Universal registration document

© COPYRIGHT — THE URW 2019 REPORT

THE URW 2019 REPORT

03 — Refresh

Unibail-Rodamco-Westfield exceeds guidance for 2019

Our 2019 financial results exceeded our guidance, with adjusted recurring earnings per share of €12.37. In a challenging retail environment, our quality portfolio saw a very strong +3.7% growth in Group tenant sales. Our flexible development pipeline, diversified towards mixed-use, was scaled back to €8.3 Bn while maintaining its potential for value creation. We will continue the execution of our strategy of concentration, differentiation and innovation and a disciplined approach to the allocation of capital and deleveraging. With our high-quality portfolio of flagship destinations in the most attractive and well-connected catchment areas, we are soundly positioned for the future.

0

2018

0

2019

Adjusted RECURRING EPS (in euros)

The Adjusted Recurring Earnings are calculated based on the Recurring Net Result for the period attributable to the holders of the Stapled Shares minus the coupon on the Hybrid Securities (from June 1, 2018).

0

2018

0 (1)

2019

Dividend per share (in euros)

(1) For the fiscal year 2019, paid on March 26, 2020

FY-2018 (2)FY-2019GrowthLike-for-like
Growth
Group Net Rental Income (Proportionate in euros Mn)2,1612,491+15.3%+3.0%
Shopping Centres (3)1,9122,293+19.9%n.m
France647663+2.5%+2.8%
Central Europe212223+5.4%+4.0%
Spain155157+0.8%+10.5%
Nordics141123-13.3%-2.6%
Austria108111+3.5%+2.5%
Germany140143+2.8%0.0%
The Netherlands5962+5.8%+10.7%
Total Continental Europe1,4621,483+1.4%+3.1%
United States351653n.m
United Kingdom99157n.m
Offices & Others (4)149103-30.9%-1.2%
Convention & Exhibition (3) (4)10095-4.7%+3.4%
Group Earnings
Recurring Net Result (Group share, in euros Mn)1,6101,760+9.3%
Recurring EPS (in euros per share)13.1512.72-3.3%
Adjusted Recurring EPS (in euros per share)12.9212.37-4.3%
EPRA Earnings (in euros per share)13.1512.72-3.3%
Group Valuation
Total Portfolio Valuation (Proportionate, in euros Mn)65,20165,341+0.2%-1.8%
Going Concern Net Asset Value (in euros per share)233.90217.50-7.0%
EPRA Triple Net Asset Value (in euros per share)210.80199.20-5.5%
EPRA Net Asset Value (in euros per share)221.80213.30-3.8%

Group Net Rental Income(Proportionate in euros Mn)

FY-2018

2,161

FY-2019

2,491

Growth

+15.3%

Like-for-like Growth

+3.0%

Shopping Centres (3)

FY-2018

1,912

FY-2019

2,293

Growth

+19.9%

Like-for-like Growth

n.m

France

FY-2018

647

FY-2019

663

Growth

+2.5%

Like-for-like Growth

+2.8%

Central Europe

FY-2018

212

FY-2019

223

Growth

+5.4%

Like-for-like Growth

+4.0%

Spain

FY-2018

155

FY-2019

157

Growth

+0.8%

Like-for-like Growth

+10.5%

Nordics

FY-2018

141

FY-2019

123

Growth

-13.3%

Like-for-like Growth

-2.6%

Austria

FY-2018

108

FY-2019

111

Growth

+3.5%

Like-for-like Growth

+2.5%

Germany

FY-2018

140

FY-2019

143

Growth

+2.8%

Like-for-like Growth

0.0%

The Netherlands

FY-2018

59

FY-2019

62

Growth

+5.8%

Like-for-like Growth

+10.7%

Total Continental Europe

FY-2018

1,462

FY-2019

1,483

Growth

+1.4%

Like-for-like Growth

+3.1%

United States

FY-2018

351

FY-2019

653

Growth

n.m

United Kingdom

FY-2018

99

FY-2019

157

Growth

n.m

Offices & Others (4)

FY-2018

149

FY-2019

103

Growth

-30.9%

Like-for-like Growth

-1.2%

Convention & Exhibition (3) (4)

FY-2018

100

FY-2019

95

Growth

-4.7%

Like-for-like Growth

+3.4%

Group Earnings

Recurring Net Result (Group share, in euros Mn)

FY-2018

1,610

FY-2019

1,760

Growth

+9.3%

Recurring EPS (in euros per share)

