VITURA: A Resilient Portfolio With Solid Fundamentals

July 23, 2021 3:11 AM EDT

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PARIS--(BUSINESS WIRE)-- Regulatory News:

VITURA (Paris: VTR):

First-half 2021 key figures

In millions of euros

June 30, 2021

June 30, 2020

Change

Rental income (IFRS)

30.1

31.6

-4.7%

EPRA earnings

18.9

19.8

-4.4%

Portfolio (excl. transfer duties)

1,455

1,460

-0.4%

LTV ratio

52.6%

52.6%

0 pts

EPRA NAV per share excluding transfer duties (in €)

44.1

44.1

-0.1%

EPRA NNNAV per share excluding transfer duties (in €)

43.9

43.7

+0.4%

Dividend per share (in €)

2.0

0.75

+167%

Sustained asset management despite the health crisis

Despite the continued negative impacts of the health crisis in the first few months of 2021, leases were signed or renewed on more than 15,000 sq.m., i.e., 8% of the portfolio's total surface area, during the first six months of the year. The Europlaza tower will welcome two new tenants taking up 1,000 sq.m and Crédit Foncier de France will continue to occupy half of the office space in the Rives de Bercy building, having extended its lease for a further year until December 31, 2022. These leases will come into effect in the second half of 2021.

Vitura constantly strives to meet the needs and expectations of its tenants more effectively. That's why it is continuing to pursue investment programs across the portfolio, following the successful repositioning of the Europlaza tower. All of Vitura's assets offer key features such as ultra-modern services, shared indoor spaces redesigned as informal living areas where tenants can meet and interact, gardens and adaptable office space.

Supported by the Group's strong asset management strategy and the different assets' overall performance, the portfolio value increased by €6.3m or 0.4% in six months, from €1,448 million excluding transfer duties at December 31, 2020 to €1,455 million excluding transfer duties at June 30, 2021.

Solid results

In first-half 2021, Vitura maintained a high level of rental income, totaling €30.1 million. The 4.7% decrease compared with first-half 2020 is mainly due to the early departure of Hewlett Packard in 2020 from Arcs de Seine in Boulogne-Billancourt and of Vinci from the Hanami campus in

Rueil-Malmaison. The termination indemnities received in 2020 and 2021 helped to offset this loss of rental income.

These departures, for which the Group was prepared, bring the portfolio's occupancy rate to 87.2% at June 30, 2021, compared with 90.1% at December 31, 2020.

The Group recorded EPRA earnings of €18.9 million during the period, further demonstrating the Company's sound management. The 4.4% decline compared with first-half 2020 was attributable to higher expenses on vacant premises in 2021 compared with 2020.

The Group collected 100% of rents and charges for first-half 2021, buoyed by its pure-player positioning in the office real estate segment and its tenants’ financial solidity.

Consolidated debt stood at €766 million at June 30, 2021, representing a loan-to-value ratio of 52.6%, on a par with June 30, 2020.

EPRA NNNAV stood at €697.5 million or €44.1 per share at end-June 2021, compared with €704.5 million or €44.3 per share at December 31, 2020. This decrease mainly reflects consolidated earnings (positive €18.9 million impact), the change in portfolio value (positive €4.5 million impact), and the dividend payout (negative €31.8 million impact).

A strategy built on trust-based relationships

Vitura's priority is to forge relationships based on trust and long-term partnership with its stakeholders. This is reflected in the satisfaction and loyalty of solid, creditworthy first-class businesses, placing it in a leading position among real estate investors. Over the last four years, more than 56% of leases have been renewed and, in 2020, 90% of tenants at its properties reported that they were satisfied with their workplace, in particular with regard to comfort and well-being.

Vitura is constantly in pursuit of greater agility and flexibility, driven by the belief that every situation and every business is unique. The Company’s capacity to regularly upgrade its services and properties and to provide personalized services to its tenants allows it to look to the future with confidence, as it continues to reinvent the workplace of tomorrow.

A solid operating performance

On May 19, 2021, the Company paid a dividend of EUR 2.0 per share, demonstrating its stability and operating performance.

