Net profit and FFO up by around 17%
FY 2018 GUIDANCE CONFIRMED AS A RESULT OF THE FIRST QUARTER PERFORMANCES
The results for first quarter 2018 point to a solid operating performance: the 6.0% increase in the core business EBITDA fueled a noticeable increase in the EBITDA margin which rose from the 70.7% recorded in the first quarter of the prior year to 71.4%. The EBITDA margin for freehold properties came to 80.4%.
The 17.4% rise in FFO is in line with the FFO guidance for FY 2018 of between +18 and +20% because, beginning 18 April 2018, the new assets included in the scope of consolidation will also be contributing to cash flow generation. The performance of FFO was driven by both the increase in EBITDA and the decline in financial expense with the cost of debt falling further to 2.75%, though average debt was basically unchanged compared to the first quarter of 2017.
Net financial debt amounted to €1,049.4 million at 31 March 2018, a decrease of €10.2 million with respect to 2017. Based on the independent appraisals made at the end of the year and the debt at the end of the quarter, the Loan-to-Value fell to 46.9%, largely below the 50% threshold needed to maintain the ‘investment grade’ rating of IGD’s debt.
| Core business Ebitda | €26.5 mn | +6.0% |
| Core business Ebitda margin | 71.4% | +70bps |
| Group Net Profit | €16.7 mn | +16.8% |
| Funds from Operations (FFO) | €18.3 mn | +17.4% |
| Loan to Value | 46.9% | < max. threshold of 50% |
| Net rental income | €29.0 mn | +6.0% |
