Montea (MONT) Q3 2024 earnings summary

Executive summary

• Recurring EPRA EPS rose 4% year-over-year to €3.35, with a one-off €0.18 per share from Dutch FBI status, lifting total Q3 EPRA EPS to €3.53.

• EPRA earnings from recurring activities rose over 16% year-over-year to €71.9 million, with per-share growth of 4% despite a 12% increase in shares outstanding.

• Net result reached €121.7m, including €55.7m positive property revaluation; net result per share was €5.98.

• Portfolio value increased to €2.55bn (+12% vs. end 2023), and to €2.7bn (+18.6%) including the Reverso acquisition.

• €154m capital increase completed to fund the Reverso acquisition in France, supporting growth and financial stability.

Financial highlights

• Q3 EPRA result was €71.9m, up 16% year-over-year; net rental income for 9M 2024 was €83.2m (+5%).

• Operating margin remained strong at 88.1%; financial results (excl. fair value changes) improved by 38%.

• EPRA LTV at 36.7% (34.4% post-rights issue and Reverso), adj. net debt/EBITDA at 7.7x (7.1x post-transaction).

• Interest coverage ratio stable at 4.5x; cost of debt stable at 2.3%.

• Weighted average shares outstanding increased 12% year-over-year.

Outlook and guidance

• 2024 EPRA EPS guidance raised to €4.73 (from €4.55) after Dutch FBI status; 2024 dividend guidance increased to €3.74 (from €3.60).

• Reiterated 2025 EPRA EPS guidance at €4.90 and 2027 at €5.60, targeting 6% CAGR in EPRA EPS for 2024-2027.

• Portfolio expected to grow over 50% to €3.5bn by 2027, with disciplined leverage and operational excellence.

• Sustainability goals include a 45% CO2 reduction by 2027 and doubling solar panel capacity to 135 MWp.