Immobiliare Grande Distribuzione SIIQ (IGD) Q3 2024 earnings summary

Executive summary

• Net rental income for 9M2024 was €85.2 million, down 3.6% year-over-year but up 4.4% like-for-like, reflecting portfolio changes and positive underlying trends.

• Core business EBITDA was €77.7 million, down 4.1% year-over-year but up 3.9% like-for-like, with a stable margin of 72.8%.

• Group net result improved to -€32 million from -€39 million in 9M2023, mainly impacted by a one-off €29.1 million impairment related to the Food transaction.

• FFO totaled €26.3 million, down 40.7% year-over-year, mainly due to higher financial charges and portfolio disposals.

• Full-year guidance is confirmed, with FFO expected at approximately €34 million and a new business plan for 2025-2027 to be presented in November 2024.

Financial highlights

• Like-for-like net rental income grew 4.4% year-over-year, with Italy and Romania both showing positive growth.

• Core business EBITDA margin remained stable at 72.8%, with consolidated EBITDA at €77.7 million.

• Financial management costs rose 67.8% to €52.1 million, including non-recurring charges related to bond redemption.

• FFO for the nine months was €26.3 million, down 40.7% year-over-year, but guidance for full-year FFO is confirmed at €34 million.

• Net debt stood at €815.3 million at 30 September 2024, down from €968.4 million at end-2023.

Outlook and guidance

• Full-year FFO guidance for 2024 is confirmed at approximately €34 million, assuming stable macroeconomic conditions.

• New business plan for 2025-2027 to be presented in November 2024.