par Covivio Hotels (EPA:COVH)
Covivio Hotels - 2024 Half-year results
PRESS RELEASE
Paris, 16 July 2024
First-half 2024 : sustained growth in results
Hotel market: good first-half performance
 |
H1 2024 performance in Europe improved on 2023. At the end of May 2024, RevPAR (revenue per available room) was up 4% on average, as the European market kept up its momentum, bolstered by the increase in occupancy rates and average prices. The best performances were recorded in Southern Europe, notably Spain and Italy, which were up 15% and 8%, respectively. Germany continued to catch up, posting a 4% increase in RevPAR. Meanwhile, France posted more moderate RevPAR growth at 1%, impacted by the postponement of travel plans in the run-up to the Paris Olympics.
These trends are set to continue through June, with performance boosted by Euro 2024 in Germany but declining in Paris in pre-Olympics period.
Memorandum of understanding signed by Covivio Hotels and AccorInvest
In June 2024, Covivio Hotels and AccorInvest signed a memorandum of understanding to consolidate the ownership of jointly owned hotel operating and property companies, in accordance with the terms defined at the start of exclusive negotiations in November 2023. The transaction is expected to be close in the final quarter of 2024.
The memorandum concerns the acquisition by Covivio Hotels of 24 hotel operating companies[1] – allowing the consolidation of these hotels, which will be owned and operated by Covivio Hotels – in exchange for the transfer to AccorInvest of title to 10 other hotels, which will then be owned and operated by AccorInvest. The agreed value of the property companies transferred to AccorInvest is €208 million[2], while the value of the operating companies acquired by Covivio Hotels is €266 million[3]. Based on 2023 figures, the assets transferred to AccorInvest represent annual rental income of €11 million, while the operating companies acquired by Covivio Hotels generate EBITDA of around €31 million.
The deal enables Covivio Hotels to acquire operating companies in major tourist areas with considerable potential for value creation through repositioning and management optimisation. Some of these hotels will continue to operate under Accor brands (under management or franchise agreements), while others will be rebranded.
The agreement also concerns the hotels held under joint ventures by Covivio Hotels, which is also the indirect owner and asset manager of another 60 hotels leased to AccorInvest and held through two joint ventures created in 2010 and 2019, respectively. One of these is 80% owned by Crédit Agricole Assurances and 20% by Covivio Hotels, and the other is owned by Caisse des Dépôts et Consignations, Société Générale Assurances, and Covivio Hotels. The memorandum provides for the acquisition by Covivio Hotels and its partners of 19 operating companies held by these two joint ventures (thereby enabling them to be consolidated as properties owned and operated by Covivio Hotels and its partners) in exchange for the transfer to AccorInvest of six other hotels, which will then be owned by AccorInvest.
These consolidation transactions for Covivio Hotels and the joint ventures represent a total of €393 million[4] for the hotel property companies sold by Covivio Hotels and its partners, equivalent to that of the operating companies owned and operated by the companies whose shares will be acquired. Upon completion, Covivio Hotels and its partners will have consolidated ownership of 43 hotels and AccorInvest 16.
This hotel exchange transaction will allow Covivio Hotels to reposition a large part of its portfolio and increase its ability to directly influence performance, thereby exploiting a major source of potential growth.
€77 million in new disposal commitments signed
Covivio Hotels signed new disposal commitments totalling €77 million Group share (€83 million at 100%) during the first half, including four hotels in Germany (€31 million), one hotel in Spain (€17 million) and 13 assets in France (€30 million), including three Accor-branded hotels.
The commitments were signed at a margin of around 11% over end-2023 appraisal values, reflecting strong investor appetite for the hotel industry.
Slight increase in like-for-like values
At the end of June 2024, Covivio Hotels held a portfolio worth €5,821 million (€6,432 million at 100%), characterised by:
- high-quality locations: the average grade given for "location" by customers on Booking.com is 8.9/10
- a diversified portfolio in terms of country (12 countries, none representing more than 33% of the total portfolio) and segment (68% economy/midscale and 32% upscale)
- long-term leases with the major hotel operators: 16 operators with an average firm residual lease term of 11.8 years.
