. 9M-2022 and the number of visitors increased by +6.3%the positive trend seen in the first half of 2023 continues
- Rent collection at 96% for Q3-2023 above Q1-2023 and in line with Q2-2023 levels; 9M-2023 collection rate of 97%
- Strong 9M-2023 leasing activity confirms continued retailer demand for URW locations with 1,685 deals closed in 9M-2023, an increase of +5.5% year-on-year, a minimum guarantee (“MGR”) signed of 308.5 million EUR, an increase of +5.1% and an MGR increase of +8.4% (+5.2% in 9M-2022)
- EPRA vacancy at 6.1%, stable compared to H1-2023 level
- vs. 90% of €4.0 billion European divestment program completed, with the sale of Polygone Riviera in France completed on 18 October 2023
- Ongoing streamlining of US portfolio with sale of Westfield Mission Valley Shopping Center and Westfield Valencia Town Center
- 13.2 billion EUR in cash and available credit lines with refinancing needs secured for more than 36 months
- 2023 adjusted recurring earnings per share (AREPS) expected to be at least €9.50
comments on the results, Jean-Marie Tritant, CEO stated:
“Our results for the first nine months of 2023 demonstrate the continued strong operational performance of our shopping centers with higher tenant sales and attunement and a +8.4% increase in minimum guaranteed rent on record leasing activity. This led to a like-for-like -group revenue growth of +11.7%, which was also supported by performance from offices and our Convention & Exhibition activities.
We made further deleveraging progress with asset sales in the US and Europe and continue to benefit from low and controlled debt costs and over 36 months of liquidity.
In October, we announced the development of our Better Places sustainability roadmap, which shows how URW is supporting the environmental transformation of cities and the retail industry and its path to zero. The comprehensive approach is fully aligned with our strategy to strengthen our core business, build new revenue platforms and maximize the value of our assets; and it positions URW to unlock new opportunities in the future.
Based on the strong performance in the first nine months, AREPS in 2023 is expected to be at least 9.50 euros.”
For further details, please refer to the attached Q3-2023 Trading Update press release.
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UNIBAIL-RODAMCO-WESTFIELD Q3-2023 TRADE UPDATE