REG-Aroundtown SA Aroundtown SA announces strong FY 2024 results supported by operational growth

Aroundtown SAAnnouncement

26/03/2025 06:00

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Aroundtown SA (IRSH)
Aroundtown SA announces strong FY 2024 results supported by operational growth

26-March-2025 / 06:57 CET/CEST
The issuer is solely responsible for the content of this announcement.

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THIS ANNOUNCEMENT IS NOT  FOR RELEASE, PUBLICATION  OR DISTRIBUTION, DIRECTLY  OR INDIRECTLY, IN  OR INTO THE  UNITED
STATES, AUSTRALIA, CANADA, JAPAN, SOUTH AFRICA OR ANY OTHER JURISDICTION WHERE TO DO SO WOULD CONSTITUTE A  VIOLATION
OF APPLICABLE LAWS OR REGULATIONS

                     AROUNDTOWN ANNOUNCES STRONG FY 2024 RESULTS SUPPORTED BY OPERATIONAL GROWTH

  • Top range of FY 24 guidance achieved.
  • Net rental income of €1.18 billion in 2024, 1% lower compared to €1.19 billion in 2023 as a result of  disposals,
    offset by robust operational growth reflected by 2.9% like-for-like rental growth.
  • Adjusted EBITDA amounted to €1.01 billion in 2024, up 1% compared to 2023 and despite lower net rental income.
  • FFO I amounted to €316 million and €0.29 per share in 2024, lower compared to €332 million and €0.30 per share in
    2023 due to disposals and higher perpetual note attribution.
  • Property values recovery started in H2 2024, offsetting most of H1 2024 revaluation loss, resulting in a
    revaluation loss of €127million for FY 2024, reflecting a net like-for-like devaluation of -0.5%.
  • Net profit for the year turns positive  and amounted to €309 million in 2024,  as compared to a net loss of  €2.4
    billion in 2023, driven by strong operational performance and stabilized values.
  • Disposals completed amounted to €740 million at book values strengthening balance sheet.
  • Pro-active liability management, including bond buybacks, redemptions  and bank loan repayments in the amount  of
    €1.3 billion.
  • LTV reduced to 42% compared to 43% in December 2023. ICR of 4.0x, and unencumbered assets of €16.9 billion
    (representing 71% of total rent) as of year-end 2024.
  • EPRA NTA of €8.2 billion and €7.4 per share as of December 2024, compared to €8.1 billion and €7.4 per share as
    of December 2023.
  • Further progress in green building certifications: 65% of office portfolio and 30% of total hotel portfolio are
    green certified
  • FY 2025 FFO I guidance published in the range of €280 million to €310 million

26 March 2025.

Aroundtown (‘the Company’  or ‘AT’) announces  results for the  year 2024 achieving  top range of  the guidance.  The
Company recorded net rental income of €1.18 billion in 2024, lower by 1% compared to 2023, as a result of  disposals,
which were offset by the Company’s solid operational  results. AT recorded like-for-like rental growth of 2.9%,  with
strong contribution  from the  residential and  hotel portfolios  and which  together comprise  the majority  of  the
portfolio at 56%. Adjusted EBITDA increased by 1% compared to 2023, amounting to €1.01 billion. The Company generated
an FFO I  of €316 million  and €0.29  per share, lower  by 5% and  3% respectively  compared to 2023,  mainly due  to
disposals and  higher perpetual  notes attribution.  AT published  guidance for  2025, with  FFO I  in the  range  of
€280-€310 million, reflecting €0.26-€0.28 per share.

SUCCESSFUL RETURN TO CAPITAL MARKETS

2024 marked Aroundtown’s successful return to the capital markets. The Group launched successful exchange and  tender
offers to holders  of its  perpetual notes,  with a  combined acceptance  rate of  ca. 85%  and €2.6  billion of  new
perpetual notes were issued. The Group also issued its first bonds since 2021 across two transactions, a €650 million
bond issued by AT and a  €500 million bond by GCP, attracting  strong investor demand from leading global  investors.
The proceeds of the bond issuances have been utilized to repay near-term debt, extending the debt maturity profile.

PROACTIVE BALANCE SHEET MANAGEMENT STRENGTHENING FINANCIAL POSITION

AT continued to  reduce leverage  and strengthen  its balance sheet  and liquidity.  The Company  continued with  its
disposal activity and repaid €1.3  billion of debt. The Company  was also able to reduce  the nominal balance of  the
perpetual notes by ca. €300 million, thereby reducing future coupon payments. AT strengthened the liquidity  position
further by signing €360 million of bank debt.

The full  portfolio was  revalued by  independent external  appraisers for  the 2024  annual report,  resulting in  a
like-for-like revaluation loss of  0.5%, compared to  a like-for-like revaluation  loss of 11%  in 2023. The  Company
recorded like-for-like value increase  of 1.9% for  H2 2024, compared to  June 2024, thereby  offsetting most of  the
negative revaluation recorded in the first half of the year. The revaluation result is driven by the stabilization of
rental yields, while operational growth continued to be strong. As a combined impact of stabilized valuations and the
executed measures to strengthen the balance sheet,  AT had an LTV of 42% as  of December 2024, lower compared to  43%
recorded in December 2023 and decreasing from 45% in June 2024.

