Unibail-Rodamco-Westfield (URW) H2 2024 earnings summary

Executive summary

• Achieved strong operational performance in 2024, with increased footfall and tenant sales in shopping centers, record occupancy since 2017, and robust leasing activity focused on high-value, long-term deals.

• Convention and exhibition segment delivered record results, up 66% year-over-year, boosted by the Paris Olympic and Paralympic Games.

• Completed or secured €1.6 billion of disposals at book value and acquired €0.6 billion of JV partner stakes at attractive terms.

• Full-year earnings exceeded guidance, with Adjusted Recurring EPS at €9.85 and a proposed 40% increase in cash distribution to €3.50 per share.

• Strategic decision made to retain high-performing US Flagship assets.

Financial highlights

• Group like-for-like net rental income (NRI) up 6.7% year-on-year; Net Rental Income rose 4.7% to €2,314 million.

• EBITDA grew 6.9% in total and 7% like-for-like, reaching €2,352 million.

• Recurring net result (Group Share) increased 4.5% to €1,472 million; Adjusted Recurring EPS at €9.85, up 2.4%.

• Cost of debt remained low at 2%, with average debt maturity of 7.3 years.

• Loan-to-value (LTV) ratio at its lowest since 2019, with a 100 basis points reduction in 2024; IFRS LTV at 40.8% pro forma.

Outlook and guidance

• Proposed cash distribution of €3.50 per share for 2024, a 40% increase.

• 2025 adjusted recurring EPS guidance set at €9.30–€9.50, reflecting at least 5% underlying growth.

• Growth drivers include strong retail performance, increased variable income, cost discipline, and positive impact from 2024–2025 project deliveries.

• Guidance factors in completed and secured disposals, a slight increase in cost of debt, and the one-off impact of the Olympics.