Group Share (€ millions, excluding duties) | Value 2023 | Value H1 2024 |
Hotel lease properties | 4 434 | 4 464 |
Hotel Operating properties | 1 337 | 1 357 |
Total Hotels | 5 771 | 5 821 |
Non-Stratégic (Retail) | 51 | 45 |
Total Covivio Hotels | 5 822 | 5 866 |
1 LfL : Like-for-like |
0.6% | 5.8% | 5.9% |
0.0% | 6.2% | 6.3% |
0.5% | 5.9% | 6.0% |
10.7% | N/A | N/A |
0.4% | 5.8% | 6.0% |
H1 LfL Yield Yield H1 change1 20232 20242
2 Yield excluding duties
At like-for-like scope, the hotel portfolio was up 0.5% over six months. This change is primarily attributable to the stabilisation of capitalisation rates and continued revenue growth driven by the good performance of variable-revenue hotels and fixed-rent indexation.
The hotel portfolio has a 6.0% average yield excluding transfer duties.
Hotel portfolio breakdown at 30/06/2024
Revenue growth: 5% like-for-like
The good first-half performance by the hotel market resulted in hotel portfolio revenue growth of 5.2% like-for-like, with revenues totalling €153.7 million compared to €150.1 million a year earlier.
Income | Income | Income | Income | Change | Change | |
€ million | H1 2023 | H1 2023 | H1 2024 | H1 2024 | Group Share | Group Share LFL |
100% | Group Share | 100% | Group Share | (%) | (%) (*) | |
Lease properties - Variable | 32.3 | 32.3 | 35.6 | 35.6 | 10.0% | 9.3% |
Lease properties - Fixed Operating properties - EBITDA | 93.5 | 87.1 | 96.2 | 89.5 | 2.7% -6.6% | 4.4% 2.9% |
31.6 | 30.7 | 29.6 | 28.7 | |||
Total revenues Hotels | 157.4 | 150.1 | 161.4 | 153.7 | 2.4% | 5.2% |
Non-strategic (Retail) | 1.9 | 1.9 | 1.7 | 1.7 | -9.5% | -9.3% |
Total revenues Covivio Hotels | 159.3 | 152.0 | 163.1 | 155.4 | 2.2% | 5.0% |
(*) On a like for like basis
Hotel lease properties (81% of hotels revenue)
- Variable-rent hotels (23% of the hotels revenue): the portfolio is mainly let to AccorInvest, in France and Belgium, and also includes the variable-rent portion of the minimum guaranteed rent leased assets located in Spain, Italy, and the UK. The 9.3% like-for-like year-on-year increase was driven by the excellent performance from hotels in Southern Europe.
- Fixed-rent hotels (58% of the hotel revenue): rents up 4.4% like-for-like, mainly due to rental indexation (up 5.6% in France, 3.8% in Germany, and 3.6% in Spain).
The occupancy rate remained at 100% across the hotel portfolio.
Hotel operating properties (19% of hotel revenue)
Most of these hotels are located in Germany (mainly Berlin) and France. Like-for-like EBITDA for operating properties rose 2.9% year-on-year, mainly driven by good hotel performances in Germany. In addition, the hotels located in Bruges are subject to a work programme.
Successful refinancing, competitive debt cost, and strengthened liquidity
Two new financing arrangements totalling €729 million were secured during the first half of the year, enabling the company to refinance upcoming debt payments. In particular, in May 2024 Covivio Hotels carried out a €500 million Green Bond issue with nine-year maturity and a 4.125% coupon (148 bp spread over mid-swap rate). The fixed rate of the issue was largely swapped for a floating rate in order to leverage the Group’s hedging position.
Covivio Hotels net debt rose from €2,260 million Group share at 31 December 2023 to €2,373 million. Over the same period, the average interest rate improved by 11 bps, falling from 2.43% to 2.32% at the end of June 2024, while the average maturity increased from 3.6 to 5.1 years. Covivio Hotels had a strengthened debt coverage ratio of 96% at the end of June 2024 (compared with 89% at the end of 2023), with a high hedging maturity of 6.0 years.
At 30 June 2024, the loan-to-value ratio (LTV) stood at 36.1%. The interest coverage ratio (ICR) was 5.94x, a further improvement compared to the end of 2023 (5.38x).
