Icade (ICAD) Q3 2024 earnings summary

Executive summary

• Rental activity remained strong with 51,000 sq m signed or renewed in Q3, totaling 107,000 sq m YTD, and like-for-like rental income up 3.6% driven by indexation.

• Property development orders increased 9.6% year-over-year, with improved residential sales but ongoing market uncertainty.

• Asset disposals, including offices and Marseille assets, were completed above appraised value, confirming portfolio quality.

• Group Net Current Cash Flow (NCCF) for 2024 is expected towards the top of the €3.55–3.70 per share guidance range.

• Financial occupancy rate at 86.6%, with well-positioned offices above 90%.

Financial highlights

• Total IFRS revenue stable at €1,014.8m for the first nine months, with property rental income up 3.1% to €280.1m.

• Like-for-like rental growth in Property Investment was 3.6%, mainly due to indexation.

• Economic revenue from Property Development at €829m, down 1.7% year-over-year, with residential up and commercial down.

• Residential segment revenue up €35m, commercial segment down €56m due to prior year one-off sale.

• Consolidated revenue from Property Development at €723.2m, down 1.1% year-over-year.

Outlook and guidance

• 2024 group NCCF expected towards the top of €3.55–€3.70 per share guidance range, with strategic operations at the top of €2.75–€2.90 and discontinued operations at ~€0.80 per share.

• Guidance unchanged since July 2024.

• Cautious outlook for property development due to market and regulatory uncertainties.