{"id":25253,"date":"2019-11-19T11:30:50","date_gmt":"2019-11-19T10:30:50","guid":{"rendered":"https:\/\/www.gruppoigd.it\/?p=25253"},"modified":"2020-01-29T15:12:34","modified_gmt":"2020-01-29T14:12:34","slug":"progress-in-operations-and-financial-management-drive-ffo-growth","status":"publish","type":"post","link":"https:\/\/www.gruppoigd.it\/en\/progress-in-operations-and-financial-management-drive-ffo-growth\/","title":{"rendered":"Progress in operations and financial management drive FFO growth"},"content":{"rendered":"<ul>\n<li><strong>The \u20ac3 million increase in FFO against the same period 2018 is explained for \u20ac2 million by higher core business EBITDA and for almost \u20ac1 million by improved financial management.<\/strong><\/li>\n<li><strong>The expansion of IGD\u2019s scope of consolidation through the acquisitions made in 2018 was key to revenue growth. <\/strong><\/li>\n<li><strong>Net profit reflects the negative impact of the changes in fair value recorded at 30 June 2019.<\/strong><\/li>\n<li><strong>Thanks to a decrease in net financial debt, the Loan-to-Value improved in the third quarter and fell to 47.8% at the end of September 2019. <\/strong><\/li>\n<\/ul>\n<p>&nbsp;<\/p>\n<p><strong>Rental income increased 2.7% <\/strong>in the first nine months of 2019 to \u20ac116.0 million driven almost exclusively by the contribution for the entire period of the assets that became part of IGD\u2019s perimeter in April and May 2018: the portfolio acquired from Eurocommercial Properties and the extension of the shopping center in Crema. Like-for-like, the performance was basically unchanged (+0.1%), with Italian malls down slightly due to strategic vacancies offset by the increase in rental income recorded in Romania (+2.7%).<\/p>\n<p><strong>Core business EBITDA <\/strong>rose 11.0% (or +2.0% ex IFRS 16) to \u20ac94.4 million. The core business <strong>EBITDA margin <\/strong>came to 78.1%, 580 bps higher than in the same period 2018.<\/p>\n<p><strong>Net financial expense <\/strong>fell by around \u20ac1 million<strong>, <\/strong>net IFRS16 application, thanks above all to the bond repayment of \u20ac124.9 million made on January 4<sup>th<\/sup>.<\/p>\n<p><strong>FFO<\/strong>, therefore, posted a positive performance, <strong>rising 5.6%<\/strong> against the first nine months of 2018 to \u20ac62.9 million.<\/p>\n<p><strong>The Group\u2019s net profit <\/strong>reached \u20ac<strong>22.4 million<\/strong>, lower than the \u20ac52.4 million recorded in the first nine months of 2018 due mainly to the change in writedowns and fair value adjustments which were negative for \u20ac46.3 million, versus negative \u20ac4.8 million in the first nine months of 2018.<\/p>\n<p><strong>The net financial debt <\/strong>was \u20ac1,174.4 million at 30 September 2019, down by 0.9% compared to 30 June 2019. The <strong>loan-to-value<\/strong>, therefore, went from 48.2% in the first half of 2019 to 47.8% at the end of September (46.7% ex IFRS16).<\/p>\n<p>&nbsp;<\/p>\n<table>\n<tbody>\n<tr>\n<td><strong>Core business EBITDA\u00a0<\/strong><\/td>\n<td>\u00a0\u20ac 94.4 mn<\/td>\n<td>+11.0%<\/td>\n<\/tr>\n<tr>\n<td><strong>Core business EBITDA margin<br \/>\n<\/strong><\/td>\n<td>\u00a078.1%<\/td>\n<td>+580 bps<\/td>\n<\/tr>\n<tr>\n<td><strong>Funds From Operations (FFO)<\/strong><\/td>\n<td>\u00a0\u20ac 62.9 mn<\/td>\n<td>+5.6%<\/td>\n<\/tr>\n<tr>\n<td><strong>Loan-to-Value<\/strong><\/td>\n<td>\u00a047.8%<\/td>\n<td>&lt; max level of 50%<\/td>\n<\/tr>\n<tr>\n<th scope=\"row\"><strong>Net Rental Income<\/strong><\/th>\n<th scope=\"row\">\u00a0\u20ac 102.2 mn<\/th>\n<th scope=\"row\">+10.7%<\/th>\n<\/tr>\n<\/tbody>\n<\/table>\n","protected":false},"excerpt":{"rendered":"<p>The \u20ac3 million increase in FFO against the same period 2018 is explained for \u20ac2 million by higher core business EBITDA and for almost \u20ac1 million by improved financial management.<\/p>\n","protected":false},"author":5,"featured_media":24476,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[212],"tags":[],"class_list":["post-25253","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-igds-results"],"acf":[],"_links":{"self":[{"href":"https:\/\/www.gruppoigd.it\/en\/wp-json\/wp\/v2\/posts\/25253","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.gruppoigd.it\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.gruppoigd.it\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.gruppoigd.it\/en\/wp-json\/wp\/v2\/users\/5"}],"replies":[{"embeddable":true,"href":"https:\/\/www.gruppoigd.it\/en\/wp-json\/wp\/v2\/comments?post=25253"}],"version-history":[{"count":5,"href":"https:\/\/www.gruppoigd.it\/en\/wp-json\/wp\/v2\/posts\/25253\/revisions"}],"predecessor-version":[{"id":26218,"href":"https:\/\/www.gruppoigd.it\/en\/wp-json\/wp\/v2\/posts\/25253\/revisions\/26218"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.gruppoigd.it\/en\/wp-json\/wp\/v2\/media\/24476"}],"wp:attachment":[{"href":"https:\/\/www.gruppoigd.it\/en\/wp-json\/wp\/v2\/media?parent=25253"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.gruppoigd.it\/en\/wp-json\/wp\/v2\/categories?post=25253"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.gruppoigd.it\/en\/wp-json\/wp\/v2\/tags?post=25253"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}