Covivio Hotels held cash (including undrawn credit lines) of €616 million at 30 June 2024.
As part of its annual review, S&P Global Ratings confirmed Covivio Hotels’ BBB+ stable outlook rating, in line with the overall Covivio rating. This confirmation recognises the solidity of the company’s operational and financial profile.
S&P also upgraded Covivio Hotels’ stand-alone rating from BB+ to BBB-.
Recurring net income growth of 7% in H1 2024
H1 2024 recurring net income (EPRA Earnings) came to €119.5 million, up 6.6% from €112.1 million a year earlier, boosted by revenue growth. EPRA Earnings per share amounted to €0.81, up 6.6% from €0.76 the previous year.
EPRA NTA (net tangible assets) stood at €3,505 million, compared with €3,550 million at the end of 2023. This amounted to €23.7 per share, down 1.3% compared to the end of 2023, despite the impact of the dividend payment.
Taking into account the fair value adjustment of interest rate hedges and fixed-rate debt, EPRA NDV (net disposal value) was €3,472 million, down 1.1% from €3,512 million at 31 December 2023, or €23.4 per share.
2024 outlook
As the hotel real estate leader in the main European markets, Covivio Hotels plans to take advantage of a growing market and the valuation potential of its portfolio, primarily through the recently announced consolidation transaction on the hotels let to AccorInvest (20% of the portfolio).
CONTACTS
Press Relations Géraldine Lemoine Tél : + 33 (0)1 58 97 51 00 geraldine.lemoine@covivio.fr | Investors Relations Vladimir Minot Tél : + 33 (0)1 58 97 51 94 vladimir.minot@covivio.fr |
Louise-Marie Guinet
Tél : + 33 (0)1 43 26 73 56 covivio@wellcom.fr
ABOUT COVIVIO HOTELS
Covivio Hotels specializes in owning business premises in the hotel sector. A listed real estate investment company (SIIC), a real estate partner of the major players in the hotel industry, Covivio Hotels holds assets worth € 6.4 billion (at end June 2024).
Covivio Hotels is graded BBB+ / Stable outlook by Standard and Poor’s.
ABOUT COVIVIO
Thanks to its partnering history, its real estate expertise and its European culture, Covivio is inventing today’s user experience and designing tomorrow’s city.
A preferred real estate player at the European level, Covivio is close to its end users, capturing their aspirations, combining work, travel, living, and co-inventing vibrant spaces.
A benchmark in the European real estate market with €23,1bn in assets, Covivio offers support to companies, hotel brands and territories in their pursuit for attractiveness, transformation and responsible performance.
Build sustainable relationships and well-being, is the Covivio’s Purpose who expresses its role as a responsible real estate operator to all its stakeholders: customers, shareholders and financial partners, internal teams, local authorities but also to future generations and the planet. Furthermore, its living, dynamic approach opens up exciting project and career prospects for its teams.
Appendice:
Covivio Hotels, a 52.5%-owned subsidiary of Covivio as of 30 June 2024, is a listed property investment company (SIIC) and leading hotel real-estate player in Europe. It invests both in hotels under lease and hotel operating properties.
The figures presented are expressed at 100% and in Covivio Hotels Group share (GS).
Covivio Hotels owns a high-quality hotel portfolio (311 hotels, 43 402 rooms) worth €6.4 billion (€5.8 billion in Group share), focused on major European cities and let or operated by 16 major hotel operators such as Accor, B&B, IHG, NH Hotels, Mariott, etc. This portfolio offers geographic and tenant diversification (across 12 European countries) and asset management possibilities via different ownership methods (hotel lease and hotel operating properties).
1. Hotel market: continued increase of hotel performances
European hotels performance in the first half of the year is increasing compared to 2023. The average RevPAR (revenue Per Available Room) in Europe shows an average increase of +4% year-on-year at end-May 2024, as the market continues its positive momentum, supported by the rise in occupancy rates and average prices.
Southern European countries, particularly Spain and Italy, are showing very strong performances, increasing respectively by +15% and +8%.
Germany is continuing to catch up with a RevPAR growth of +4%.
In France, RevPAR growth is more modest at +1%, impacted by travel delays during the pre-Olympic period.
