NEPI ROCKCASTLE (NRP) Q2 2024 earnings summary

Executive summary

• Achieved record H1 2024 results with NOI up 13.5% to €274 million and distributable EPS up 5.6% to 30.12 eurocents, driven by strong retail performance, high occupancy, and resilient tenant sales across a CEE portfolio spanning 59 assets in nine countries, with Poland and Romania as key markets.

• Strategic focus on asset rotation, acquisitions, and expansion of green energy and selective residential development underpins future growth.

Financial highlights

• NOI increased by 13.5% year-over-year to €274 million; like-for-like NOI up 10%.

• Distributable earnings per share rose 5.6% to 30.12 eurocents; total distributable earnings reached €199 million.

• Investment property value surpassed €7 billion, with a €134 million fair value gain (+2% vs. Dec 2023).

• Dividend yield at 8% for H1 2024, with 90% payout ratio and 27.11 eurocents per share distributed.

• EPRA NAV per share up 3.6% to €7.23; share price up 24.9% year-over-year to €6.72.

Outlook and guidance

• Full-year distributable EPS growth guidance raised from 4% to 5.5% due to strong operational performance and purchasing power.

• Majority of €870 million development pipeline to be delivered by end of 2026, with new income streams from energy projects.

• Guidance assumes current trading trends continue and excludes major macroeconomic shocks or escalation of geopolitical risks.

• Focus on organic NOI growth, strategic acquisitions, asset rotation, and green energy expansion.

• Confident in further growth, supported by robust balance sheet and strong liquidity position.