2022 Third Quarter revenues

Altarea posts good operating performance across all business lines and adjusts its residential property development policy

Altarea, leader in urban transformation

• Comprehensive real estate offer serving the city and its users
• €20.2bn pipeline¹, all products combined (representing 4.3 million m² and 830 projects)
• Delivery of Issy Cœur de Ville, the largest mixed-use urban project in the Paris Region

Good operating performance across all business lines

• Increase in Residential new orders (+6% in value) driven by individuals
• Strong growth in rental income from Retail (+11.6%), with +4.9% growth on a like-for-like basis
• Multiple value-creating transactions in Business Property

Adjustment of residential development policy

• Action plan to stimulate demand
• More project selectivity allowed by increased pipeline

Financial performance

• Consolidated 9-month 2022 revenue: €2,043m (-0.8% vs. 9-month 2021)
• Stable net debt at €1.7bn, secured long-term cost of debt, strong ratios
• Strong liquidity: €2.8bn

Outlook

• Altarea forecasts 2022 FFO growth provided the macro-economic, geopolitical or sanitary situation does not deteriorate further
• Presentation of a new roadmap taking into account the new environment, the decarbonation and product innovation strategy on the occasion of 2022 annual results release

Unaudited data at 30 September 2022

“Altarea delivered a strong performance this quarter, considering worsening conditions throughout the year. Our teams managed to meet the various challenges and Altarea is in a position to maintain its FFO growth path for 2022, provided there is no significant downturn by the end of the year.

Our strengths are clear: a leading position in the huge urban transformation market, skilled and experienced staff, a strong financial position and, above all, a mindset combining flexibility, caution and pugnacity.

While we remain especially careful and committed in the short term, Altarea is also working on a medium-term plan and will describe its roadmap taking into account the new environment, the decarbonation and product innovation strategy on the occasion of 2022 annual results.” 

Alain Taravella, Chairman and Founder

1. Potential value at end-June 2022. Potential value = market value at delivery date. Retail: potential market value including transfer duties of projects on delivery (net rental income capitalised at a market rate) at 100%, and revenue excl. tax for development projects. Residential: offer for sale + portfolio incl. VAT. Business property: potential market value excl. transfer duties on the date of disposal for investment projects (at 100%), amount excl. VAT of off-plan sales/PDCs for the other development programmes (at 100%, or Group share for jointly owned projects), and capitalised DPM fees, near stable year-on-year.

2. Bond and bank debt, net of cash and cash equivalents.