Klépierre (LI) H1 2024 earnings summary

Executive summary

• Delivered strong H1 2024 results with robust operating momentum, growth in footfall, retailer sales, and net rental income, and proactive asset management driving leasing growth and higher occupancy rates.

• Maintained a unique position with 70 premium malls attracting over 700 million visitors annually and generating over €12 billion in retailer sales.

• Portfolio value increased for the first time in five years, up 2.8% over six months to €19.9 billion, with EPRA NTA per share up 4.3% to €31.4.

• Net current cash flow per share rose 3.3% to €1.25 in H1 2024, with a CAGR of 5.2% from H1 2022 to H1 2024.

• Upgraded full-year 2024 guidance, now expecting 5% EBITDA growth and net current cash flow per share of €2.50–€2.55.

Financial highlights

• Net rental income: €520.1 million, up 4.9% year-over-year and 6.0% like-for-like; retailer sales up 3.9% in H1, more than doubling national indices.

• EBITDA: €477.3 million, up 5.4% year-over-year, with margin up 60 bps to 85.7%.

• Net current cash flow: €410.6 million total, €1.25 per share, up 3.3% year-over-year.

• EPRA NTA per share: €31.4, up 4.3% over six months.

• Portfolio value: €19.87 billion, up 2.8% reported and 2.0% like-for-like over six months.

Outlook and guidance

• Raised 2024 guidance: now expecting 5% EBITDA growth (up from 4%) and net current cash flow of €2.50–€2.55 per share.

• Positive contribution from recent accretive acquisitions factored into revised guidance.