Care Property Invest (CPINV) H1 2024 earnings summary

Executive summary

• Rental income rose 6.3% year-over-year to €34.3 million for H1 2024, with 100% occupancy and a 99.8% rent collection rate.

• Adjusted EPRA earnings increased 6.7% to €19.9 million (€0.54/share), driven by new investments and indexation.

• Net result surged to €25.7 million from €3.4 million, mainly due to positive fair value changes in financial instruments.

• Portfolio expanded with new and completed projects in the Netherlands, Spain, and Ireland; inclusion in FTSE EPRA Nareit indices enhances visibility.

• Guidance for 2024 raised: adjusted EPRA EPS at least €1.025, DPS maintained at €1.00.

Financial highlights

• Rental income: €34.3 million (+6.3% year-over-year); net result: €25.7 million (vs. €3.4 million in H1 2023).

• Adjusted EPRA earnings: €19.9 million (€0.54/share, +6.7% year-over-year).

• Operating margin improved to 84.3% (from 78.5%); EBITDA: €29.7 million.

• Fair value of real estate portfolio: €1,246.6 million; market capitalisation: €488.3 million.

• EPRA LTV: 46.36%; cost of debt: 3.36%; hedge ratio: 84.4%.

Outlook and guidance

• 2024 rental income expected at €69.5 million (+5% vs. 2023); adjusted EPRA EPS guidance raised to at least €1.025.

• Gross dividend per share maintained at €1.00 (net €0.85), with a yield of 7.58% as of 30 June 2024.

• Debt ratio expected to decrease in H2 2024 as seasonal dividend effects subside.

• Sufficient headroom for further investments before reaching strategic debt ratio cap of 50%.