On the investment side, volumes remained strong, reaching €4.5 billion in Q1 2024, representing a +45% increase vs. H1 2023. France, Spain, and the United Kingdom account for the majority of transactions (60%).
Assets partially owned by Covivio Hotels include mostly:
- 91 B&B assets in France, including 89 held at 50.2% and 2 held at 31.2%
- 25 AccorInvest assets in France (23 assets) and Belgium (2 assets), between 31.2% and
33.3% owned.
2. Accounted revenues: +5.2% on a like-for-like basis
(In € million) | Revenues H1 2023 100% | Revenues H1 2023 Group share | Revenues H1 2024 100% | Revenues H1 2024 Group share | Change (%) Group share | Change Group share (%) LfL1 |
Hotel Lease properties - Variable | 32.3 | 32.3 | 35.6 | 35.6 | +10.0% | +9.3% |
Hotel Lease properties - Fixed | 93.5 | 87.1 | 96.2 | 89.5 | +2.7% | +4.4% |
Operating properties - EBITDA | 31.6 | 30.7 | 29.6 | 28.7 | -6.6% | +2.9% |
Total revenues Hotels | 157.4 | 150.1 | 161.4 | 153.7 | +2.4% | +5.2% |
1 LfL: Like-for-Like
Hotel revenues increased by +5.2% like-for-like compared to H1 2024 to reach €154 million, due to:
Lease properties:
- Variable leases (23% of hotels revenue), up +9.3% on a like-for-like basis, mostly linked with the steep increase of variable rents in the south of Europe, compensating a slowdown in Paris area impacted by the pre-Olympic period.
- Fixed leases (58% of hotels revenue), up +4.4% like-for-like, mostly through positive indexation.
Operating properties (19% of the hotel revenue): mainly located in Germany and in the north of France. The +2.9% like-for-like increase in EBITDA is mostly explained by improved performances in Germany (+10%).
3. Annualized revenue
Breakdown by operators and by country (based on 2024 revenues) which amount to €340.4 million in Group share.
Germany
Revenues are split using the following breakdown: fixed (55%), variable (22%) and EBITDA (23%)
4. Indexation
Fixed-indexed leases are indexed to benchmark indices (ICC and ILC in France and the consumer price index for foreign assets).
5. Lease expiries: 11.8 years hotels residual lease term
(In € million, Group share) | By lease end date (1st break) | % of total | By lease end date | % of total |
2024 | 11.3 | 4% | 1.6 | 1% |
2025 | 5.93 | 2% | 5.2 | 2% |
2026 | 6.4 | 2% | 0.0 | 0% |
2027 | 2.2 | 1% | 2.2 | 1% |
2028 | 0.0 | 0% | 0.0 | 0% |
2029 | 32.3 | 12% | 27.6 | 11% |
2030 | 19.7 | 7% | 19.7 | 7% |
2031 | 5.3 | 2% | 9.9 | 4% |
2032 | 8.8 | 3% | 8.8 | 3% |
2033 | 11.8 | 5% | 15.3 | 6% |
Au-delà | 159.0 | 61% | 172.4 | 66% |
Total Hotels in lease | 262.7 | 100% | 262.7 | 100% |
6. Portfolio values: +0.5% like-for-like
6.1. Change in portfolio values
(In € million. Excluding Duties. Group share) | Value 2023 | Acquis. | Invest. | Disposals | Change in value | Others | Value H1 2024 |
Hotels - Lease properties | 4 434 | 4 | -16 | 28 | 14 | 4 464 | |
Hotels - Operating properties | 1 337 | 17 | 1 | 2 | 1 357 | ||
Total Hotels | 5 771 |
| 21 | -16 | 29 | 16 | 5 821 |
At the end of June 2024, the portfolio reached €5.8 billion (Group share), reflecting a €50 million increase compared to year-end 2023. This growth can be attributed to a positive change in value amounting to €29 million.