Although AT has  strengthened its  balance sheet,  which significantly improved  its credit  rating metrics,  further
improvements are needed  in order  to stabilize the  Company’s credit  rating. Accordingly, the  decision whether  to
recommend a dividend distribution for 2024 has yet to be made and will be given before the AGM in June 2025.

CONTINUED PROGRESS IN ESG INITIATIVES AND OBTAINING GREEN BUILDING CERTIFICATIONS

Aroundtown continued to  advance its ESG  initiatives. Further  progress has been  made in the  certification of  the
portfolio. The level of certification for the office portfolio  increased to 65%, up from 36% last year. The  Company
has also started certifying its hotel portfolio, applying insights from its office certification process, with 30% of
hotels now certified. Aroundtown plans to  further expand the number of  certified properties in the coming  periods.
Efforts to improve energy efficiency continued, including the  installation of solar panels and heating upgrades.  EV
charging stations are  also being  installed across the  portfolio. The  Company also invested  in energy  efficiency
measures, such as upgrading roofs, facades, windows, and lighting. On the social front, Aroundtown supported over 100
community and  charity projects.  In governance,  the Company  strengthened policies,  processes, and  sustainability
reporting, leading to  recognition through  multiple awards and  inclusion in  indices such as  MDAX ESG+,  Bloomberg
Gender Equality Index, and the Dow Jones Sustainability Index Europe (DJSI Europe). The inclusion in the DJSI  Europe
is connected to scoring  by S&P’s CSA, which  ranks AT in the  top 5^th percentile among  peer grouping. AT was  also
included in the Sustainalytics 2025 ESG Top-Rated Companies list, ranking the Company in the top 4%. Furthermore,  AT
was  also  included  in  the  S&P  Global  Sustainability  Yearbook  2025  reflecting  the  Company’s  commitment  to
sustainability. Aroundtown also received the EPRA BPR Gold award for the 8^th consecutive time and the EPRA sBPR Gold
award for  the 7^th  consecutive time  for financial  transparency. Further  details on  sustainability measures  are
available in the FY 2024 Consolidated Report, which integrates non-financial and financial reporting.

The Consolidated Report for FY 2024 is available on the Company’s website:

 1 https://www.aroundtown.de/investor-relations/publications/financial-reports/   

For definitions and reconciliations of the Alternative Performance Measures, please see the relevant sections in  the
pages 188-196 of  the Consolidated Report  for FY 2024.  You can  find the Consolidated  Report for FY  2024 on  AT’s
website under Investor Relations > Publications > Financial Reports or under this link:

 2 https://www.aroundtown.de/aroundtown.de/Data_Objects/Downloads/Financial_Reports/FY_2024_Financials/AT_FY_2024.pdf

About the Company

Aroundtown SA (symbol: AT1), trading on the Prime Standard of the Frankfurt Stock Exchange, is the largest listed and
highest rated (BBB+ by S&P)  German commercial real estate company.  Aroundtown invests in income generating  quality
properties with value-add potential in central locations in top tier European cities mainly in Germany/NL.

Aroundtown SA (ISIN: LU1673108939) is a public limited liability company (société anonyme) established under the laws
of the Grand Duchy of Luxembourg, registered with  the Luxembourg Trade and Companies Register (Registre de  Commerce
et des Sociétés, Luxembourg) under number  B217868, having its registered office  at 37, Boulevard Joseph II,  L-1840
Luxembourg, Grand Duchy of Luxembourg.

Contact

Timothy Wright

T: +352 288 313

E:  3 info@aroundtown.de

 4 www.aroundtown.de

 

DISCLAIMER

THIS ANNOUNCEMENT DOES NOT CONSTITUTE AN OFFER TO SELL OR THE SOLICITATION OF AN OFFER TO BUY ANY SECURITIES.

THE SECURITIES MENTIONED IN  THIS ANNOUNCEMENT HAVE  NOT BEEN, AND WILL  NOT BE, REGISTERED  UNDER THE UNITED  STATES
SECURITIES ACT OF 1933, AS AMENDED (THE SECURITIES ACT), AND  MAY NOT BE OFFERED OR SOLD IN THE UNITED STATES  ABSENT
REGISTRATION OR AN EXEMPTION  FROM REGISTRATION UNDER  THE SECURITIES ACT. THERE  WILL BE NO  PUBLIC OFFERING OF  THE
SECURITIES IN THE UNITED STATES.

