Carmila (CARM) H1 2024 earnings summary

Executive summary

• Delivered strong operating performance in H1 2024, with robust leasing activity (490–500 new leases signed) and stable appraisal values at €5.9 billion.

• Closed the acquisition of 93% of Galimmo SCA, adding €675m in assets and 52 centers in northeast France, at a significant discount to book value; transaction is immediately accretive to net asset value and earnings.

• Revised up recurring EPS guidance to €1.65 for 2024, reflecting strong H1 results and Galimmo's contribution.

• Announced and/or completed two €10 million share buybacks in 2024.

• Strategic focus on innovation, value creation, urban transformation, and sustainability, with 46% CO2 emissions reduction since 2019 and net zero targeted by 2030.

Financial highlights

• Rent growth of +3.4% in H1 2024, in line with indexation; net rental income up 0.8% to €176.3m.

• Recurring earnings per share at €0.87, up 2.4% year-over-year in H1 2024.

• Portfolio value stable at €5.9bn at end-June 2024; net yield at 6.6%.

• Net debt increased to €2,213m; EPRA LTV at 38.0%, pro forma post-Galimmo at 39.7%.

• Specialty leasing revenue up 16% year-over-year to €7.9m.

Outlook and guidance

• Full-year recurring EPS guidance raised to €1.65, up 3.5% versus 2023, integrating Galimmo's contribution.

• Galimmo expected to contribute 1.5–3% to EPS in H2 2024, with full 3% annualized impact from 2025; synergies of €5m to start in 2025.

• LTV target maintained below 40% (including transfer taxes) for 2024–2026.

• Continued focus on agile restructuring projects, specialty leasing, and innovation to drive future growth.