URW - Analysis, page-17

Earnings €9.62. Distribution reinstated at €2.5 to be paid in May.
2024 AREPS forecasted to be in the range of €9.65 to €9.80

2023 in review:

• Tenant sales up +6.4% and footfall up +4.9%
• Shopping Centre vacancy back to 2019 level at 5.4%, 110 bps improvement vs. 2022
• €449 Mn of Minimum Guaranteed Rent (MGR) signed (+7% vs. 2022), at an uplift on top of indexed passing rent of +6.8% including +10.6% on long-term deals
• Shopping Centres Net Rental Income up +8.0%⁴ on like-for-like basis
• Westfield Rise, URW’s retail media business, up +17.4% on a net margin basis⁵
• Offices & Others Net Rental Income up +22.1% on like-for-like basis, reflecting leasing progress at Trinity (96% occupancy rate) with an average rent of €564/sqm/year
• 2023 EBITDA at €2,199 Mn, back to 2019 level on a like-for-like basis
• €1.0 Bn⁶ in asset disposals in Europe and the US leading to a total contribution to net debt reduction from disposals of €5.1 Bn⁶ since 2021
• 2023 IFRS Net Financial Debt reduced by -€950 Mn to €19.8 Bn⁷
• €13.6 Bn⁸ of liquidity covering more than 36 months of refinancing needs
• c. 90% of committed pipeline to be delivered in 2024 including 172,200 sqm mixed-use project Westfield Hamburg-Überseequartier, opening on April 25, 2024
• Proposed cash distribution of €2.50 per share, to be approved by the AGM on April 30 and paid on May 16, 2024
• 2024 AREPS guidance of €9.65 - €9.80 reflects consistent underlying operational performance