Investor Calendar

  • November 10, 2021: Third-quarter 2021 revenue

About Vitura

Created in 2006, Vitura (formerly Cegereal) is a listed real estate company that invests in prime office properties in Paris and Greater Paris. The total value of the portfolio was estimated at €1,455 million at June 30, 2021 (excluding transfer duties). Thanks to its strong commitment to sustainable development, Vitura was named a Global Sector Leader in the 2020 Global Real Estate Sustainability Benchmark’s (GRESB) listed office property companies category and received two Gold Awards from the European Public Real Estate Association (EPRA) for the quality and transparency of its financial and non-financial reporting. Its entire portfolio has achieved NF HQETM Exploitation and BREEAM In-Use International certification. Vitura is a REIT listed on Euronext Paris since 2006, in compartment B (ISIN: FR0010309096). The Company had a market capitalization of €592 million at July 22, 2021.

Visit our new website to find out more: www.vitura.fr

APPENDICES

IFRS Income Statement (consolidated)

In thousands of euros, except per share data

 

June 30,
2021

December 31,
2020

June 30,
2020

 

6 months

12 months

6 months

 

 

 

 

Rental income

30,070

63,032

31,567

Income from other services

14,487

21,845

13,211

Building-related costs

(14,514)

(21,552)

(19,938)

Net rental income

30,043

63,324

24,841

 

 

 

 

Sale of building

 

 

0

Administrative expenses

(7,315)

(8,983)

(1,774)

Other operating expenses

(148)

(61)

(6)

Other operating income

0

600

624

Increase in fair value of investment property

11,024

29,129

10,688

Decrease in fair value of investment property

(6,553)

(55,103)

(19,065)

Total change in fair value of investment property

4,472

(25,974)

(8,377)

 

 

 

 

Net operating income

27,052

28,906

15,307

 

Financial income

191

230

0

Financial expenses

(6,405)

(13,042)

(6,362)

Net financial expense

(6,214)

(12,812)

(6,362)

 

 

 

 

Corporate income tax

0

0

0

 

 

 

 

CONSOLIDATED NET INCOME

20,838

16,094

8,945

of which attributable to owners of the Company

20,838

16,094

8,945

of which attributable to non-controlling interests

0

0

0

 

 

 

Other comprehensive income

 

 

 

 

TOTAL COMPREHENSIVE INCOME

20,838

16,094

8,945

of which attributable to owners of the Company

20,838

16,094

8,945

of which attributable to non-controlling interests

0

0

0

 

 

Basic earnings per share (in euros)

1.31

1.01

0.56

Diluted earnings per share (in euros)

1.28

0.98

0.54

 

IFRS Balance Sheet (consolidated)

In thousands of euros

 

June 30,
2021

December 31,
2020

June 30,
2020

 

Non-current assets

 

Property, plant and equipment

19

25

31

Investment property

1,454,490

1,448,170

1,460,380

Non-current loans and receivables

15,330

17,780

20,220

Financial instruments

3

8

38

Total non-current assets

1,469,842

1,465,983

1,480,669

 

 

 

Current assets

 

 

 

 

 

Trade accounts receivable

17,491

11,474

14,595

Other operating receivables

13,322

11,459

12,955

Prepaid expenses

239

366

188

Total receivables

31,052

23,299

27,738

 

 

 

Cash and cash equivalents

40,087

62,836

47,062

Total cash and cash equivalents

40,087

62,836

47,062

 

 

 

Total current assets

71,139

86,135

74,800

TOTAL ASSETS

1,540,981

1,552,118

1,555,469

 

Shareholders’ equity

 

Share capital

60,444

60,444

79,532

Legal reserve and additional paid-in capital

41,134

74,206

55,118

Retained earnings

600,603

583,574

583,645

Net income for the period

20,838

16,094

8,945

Total shareholders’ equity

723,020

734,318

727,240

 

 

 

 

Non-current liabilities

 

 

 

 

 

 

 

Non-current borrowings

669,648

671,322

763,883

Other non-current borrowings and debt

7,936

8,585

11,117

Financial instruments

0

658

637

Total non-current liabilities

677,584

680,565

775,637

 

 

 

 

Current liabilities

 

 

 

 

 

 

 

Current borrowings

97,972

96,821

3,871

Trade accounts payable

718

0

0

Other operating liabilities

12,838

10,056

14,920

Prepaid revenue

10,607

8,916

12,427

Total current liabilities

18,242

21,442

21,375

 