6.2. Change on a like-for-like basis: +0.5%
(In € million. Excluding Duties) | Value 2023 Group share | Value H1 2024 100% | Value H1 2024 Group share | LfL 1 change | Yield 2023 | Yield H1 2024 | % of total value |
France | 1 597 | 2 134 | 1 608 | +0.8% | 5.6% | 5.5% | 28% |
Paris | 703 | 842 | 711 | ||||
Greater Paris (excl. Paris) | 290 | 462 | 291 | ||||
Major regional cities | 375 | 517 | 378 | ||||
Other cities | 229 | 312 | 228 | ||||
Germany | 602 | 617 | 600 | -0.3% | 5.6% | 5.8% | 10% |
Frankfurt | 67 | 69 | 66 | ||||
Munich | 45 | 45 | 45 | ||||
Berlin | 67 | 71 | 69 | ||||
Other cities | 422 | 432 | 420 | ||||
Belgium | 218 | 248 | 220 | +0.9% | 7.2% | 7.7% | 4% |
Brussels | 78 | 102 | 83 | ||||
Other cities | 140 | 146 | 138 | ||||
Spain | 636 | 629 | 629 | +0.5% | 6.2% | 6.7% | 11% |
Madrid | 282 | 275 | 275 | ||||
Barcelona | 222 | 221 | 221 | ||||
Other cities | 132 | 133 | 133 | ||||
UK | 662 | 683 | 683 | +0.4% | 5.6% | 5.3% | 12% |
Italy | 266 | 273 | 273 | +2.5% | 5.5% | 6.0% | 5% |
Other countries | 451 | 450 | 450 | +0.6% | 5.7% | 6.3% | 8% |
Total Hotel lease properties | 4 434 | 5 033 | 4 464 | +0.6% | 5.8% | 5.9% | 77% |
France | 311 | 326 | 326 | +2.8% | 6.5% | 6.3% | 6% |
Lille | 103 | 106 | 106 | ||||
Other cities | 208 | 220 | 220 | ||||
Germany3 | 799 | 836 | 793 | -1.0% | 6.1% | 6.0% | 14% |
Berlin | 562 | 587 | 557 | ||||
Dresden & Leipzig | 183 | 192 | 182 | ||||
Other cities | 54 | 57 | 54 | ||||
Other countries | 228 | 237 | 237 | -0.2% | 6.8% | 7.5% | 4% |
Total Hotel Operating properties | 1 337 | 1 400 | 1 357 | +0.0% | 6.2% | 6.3% | 23% |
Total Hotels 5 771 6 432 | 5 821 | +0.5% | 5.9% | 6.0% | 100% | ||
1 Lfl :Like-for-like
At the end of June 2024, Covivio Hotels held a unique hotel portfolio of €5 821 million Group share (€6 432 million at 100%) in Europe. This strategic portfolio is characterised by:
- High-quality locations: average Booking.com location grade of 8.9/10 and 90% in major European city destinations,
- Diversified portfolio: in terms of countries (12 countries. none representing more than 33% of the total portfolio) and segment (68% economic/midscale and 32% upscale),
- Major hotel operators with long-term leases: 16 hotel operators with an average lease duration of 11.8 years.
The portfolio value increased by 0.5% Like-for-Like, mainly explained by the stabilization of capitalization rates and continued revenue growth, driven by the strong performance of variable revenue hotels and the indexation of fixed rents.
