Paris, France, July 23, 2020

Earnings at June 30, 2020

Performing sustainably

  • Like-for-like rental income growth of 3.6% for offices (+7.7% including deliveries)
  • Around 95% of first-half rent collected to date
  • EPRA Net Reinstatement Value (NRV) up +3.9% year-on-year to €191.7 per share
  • EPRA Net Tangible Assets (NTA) up +5.4% year-on-year to €175.0 per share
  • LTV of 33.2% (including duties), down -210bp year-on-year

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Gecina reveals its purpose

“Empowering shared human experiences at the heart of our sustainable spaces”

  • Continuing to define the manifesto for its “purpose” with employees, customers and all stakeholders, with publication planned for the end of 2020
  • Initiative combining societal demands and economic performance

Activity maintained during the lockdown period

  • No buildings were closed in the second quarter, thanks to the stronger health measures rolled out
  • Rent collection to date representing around 95% for the first half of the year
  • 56,000 sq.m of rental transactions, with significant headline reversion (+16%), particularly in Paris
  • €352m of sales completed, with an average premium of around +4% versus the appraisals
  • Acceleration of Gecina’s digitalization and the YouFirst brand’s deployment with YouFirst Bureau and YouFirst Residence
  • Creation of a dedicated subsidiary to house the residential portfolio, with over €3bn of assets and over 6,000 apartments

Mobilization to support customers and societal commitments

  • Cancellation of second-quarter rent for very small businesses operating in sectors ordered to shut down by the French government (0.5% of the commercial rental base for the second quarter), deferral and application of monthly instalments for amounts due covering nearly 14% of the commercial rental base for this quarter (representing 3% of the annual rental base)
  • Reduction of the 2019 dividend, the Chief Executive Officer’s fixed compensation and remuneration for directors during the health crisis, donated to the Gecina Foundation
  • Payment schedules maintained for suppliers
  • Vacant student residences made available to healthcare workers and women victims of domestic violence
  • Gecina has not made use of any furlough arrangements or government-backed loans

Solid first half of the year in an uncertain environment

  • Like-for-like rental income growth of +3.6% for offices (+2.9% overall)
  • Office real estate markets continuing to see positive trends in the most central sectors
  • Portfolio value growth for the first half of the year, driven by residential and offices in the most central sectors
  • EPRA Net Reinstatement Value (NRV) of €191.7 per share (+3.9% year-on-year)
  • EPRA Net Tangible Assets (NTA) of €175.0 per share (+5.4% year-on-year)
  • LTV ratio down -210bp year-on-year to 33.2% (including duties)

Model’s resilience further strengthening visibility for the current year

  • Faced with the disruption linked to the consequences of the Covid-19 health crisis, Gecina suspended its guidance for the year in March 2020
  • The signs of resilience seen during the second quarter, on Gecina’s core real estate markets, enable the Group to clarify its expectations for the current year, despite the uncertainty.
  • Recurrent net income per share in 2020 is expected to range from €5.55 (adverse scenario) to €5.70 (close to the initial pre-Covid-19 assumption of €5.80) depending on changes in the economic situation and its potential impacts on Gecina’s activity during the second half of the year .
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