Xior Student Housing (XIOR) H1 2024 earnings summary

Executive summary

• Net rental income increased 20% YoY to €83.3m for H1 2024, with 98% occupancy and a property portfolio valued at €3.23bn across 8 countries and 42 cities.

• Like-for-like rental growth reached 6.62% YoY, supported by resilient business model, strong demand, and new completions.

• Portfolio expanded by over 1,700 new units, including acquisitions in Krakow and Lisbon; strategic divestments of €200m in non-core assets improved quality.

• Guidance for 2024 reconfirmed: minimum 5.5% LfL rental growth, 98% occupancy, EPS €2.21, and DPS €1.768.

• Pro forma LTV and Debt Ratio reduced to 51.35% and 50.43% respectively, reflecting successful deleveraging and capital increases.

Financial highlights

• Net rental result rose 20% YoY to €83.3m; operating result before portfolio result at €61.9m.

• Net result (IFRS) reached €71.5m, up from €8.9m in H1 2023, driven by positive portfolio revaluations and financial instrument gains.

• EPRA earnings per share after IFRIC 21 adjustment at €1.13; EPRA NAV per share at €39.66.

• Loan-to-value (LTV): 51.69% (pro forma 51.35% after July capital increase); debt ratio: 51.32% (pro forma 50.96%).

• Average financing cost: 3.14%; interest cover ratio: 2.54.

Outlook and guidance

• Full-year EPS forecast of at least €2.21 and gross dividend of €1.768 per share reaffirmed.

• Like-for-like rental growth expected at minimum 5.5% for 2024; occupancy rate to remain at current high levels.

• Priority remains to reduce LTV below 50% through further divestments and capital discipline.