Grand City Properties reports solid 2024 financial growth

Published 12/03/2025, 00:12
Grand City Properties reports solid 2024 financial growth

LUXEMBOURG - Grand City Properties S.A. (IRSH), a residential real estate company, announced its unaudited preliminary financial results for the year 2024, demonstrating a robust operational performance with key financial metrics showing improvement over the previous year.

The company reported a net rental income of €423 million for 2024, marking a 3% increase from €411 million in 2023. This growth was largely attributed to a solid like-for-like rental growth of 3.8%, driven by in-place rent growth. Adjusted EBITDA also rose by 5%, reaching €335 million compared to €320 million in 2023.

Funds from operations (FFO) I for the year stood at €188 million, a 2% increase from €184 million in the previous year. The FFO I per share increased by 1% to €1.08 in 2024 from €1.07 in 2023, meeting the upper end of the company’s guidance for the year.

A noteworthy recovery in the property market was reflected in the company’s revaluation of its portfolio, which showed a positive adjustment of +0.5% on a like-for-like basis. This marks the first positive revaluation in two years, indicating a shift in momentum following a devaluation in the first half of 2024.

Grand City Properties also reported progress in its asset disposal strategy, signing disposals worth €350 million in 2024, with €125 million executed in the fourth quarter alone. These disposals, which were closed at a slight 2% discount to book value, contributed to the company’s deleveraging efforts and balance sheet strengthening.

The company’s loan-to-value (LTV) ratio improved by 4% to 33% as of December 2024, down from 37% the previous year. The interest coverage ratio (ICR) stood at 5.7 times, and the company held €6.4 billion in unencumbered assets, representing 73% of the total portfolio value.

Profit for the year was reported at €242 million, largely due to strong operational profits and the positive property revaluation. The EPRA Net Tangible Assets (NTA) reached €4.3 billion, or €24.3 per share, as of December 2024.

Looking ahead, Grand City Properties has provided FFO guidance for 2025, projecting a range of €185 million to €195 million.

The company’s proactive approach to managing its balance sheet and liquidity is evident in the successful completion of asset disposals and the suspension of dividends, which has positioned it to pursue growth opportunities while maintaining financial stability.

The unaudited preliminary results are available on the company’s website and will be followed by the publication of audited financial statements, which have been rescheduled for release on March 17, 2025. This news is based on a press release statement from Grand City Properties S.A.

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