Gecina (GFC) H1 2024 earnings summary

Executive summary

• Recurring net income per share rose 8.4% in H1 2024, marking the third consecutive year of growth, with guidance for 2024 reiterated at €6.35–€6.40 per share.

• Portfolio valuation stabilized (+0.2% like-for-like), supported by strong rental growth in central locations and stable yields.

• Balance sheet remains robust with stable LTV at 35%, improved net debt aging, and €4.1bn liquidity covering maturities through 2028.

• Strategic focus on central locations, operational outperformance in both office and residential segments, and high occupancy rates.

• ESG achievements include a 3.4% energy reduction in H1 2024, full portfolio CSR certification, and top ESG ratings.

Financial highlights

• Recurring net income per share increased to €3.18–€3.2 (+8.4% YoY); Group share RNI at €235.1m (+8.6%).

• Like-for-like rental growth reached 6.3% in H1, with offices at 6.5% and residential at 5.4%.

• Gross rental income up 3.1% to €343.1m; net rental income up 3.9% to €313.1m.

• EBITDA margin improved by 70bp; net financial expenses decreased by €8m and down 17.1% to €39.4m.

• NAV NTA at €142.1 per share (-1% in six months); interim dividend of €2.65 per share paid.

Outlook and guidance

• 2024 guidance confirmed: recurrent net income per share expected to grow 5.5%–6.5%, at €6.35–€6.40.

• Confidence in achieving year-end guidance, supported by leasing activity and pipeline deliveries.

• Pipeline expected to deliver €100–120m additional annualized rents by 2027/28.

• Focus on operated residential and office supply to drive organic outperformance.