Portfolio breakdown by value 90 % in major European
and geography destinations
- Bridge table of the portfolio:
Portfolio (as of 30/06/2024) 5 866 M€
Use rights on investment properties Use rights on operating properties Equity affiliates > 30% Non-accrued goodwill of operating property assets Real Estate Assets Group Share | + 248 M€ + 43 M€ - 158 M€ - 205 M€ 5 793 M€ |
The companies's fully consolidated non-controlling interest 100% Real estate assets - IFRS accounts | + 280 M€ 6 074 M€ |
- Bridge table of EPRA indicator: Shareholders’ equity Group - IFRS Accounts | 3 324 M€ |
Fair value of operating property assets net of deferred taxes | + 159 M€ |
Non optimised transfer rights | 242 M€ |
Fair value of financial instruments | - 120 M€ |
Defered tax (including IFRS adjustments) | 246 M€ |
EPRA NRV | 3 852 M€ |
Non-optimised transfer rights | -196 M€ |
Goodwill and intangibles assets | - 115 M€ |
Deferred tax on non-core assets | -36 M€ |
EPRA NTA | 3 505 M€ |
Optimisation of the transfer rights | - 47 M€ |
Intangibles assets | + 0 M€ |
Fair value of fixed-rate debt net (excluding credit spread) of deferred taxes | + 103 M€ |
Fair value of financial instruments | + 120 M€ |
Deferred taxes | - 210 M€ |
EPRA NDV | 3 472 M€ |
- Bridge table of rental income:
€ million | Rental income Non-controlling HY 2024 interest | Rental income HY 2024 Group Share | |
IFRS Accounts | Covivio Hotels | ||
Hotels | 161 M€ | -8 M€ | 154 M€ |
Retail premises | 2 M€ | 0 M€ | 2 M€ |
Total Revenues | 163 M€ | -8 M€ | 155 M€ |
Including Managed hotel EBITDA | 30 M€ | -1 M€ | 29 M€ |
- Debt maturity per year (Group share engagement)
- Detail of Loan-to-Value (LTV) calculation:
(€ million) – Group Share | 31/12/2023 | 30/06/2024 |
Net book debt | 2 260 | 2 373 |
Receivables linked to associates (fully consolidated) | -28 | -24 |
Pledges | -155 | -146 |
Security deposits received | -5 | -5 |
Purchase debt | 7 | -4 |
Net debt Group Share | 2 079 | 2 194 |
Appraised value of real estate assets (including duties) | 5 939 | 5 964 |
Pledges | -155 | -146 |
Receivables linked to associates (equity method) | 53 | 58 |
Share of equity affiliates | 205 | 207 |
Value of assets | 6 041 | 6 083 |
LTV Excluding Duties | 36.0% | 37.6% |
LTV Including Duties | 34.4% | 36.1% |
- Reconciliation with consolidated accounts:
Net debt
(€ million) | Consolidated financial statements | Minority interests | Group Share |
Bank Debt | 2 929 | -93 | 2 836 |
Cash and cash equivalents | -472 | 8 | -463 |
Net debt | 2 457 | -85 | 2 373 |
Portfolio (including duties)
Interest Coverage Ratio (ICR)
€ million | 30/06/2023 | 30/06/2024 | |
EBE (Net rents (-) operating expenses (+) results of other activities) Cost of debt | 145 -28 | 153 -26 | |
ICR | 5.24 | 5.94 |
- Bridge table of EPRA Earnings:
Net income Non- Net Income,
EPRA
€ million 100% IFRS controlling Group Restatements
Earnings
Accounts interest Share
Net Rental Income Managed hotel income | 130.7 29.6 | -6.7 -1.0 | 124.0 28.7 |
Operating costs | -8.7 | 0.4 | -8.3 |
Depreciation of operating assets | -20.6 | 0.4 | -20.2 |
Net allowances to provisions and other | 8.0 | 0,0 | 7.9 |
OPERATING PROFIT | 138.9 | -6.8 | 132.0 |
Income from disposals of assets | 3.5 | 0,0 | 3.5 |
Net valuation gains and losses | 20.9 | -2.5 | 18.4 |
Income from disposal of securities | 0.0 | 0.0 | 0.0 |
Income from changes in scope | 0.0 | 0.0 | -0.8 |
OPERATING PROFIT (LOSS) | 162.4 | -9.4 | 153.1 |
Costs of net financial debt | -29.9 | 2.3 | -27.6 |
Interest charges on rental liabilities | 7.8 | 0.0 | -7.8 |
Fair value adjustment on derivatives | 20.7 | -1.7 | 19.0 |
Discounting and exchange result | 0.4 | 0,0 | 0.4 |
Net change in financial and other provisions | -0,7 | 0.7 | 0.0 |
Share in income of equity affiliates 8.6 0.0 8.6 | |||
0.8 124.7 1.7 30.4 0.0 -8.3
17.8 -2.4
-3.8 4.1
16.5 148.5
-3.5 0.0
-18.4 0.0 0.0 0.0 0.8 0.0
-4.5 148.5
0.0 -27.6
5.4 -2.4
-19.0 0.0 0.0 0.4
0.0 0.0
-2.5 6.1
PRE-TAX NET INCOME (LOSS) | 153.7 | -8.7 | 145.0 | -20.0 | 125.0 |
Deferred tax liabilities | -6,1 | -0.1 | -6.1 | 6.1 | 0.0 |
