6 March 2019 12:32

FFO at record level, above guidance

With the 2018 results, IGD delivers on all the targets in the 2016-2018 plan

Thanks to the increase of 9.2% in rental income, which also benefited from the expanded perimeter, and the policy to maintain control of direct costs and general expenses, IGD’s results for 2018 show a core business EBITDA that rose 12.4% to €113.7 million, with an EBITDA margin of 71.9%, an increase of an impressive 220 basis points compared to 2017.

The improved operating performance is also reflected in the FFO which reached a record level of €79.7 million in 2018, an increase of 21.4% with respect to 2017 and above the 20% forecast in August.

In terms of the financial profile, IGD’s results are also convincing with the Loan-to-Value coming in at 45.8%, well below the maximum expected of 50%, and financial expense falling from €34.3 million in 2017 to €32.5 million in 2018.

The net profit, however, fell from the €86.5 million recorded in 2017 to €46.4 million explained mainly by writedowns and fair value adjustments which in 2017 were positive for €23.9 million versus the negative €30.3 million recorded in 2018. The latter is, however, not a source of concern as the difference represents 1.3% of the overall value of IGD’s real estate portfolio which at year-end 2018 had a fair value of €2,412.15 million thanks also to inclusion of the four malls and the retail park acquired in April for €195.5 million.


Core business EBITDA
 € 113.7 mn+12.4%
Core business EBITDA margin
 71.9%+220 bps
Group net profit € 46.4 mn-46.3%
Funds From Operations (FFO) € 79.7 mn+21.4%
Loan-to-Value 45.8%< max. level of 50%
Core business revenues€ 151.8 mn+9.2%