CTP (CTPNV) Q3 2024 TU earnings summary

Executive summary

• Gross rental income for 9M-2024 rose 15.9% year-over-year to €488.4 million, with net rental income up 18.2% to €475.9 million and occupancy stable at 93%.

• Company-specific adjusted EPRA EPS increased 11.7% to €0.60, on track for full-year guidance of €0.80–€0.82.

• Portfolio expansion continues with 1.9–2 million sqm under construction, a landbank of 27.1 million sqm, and annualized rental income at €702 million.

• Maintains market leadership in CEE, with diversified blue-chip tenant base, high client retention, and strong pre-letting activity.

• Demand is driven by nearshoring, supply chain de-risking, and strong activity from Asian, automotive, and manufacturing clients.

Financial highlights

• Like-for-like rental growth reached 4.4% for the first nine months of 2024, driven by indexation and rent reversion.

• Profit for 9M-2024 was €737.0 million (+0.6% YoY); Q3-2024 profit was €203.3 million, down 22.7% from Q3-2023.

• Net valuation result on investment property for 9M-2024 was €604.1 million, down 8.0% year-over-year.

• EPRA NTA per share rose 10.1% to €17.52 as of September 2024.

• Gross Asset Value increased 11.8% to €15.2 billion since year-end 2023.

Outlook and guidance

• 2024 EPS guidance confirmed at €0.80–€0.82, expected at lower end due to share increase.

• Targeting delivery of 1.2–1.3 million sqm in 2024, with 1.9 million sqm under construction and €142 million potential rental income.

• Aims for €1 billion rental income in 2027 and 20 million sqm GLA before decade's end.

• Dividend policy maintained at 70–80% payout, with scrip as default and cash option.

• Like-for-like rental growth for 2024 expected in the mid to high 4% range.