Sonae Sierra Results, 9M 2017

Page created: Thursday, 9 November 2017 14:24GMT

Press Release:  09 November 2017 - 6 Page(s)
Tags:
2017  Results  Sonae  Sonae Sierra

Sonae Sierra recorded a Net Profit of €77.8 million in the first nine months of 2017,
compared to the €92.6 million recorded in the same period of 2016. This 16% decrease is
mainly due to the lower Indirect Result, a consequence of the favourable impact of the
opening of ParkLake in 2016, partially compensated by the increase in Services’ margins
and by the Brazilian portfolio’s Direct Result.
Total EBIT reached €75.8 million, a 7% increase over the previous year.
The Direct Result rose to €45.2 million, an improvement of 12% compared to the first nine
months of 2016. This reflects higher EBIT across the portfolio in Europe and Brazil and
better Financial Results.
The Indirect Result, stood at €32.5 million, €19.8 million below the previous year’s first
nine months, mainly due to lower gains on sale of investments.
In operational terms, tenant sales grew by 7.8% overall in the European portfolio
compared to the same period of 2016. Romania recorded a significant growth influenced
by the successful opening of ParkLake, Spain and Portugal also increased 9% and 7%
respectively. Tenant sales in Brazil climbed steeply, rising 7.7% in Brazilian Real.
The global occupancy rate of the portfolio shifted down slightly to 95.6%, a fall of 0.8 p.p.
compared to the same period of 2016, due to small variations across the global portfolio.
However, in Europe, occupancy rates improved slightly to 97.2%, compared to 97.1%,
despite the acquisition of Area Sur in Spain with lower than average occupancy. In
Romania, occupancy climbed to 95.6%, compared to 93.3% a year before, also influenced
by the success of ParkLake. Brazil saw its unit-shop occupancy decline from 94.5 to 90.3%.
Total rents grew 8.9%, well above the same period in 2016, rising 9.8% in Europe and
5.8% in Brazil (in Brazilian Real), considerably above the average inflation rate of the
period in both markets.



Original title:  Sonae Sierra recorded a total Net Profit of €78 million in the first nine months of 2017