140,377

137,235

52,593

 

 

 

 

Total liabilities

817,961

817,800

828,229

TOTAL SHAREHOLDERS’ EQUITY AND LIABILITIES

1,540,981

1,552,118

1,555,469

IFRS Statement of Cash Flows (consolidated)

In thousands of euros

 

 

 

 

June 30,
2021

December 31,
2020

June 30,
2020

 

 

 

 

OPERATING ACTIVITIES

Consolidated net income

20,838

16,094

8,945

 

 

 

Elimination of items related to the valuation of buildings:

 

 

 

Fair value adjustments to investment property

(4,472)

25,974

8,377

 

 

 

Elimination of other income/expense items with no cash impact:

 

 

 

Depreciation of property, plant and equipment (excluding investment property)

6

13

6

Free share grants not vested at the reporting date

0

0

0

Fair value of financial instruments (share subscription warrants, interest rate caps and swaps)

65

2

(65)

Adjustments for loans at amortized cost

1,016

2,265

1,151

Contingency and loss provisions

0

0

0

Taxes

0

0

0

 

 

Cash flows from operations before tax and changes in working capital requirements

17,454

44,347

18,414

 

Other changes in working capital requirements

(2,624)

(1,708)

1,155

Working capital adjustments to reflect changes in the scope of consolidation

 

 

 

 

 

Change in working capital requirements

(2,624)

(1,708)

1,155

 

Net cash flows from operating activities

14,830

42,639

19,569

 

 

 

INVESTING ACTIVITIES

 

 

 

Acquisition of fixed assets

(1,848)

(10,224)

(4,837)

Net increase in amounts due to fixed asset suppliers

(1,405)

650

(785)

 

 

 

Net cash flows used in investing activities

(3,253)

(9,573)

(5,622)

 

FINANCING ACTIVITIES

Capital increase

0

0

0

Change in bank debt

(1,493)

(1,500)

(750)

Refinancing/financing transaction costs

(51)

(102)

(51)

Net increase in liability in respect of refinancing

0

0

0

Net increase in current borrowings

3

38

(22)

Net decrease in current borrowings

0

0

0

Net increase in non-current borrowings and debt

(649)

(1,502)

1,030

Net decrease in other non-current borrowings and debt

0

0

0

Purchases and sales of treasury shares

(366)

(124)

(53)

Dividends paid

(31,770)

(11,919)

(11,919)

 

 

 

Net cash flows used in financing activities

(34,325)

(15,110)

(11,766)

 

 

 

Change in cash and cash equivalents

(22,748)

17,956

2,182

 

 

 

Cash and cash equivalents at beginning of period*

62,836

44,880

44,880

 

 

 

CASH AND CASH EQUIVALENTS AT END OF PERIOD

40,087

62,836

47,062

* There were no cash liabilities for any of the periods presented above.

 

Reconciliation of Alternative Performance Measures (APM)

EPRA Earnings APM

 

In thousands of euros

June 30, 2021

June 30, 2020

Net income under IFRS

20,838

8,945

Fair value adjustments to investment property

(4,472)

8,377

Other adjustments for changes in fair value

65

(49)

Adjustment for other fees

2,500

2,533

EPRA earnings

18,932

19,807

 

 

EPRA NNNAV APM

 

In thousands of euros

June 30, 2021

June 30, 2020

Shareholders’ equity under IFRS

723,020

727,240

Portion of rent-free periods

(24,233)

(27,200)

Market value of loans

(766,696)

(770,647)

Carrying amount of loans

765,403

765,617

NNNAV PER SHARE

697,493

695,010

 

LTV ratio APM

 

In thousands of euros

June 30, 2021

June 30, 2020

Gross amount of balance sheet loans (statutory financial statements)

766

768

Fair value of investment property

1,455

1,460

LTV ratio (%)

52.6%

52.6%

 

Occupancy rate APM

 

The occupancy rate is the ratio of space for which the Company receives rent under a lease agreement to the total amount of available space.

 

For more information, contact:
Investor relations
Charlotte de Laroche
+33 1 42 25 76 42
info@vitura.fr

Media relations
Alienor Miens/Marion Bouchut
+33 6 34 45 34 09
marion.bouchut@havas.com

Source: VITURA



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