THIS ANNOUNCEMENT  IS DIRECTED  AT AND  IS ONLY  BEING DISTRIBUTED  IN THE  UNITED KINGDOM  TO (I)  PERSONS WHO  HAVE
PROFESSIONAL EXPERIENCE IN MATTERS RELATING TO INVESTMENTS FALLING WITHIN ARTICLE 19(5) OF THE FINANCIAL SERVICES AND
MARKETS ACT 2000 (FINANCIAL PROMOTION)  ORDER 2005 (THE ORDER),  (II) HIGH NET WORTH  ENTITIES, AND OTHER PERSONS  TO
WHOM IT MAY OTHERWISE LAWFULLY BE COMMUNICATED FALLING WITHIN ARTICLE  49 OF THE ORDER, AND (III) PERSONS TO WHOM  IT
MAY OTHERWISE LAWFULLY  BE COMMUNICATED  (ALL SUCH  PERSONS TOGETHER  BEING REFERRED  TO AS  RELEVANT PERSONS).  THIS
COMMUNICATION MUST NOT BE  READ, ACTED ON OR  RELIED ON BY PERSONS  WHO ARE NOT RELEVANT  PERSONS. ANY INVESTMENT  OR
INVESTMENT ACTIVITY TO WHICH THIS ANNOUNCEMENT RELATES IS AVAILABLE  ONLY TO RELEVANT PERSONS AND WILL BE ENGAGED  IN
ONLY WITH RELEVANT PERSONS.

IN MEMBER STATES OF THE EUROPEAN ECONOMIC AREA (EEA) AND THE UNITED KINGDOM, THIS ANNOUNCEMENT AND ANY OFFER IF  MADE
SUBSEQUENTLY IS  DIRECTED ONLY  AT  PERSONS WHO  ARE “QUALIFIED  INVESTORS”  WITHIN THE  MEANING OF  REGULATION  (EU)
2017/1129, AS AMENDED (THE PROSPECTUS REGULATION) (QUALIFIED INVESTORS). ANY PERSON IN THE EEA OR THE UNITED  KINGDOM
WHO ACQUIRES THE SECURITIES IN ANY OFFER (AN INVESTOR) OR TO WHOM ANY OFFER OF THE SECURITIES IS MADE WILL BE  DEEMED
TO HAVE REPRESENTED AND AGREED THAT IT IS A QUALIFIED INVESTOR. ANY INVESTOR WILL ALSO BE DEEMED TO HAVE  REPRESENTED
AND AGREED THAT ANY SECURITIES ACQUIRED BY IT IN THE OFFER HAVE NOT BEEN ACQUIRED ON BEHALF OF PERSONS IN THE EEA  OR
THE UNITED KINGDOM OTHER THAN QUALIFIED INVESTORS, NOR HAVE  THE SECURITIES BEEN ACQUIRED WITH A VIEW TO THEIR  OFFER
OR RESALE IN THE EEA  OR THE UNITED KINGDOM TO  PERSONS WHERE THIS WOULD RESULT  IN A REQUIREMENT FOR PUBLICATION  BY
AROUNDTOWN OR ANY OF THE MANAGERS OF A PROSPECTUS PURSUANT TO ARTICLE 3 OF THE PROSPECTUS REGULATION.

THIS ANNOUNCEMENT MAY  CONTAIN PROJECTIONS  OR ESTIMATES  RELATING TO  PLANS AND  OBJECTIVES RELATING  TO OUR  FUTURE
OPERATIONS, PRODUCTS,  OR SERVICES,  FUTURE FINANCIAL  RESULTS, OR  ASSUMPTIONS UNDERLYING  OR RELATING  TO ANY  SUCH
STATEMENTS, EACH OF WHICH CONSTITUTES A FORWARD-LOOKING STATEMENT  SUBJECT TO RISKS AND UNCERTAINTIES, MANY OF  WHICH
ARE BEYOND THE CONTROL OF AROUNDTOWN SA. ACTUAL RESULTS COULD DIFFER MATERIALLY, DEPENDING ON A NUMBER OF FACTORS.

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Dissemination of a Regulatory Announcement, transmitted by EQS Group.
The issuer is solely responsible for the content of this announcement.

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   ISIN:           LU1673108939, LU1673108939, XS2114459550, XS1508392625,
                   XS1634523754, XS1752984440, XS2017788592, XS2027946610,
                   XS2055106210, XS2287744721, XS1586386739, XS1639847760,
                   XS1649193403, XS1700429308, XS1715306012, XS1753814141,
                   CH0398677689, XS1761721262, XS1815135352, AU3CB0252955,
                   CA04269KAA12, XS1879567144, XS1877353786, XS1901137106,
                   XS1905592546, CH0460054437, XS1961042915, XS1964701822,
                   XS1966277748, XS1980255779, XS1999746370, XS2023872174,
                   XS2023873149, XS2198981263, XS1843435501, XS2273810510,
                   XS2421195848, XS2799494120, XS2799493825, XS2812484728,
                   XS2812484215, XS2860457071
   Category Code:  ACS
   TIDM:           IRSH
   LEI Code:       529900H4DWG3KWMBMQ39
   OAM Categories: 1.1. Annual financial and audit reports
   Sequence No.:   380145
   EQS News ID:    2106360


    
   End of Announcement EQS News Service

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References

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