Recurrent Tax | -5,6 | 0.1 | -5.1 | 0.0 | -5.5 |
NET INCOME FOR THE PERIOD | 142.0 | -8.7 | 133.3 | -13.8 | 119.5 |
- Balance sheet (100%)
€ million - Consolidated data | 31/12/2023 | 30/06/2024 | € million - Consolidated data | 31/12/2023 | 30/06/2024 | |
INTANGIBLE ASSETS Goodwill | 117 | 117 | Capital Premiums | 593 593 | ||
1 659 | 1 486 | |||||
Other intangible assets | 0 | 0 | Treasury shares | 0 | 0 | |
TANGIBLE ASSETS | Consolidated reserves | 1 147 | 1 111 | |||
Operating building Other property, plant and equipment Assets in progress Investment property | 1 084 16 10 4 655 | 1 072 15 24 4 485 | Result | -12 | 133 | |
GROUP EQUITY | 3 387 | 3 324 | ||||
Non-controlling interests | 164 | 170 | ||||
| 3 551 | 3 494 | ||||
Long Term Loan | 2 199 | 2 458 | ||||
Long-term rental liabilities | 283 | 288 | ||||
Non-current financial assets | 60 | 58 | Financial instruments | 41 | 49 | |
Investments in companies accounted for using the equity method | 205 | 207 | Deferred tax liabilities | 210 | 208 | |
Deferred tax assets | 24 | 16 | Retirement and other commitments | 1 | 1 | |
Financial instruments LT assets | 120 | 140 | Other debts and long-term guarantee deposits | 9 | 9 | |
TOTAL NON-CURRENT ASSETS | 6 291 | 6 133 | TOTAL NON-CURRENT LIABILITIES | 2 743 | 3 013 | |
Liabilities held for sale | 7 | 6 | ||||
Assets available for sale | 162 | 362 | Payables | 48 | 62 | |
Accrued loan interest | 24 | 25 | Debts on acquisitions of fixed assets | 7 | 6 | |
Inventories and work in progress | 2 | 2 | Short Term Loan | 256 | 471 | |
Financial instruments ST assets | 57 | 60 | Short-term rental liabilities | 6 | 6 | |
Receivables | 43 | 95 | ST financial instruments | 32 | 35 | |
Tax receivables (IS) | 6 | 5 | Security deposits | 0 | 0 | |
Other receivables | 27 | 29 | Advances and down payments and credit notes to be established | 12 | 21 | |
Prepaid expenses | 3 | 5 | Short Term Provisions | 4 | 4 | |
Cash and cash equivalent | 109 | 472 | Current taxes | 10 | 10 | |
Other debts and tax and social debts | 30 | 52 | ||||
Accruals accounts | 18 | 9 | ||||
TOTAL CURRENT ASSETS | 433 | 1 056 | TOTAL CURRENT LIABILITIES | 430 | 683 | |
TOTAL ASSETS | 6 724 | 7 190 | TOTAL LIABILITIES | 6 724 | 7 190 | |
TOTAL EQUITY
- Profit and loss account (100%):
€ million- Consolidated data | 30/06/2023 | 30/06/2024 | Variation |
Rents | 128 | 134 | 6 |
Rental charges not recovered | -1 | -2 | 0 |
Expenses on Buildings | -2 | -2 | 0 |
Net bad debt expenses | -1 | 1 | 1 |
NET RENTS | 124 | 131 | 7 |
Revenue from hotels under management | 136 | 138 | 2 |
Operating expenses of hotels under management | -105 | -108 | -4 |
RESULTS OF HOTELS UNDER MANAGEMENT | 0 | 0 | 0 |
Management and administration income | 3 | 2 | 0 |
Activity Fees | -1 | -1 | 0 |
Structure costs | -11 | -10 | 0 |
COUT DE FONCTIONNEMENT NET | -9 | -9 | 0 |
Depreciation of operating assets | -24 | -21 | 3 |
Net change in provisions and other | 15 | 8 | -7 |
OPERATING RESULT | 138 | 139 | 1 |
Income from asset disposals | 0 | 4 | 4 |
Result of value adjustments | -44 | 21 | 65 |
Income from the sale of securities | 0 | 0 | 0 |
Result of changes in scope | -2 | -1 | 1 |
OPERATING INCOME | 92 | 162 | 71 |
Cost of net financial debt | -31 | -30 | 1 |
Interest expense on rental liabilities | -8 | -8 | 0 |
Value adjustment of derivative instruments | 8 | 21 | 13 |
Discounting and exchange result | 0 | 0 | 0 |
Early amortization of loan issue costs | 0 | -1 | -1 |
Share of profit of companies accounted for using the equity method | 5 | 9 | 4 |
NET INCOME BEFORE TAX | 66 | 154 | 87 |
Deferred taxes | 2 | -6 | -8 |
Corporate taxes | -6 | -6 | 1 |
NET INCOME FOR THE PERIOD | 62 | 142 | 80 |
Minority interests | 0 | -9 | -9 |
NET INCOME FOR THE PERIOD - GROUP SHARE | 62 | 133 | 71 |
- Glossary:
1) Definition of the acronyms and abbreviations used:
GS: Group share
Chg: Change
LfL: Like-for-Like scope
2) Firm residual term of leases
Average outstanding period remaining of a lease calculated from the date a tenant first takes up an exit option.
