Immobiliare Grande Distribuzione SIIQ (IGD) Q4 2024 earnings summary

Executive summary

• 2024 marked a year of growth and transformation, with Italian mall tenant sales up 0.6%, footfalls up 1.6%, and rental uplift of 4.0%.

• Net rental income and core business EBITDA both grew like-for-like, driven by leasing and digital innovation initiatives.

• Major asset disposals and refinancing in April 2024 improved leverage and enabled a return to dividend distribution.

• New governance, strategic guidelines, and a business plan for 2025-2027 were introduced.

• Dividend payout of €0.10 per share proposed, reflecting a return to sustainable distributions.

Financial highlights

• Net rental income for 2024 was €113.7 million, down 4.9% year-over-year due to asset sales, but up 4.6% like-for-like.

• Core business EBITDA reached €102.0 million, down 5.7% year-over-year, but up 4.1% like-for-like.

• FFO was €35.6 million, down 35.7% year-over-year, but nearly 5% above guidance.

• Group net result was a loss of €30.1 million, a significant improvement from €81.7 million loss in 2023, impacted by a one-off impairment.

• Collection rates were high: 98.4% in Italy and 97% in Romania.

Outlook and guidance

• 2025 FFO guidance set at approximately €38 million, up 6.7% from 2024, factoring in planned asset disposals and cost of debt reduction.

• Like-for-like net rental income expected to grow by 4% in 2025, with a focus on increasing occupancy.

• CapEx for 2025 expected to be below €23 million, with investments focused on efficiency and sales.

• Improved financial management anticipated due to refinancing and lower cost of debt.