Société Foncière Lyonnaise (FLY) Q4 2024 earnings summary

Executive summary

• Portfolio value increased 3.3% to €7,571M after two years of decline, supported by central bank rate cuts and strong leasing performance.

• EPRA earnings rose 8.4% to €119.2M, with net profit at €206.9M, reversing a €638.8M loss in 2023.

• Announced merger project with Inmobiliaria Colonial to create a leading European prime office platform.

• High occupancy rates: 99.4% physical, 100% office; robust commercial activity and leasing performance.

• Strategic focus on Paris market and premium assets underpins resilience and value creation.

Financial highlights

• Rental income reached €254.2M (+7.1% at constant scope); revenue up 8.5% to €254.2M.

• Recurring net income per share: €2.78 (+8.3%); total net income: €206.9M (vs. -€638.8M in 2023).

• EPRA topped-up NIY stable at 3.8%; average office rent €811.2/m²/year (+5.5%).

• Adjusted operating profit increased 8.0% to €217.8M.

• Proposed dividend: €4.20 per share; board to recommend €2.85 per share at April 2025 AGM.

Outlook and guidance

• 2025 outlook includes continued value creation from development pipeline and ongoing merger process with Colonial.

• Legal and regulatory approvals pending for the merger, with completion targeted for H2 2025.

• Reversionary potential estimated at €65.8M per year, with pipeline properties representing 14% of the portfolio.

• Major redevelopment projects (Haussmann Saint-Augustin, Scope) scheduled for delivery in 2025 and 2026.