3) Triple net lease
Lease contract reached between a landlord and a tenant. A "triple net" lease means a lease for which all the taxes and expenses (work. maintenance) related to proper functioning of the building are at the expense of the tenant.
4) Loan To Value (LTV)
Calculation of the LTV is detailed in the Appendices.
5) Rental income
Recorded rent corresponds to gross rental income accounted for over the year by taking into account the deferment of any relief granted to tenants. in accordance with IFRS standards.
The like-for-like rental income posted allows comparisons to be made between rental income from one year to the next. before taking changes to the portfolio (e.g. acquisitions. disposals. building works and development deliveries) into account. This indicator is based on assets in operation. i.e. properties leased or available for rent and actively marketed.
6) EBITDA (Earnings before Interest. Taxes. Depreciation and Amortisation):
This is gross operating income after rent. The calculation can be described in the following manner:
(+) Total revenues (revenues)
(-) Purchases and External Expenses
(-) Personnel Expenses
= EBITDAR
(-) Rental income
= EBITDA
7) EBITDAR Margin:
EBITDAR corresponds to the gross operating income before rent. It is used to compare companies with different ownership policies.
The EBITDAR margin corresponds to the following calculation: EBITDAR / Total rental income The level of operating profits of hotels varies depending on the hotel category.
8) Portfolio
The portfolio presented includes investment properties and properties under development. as well as operating properties and properties in inventory for each of the entities. stated at their fair value.
9) Yield
The portfolio returns are calculated according to the following formula:
Annualised gross rental income
Value excluding duties on the scope in question
10) Average annual rate of debt
Financial cost of bank debt for the period
+ Financial cost of hedges for the period
Average used financial net debt outstanding in the year
11) Occupancy rate
The occupancy rate corresponds to the spot financial occupancy rate at the end of the period and is calculated using the following formula:
1 - Loss of rental income through vacancies (calculated at MRV) Rental income of occupied assets + loss of rental income
This indicator is calculated solely for properties on which asset management work has been done and therefore does not include assets available under pre-leasing agreements. Occupancy rate are calculated using annualized data solely on the strategic activities portfolio.
12) Like-for-like change in rent
This indicator compares rents recognised from one financial year to another without accounting for changes in scope: acquisitions. disposals. developments including the vacating and delivery of properties. The change is calculated on the basis of rental income under IFRS for strategic activities.
On hotel operating properties. the change in constant scope is calculated based on EBITDA.
Restatement done:
▪ Deconsolidation of acquisitions and disposals realised on the N and N-1 periods ▪ Restatements of assets undergoing work. i.e.:
o Restatement of assets released for work (realised on N and N-1 years) o Restatement of deliveries of under-work assets (realised on N and N-1 years).
13) Like-for-like change in value
This indicator is used to compare asset values from one financial year to another without accounting for changes in scope: acquisitions. disposals. works. developments including the vacating and delivery of properties.
Restatement done:
▪ Deconsolidation of acquisitions and disposals realised during the period
▪ Restatement of work realised on assets during period N (including assets under developpement).