REG - Hammerson PLC - Trading, operational and rent collection update

HammersonAnnouncement

27/01/2022 07:00

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RNS Number : 7744Z  Hammerson PLC  27 January 2022

Hammerson plc ("Hammerson" or the "Group")

 27 January 2022

Trading, operational and rent collection update

Adjusted earnings

Further to our announcement on 2 December 2021, and following a period of
improved trading, Hammerson today announces that it now expects that FY21
adjusted earnings will be in the range of £75-80m(1), ahead of the minimum of
£60m previously indicated.   Gross rental income was ahead of expectations
across the Group's managed portfolio, whilst Value Retail delivered a
stronger-than-expected Q4 performance.

Footfall and sales

In the Group's managed portfolio, as government restrictions were reintroduced
during the key Christmas trading period, footfall in the UK and Ireland
softened marginally, whilst France remained resilient.  Overall, footfall
recovered strongly during the year, particularly when restrictions were eased,
with some destinations exceeding 2019 levels and consistently exceeding
national indices(2).  This trend has continued in 2022 to date.

UK sales remained strong around Christmas, at 97% of 2019 levels in November
and 93% in December; sales in France were 92% of 2019 levels in November and
93% in December.

Footfall at Value Retail in Q4 was just under 90% of comparable 2019 levels,
with brand sales approaching 95%, and spend per visit marginally ahead.

Rent Collections

FY20 Group rent collections stand at 97% of billable rent; FY21 collections
are at 88%.

Q1 22 collections to date are at 74% of billable rent.  As with the last two
quarters, the UK remains the strongest performer with 78% of rent collected,
Ireland stands at 75%, and France at 66%.  We expect collection rates to
continue to improve as we go through the quarter.

 Period   Total Demanded (£m)(3)   Total Waived, Written Off and Not Yet Due  Total Billable  Total Collected  Total Outstanding  Collected of Billable %

                                   (£m)                                       (£m)            (£m)             (£m)
 FY 2021  207                      18                                         189             167              22                 88
 Q1 22    42                       3                                          39              29               10                 74

This announcement has also been released on the SENS system of the
Johannesburg Stock Exchange and on Euronext Dublin.

ENDS

1.        The 2021 adjusted earnings benefits from net rental income
from disposals exchanged and completed, including the Retail Parks portfolio
and Silverburn, of c.£18m, and surrender premiums of c.£20m (2020: £3m).
The overwhelming majority of the surrendered space has been re-let or is in
planning for repurposing or redevelopment.

2.        Shoppertrak The Total Mall benchmarks

 

Enquiries

Hammerson Investor Contact

Josh Warren, Hammerson, Director of Strategy & Investor Relations

T: +44 20 7887 1053    E:  josh.warren@hammerson.com

 

Hammerson Media Contacts

FTI Consulting (for Hammerson)

 

Dido Laurimore

 

Tel: +44 20 3727 1000/ 0780 165 4424  E:  dido.laurimore@fticonsulting.com
(mailto:dido.laurimore@fticonsulting.com)

 

Notes to Editors

 

Hammerson

Hammerson creates vibrant, continually evolving spaces, in and around thriving
European cities, with a focus on prime urban estates and premium outlets.  As
at 30 June 2021, our portfolio of high-quality venues had a value of £5.5
billion and included 21 flagship destinations in thriving cities and
investments in premium outlet villages through our partnership with Value
Retail. Key venues include Bullring, Birmingham, Dundrum Town Centre, Dublin,
and Les Terrasses du Port, Marseille, and investments in premium outlets at
Bicester Village, Oxfordshire, La Vallée, Paris, and Las Rozas, Madrid.

 

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