Frey (FREY) H2 2024 earnings summary

Executive summary

• Achieved another year of strong growth, with a strategic pivot toward the outlet market and continued pan-European expansion.

• 2024 profit from recurring operations rose 28.1% to €107.9m, with net income Group share up 112.1% to €40.0m year-over-year.

• Acquired ROS, a top 5 European outlet manager, and launched Malmö Designer Village in Sweden, with a €230m commitment for Designer Outlet Berlin.

• Disposed of €224m in assets to optimize the portfolio and reinforce investment capacity.

• Secured €550m in new financing, extending debt maturity and diversifying funding sources.

Financial highlights

• Economic portfolio value reached €2.1bn, up 1.0% year-over-year.

• Gross rental income rose to €135.7m, up 19.6% year-over-year; like-for-like growth was 5.4%.

• Profit from recurring operations increased 28.1% to €107.9m.

• EPRA NTA NAV per share grew 3.1% to €33.6.

• Proposed dividend per share up 5.6% to €1.90.

Outlook and guidance

• Embedded growth for 2025 with a €628m development pipeline.

• Two major projects (Malmö Designer Village and Shopping Promenade Lleida) set to open in H1 2027, expected to generate over €20m in rent.

• Continued focus on outlet strategy, including the acquisition of Designer Outlet Berlin, expected to positively impact 2025 results.

• FREY expects resilient organic growth, supported by low occupancy cost ratio and promising markets.

• Asset rotation and focus on large centres to continue.