FY-2018

13.15

FY-2019

12.72

Growth

-3.3%

Adjusted Recurring EPS (in euros per share)

FY-2018

12.92

FY-2019

12.37

Growth

-4.3%

EPRA Earnings (in euros per share)

FY-2018

13.15

FY-2019

12.72

Growth

-3.3%

Group Valuation

Total Portfolio Valuation (Proportionate, in euros Mn)

FY-2018

65,201

FY-2019

65,341

Growth

+0.2%

Like-for-like Growth

-1.8%

Going Concern Net Asset Value (in euros per share)

FY-2018

233.90

FY-2019

217.5

Growth

-7.0%

EPRA Triple Net Asset Value (in euros per share)

FY-2018

210.80

FY-2019

199.20

Growth

-5.5%

EPRA Net Asset Value (in euros per share)

FY-2018

221.80

FY-2019

213.30

Growth

-3.8%

(2) The Group’s accounts reflect Westfield’s activity only from June 1, 2018.

(3) In 2019, Les Boutiques du Palais was reclassified from France Shopping Centres to Convention & Exhibition (C&E). 2018 was restated accordingly.

(4) In 2019, the hotels CNIT Hilton, Novotel Lyon Confluence and Pullman Montparnasse were reclassified from Convention & Exhibition to Offices & Others (France). 2018 was restated accordingly.

EPRA PERFORMANCE MEASURES

0

2018

0

2019

Adjusted RECURRING EPS (in euros)

The Adjusted Recurring Earnings are calculated based on the Recurring Net Result for the period attributable to the holders of the Stapled Shares minus the coupon on the Hybrid Securities (from June 1, 2018).

0

2018

0

2019

EPRA Net Asset Value (NAV) (in euros/share)

Net Asset Value adjusted to include properties and other investment interests at fair value and to exclude certain items not expected to crystallize in a long-term investment property business model.

0

2018

0

2019

EPRA NNNAV (in euros/share)

Going concern NAV less the estimated transfer taxes and deferred capital gain taxes.

SHOPPING CENTRES

0%

2018

0%

2019

OFFICES

0%

2018

0%

2019

EPRA NET INITIAL YIELD (NIY)

Annualised rental income based on the cash rents passing at the balance sheet date, less non-recoverable property operating expenses, divided by the gross market value of the property.

SHOPPING CENTRES

0%

2018

0%

2019

OFFICES

0%

2018

0%

2019

EPRA ‘TOPPED-UP’ NIY

EPRA Net Initial Yield adjusted in respect of the expiration of rent free periods (or other unexpired lease incentives such as discounted rent periods and step rents).

SHOPPING CENTRES

0%

2018

0%

2019

EPRA VACANCY RATE PROPORTIONATE

Estimated Market Rental Value (ERV) of vacant space divided by ERV of total surfaces.

0%

2018

0%

2019

EPRA COST RATIO PROPORTIONATE

Administrative & operating costs (including & excluding costs of direct vacancy) divided by gross rental income.

SHOPPING CENTRES

0

2018

0

2019

LIKE-FOR-LIKE SHOPPING CENTRE ENERGY INTENSITY (KWH/M²) (5)

Total amount of direct and indirect energy from renewable and non-renewable sources used by the shopping centres over a full reporting year, normalised by an appropriate denominator.

SHOPPING CENTRES

0

2018

0

2019

Like-for-like Green House Gas (GHG) Intensity from Energy Consumption (KGCO2 E/M²) (5)

Total amount of direct and indirect GHG emissions generated from energy consumption in the shopping centres over a full reporting year, normalised by an appropriate denominator.

(5) See all EPRA KPIs in the Universal Registration Document.

Shareholder’s Report

Shareholding structure

Unibail-Rodamco-Westfield Stapled Shares are listed on the Amsterdam Stock Exchange and the Paris Stock Exchange, as well as in the form of Chess Depositary Interests (CDI) on the Australian Securities Exchange. Unibail-Rodamco-Westfield is included in the CAC 40, AEX 25 and ASX 100 indices. On December 31, 2019, the Group had a market capitalisation of €19.5 billion. Unibail-Rodamco-Westfield has a large and diverse international shareholder base, which is mainly composed of institutional investors based in the United States, the United Kingdom, The Netherlands, France and Australia. As at December 31, 2019, none of Unibail-Rodamco-Westfield’s shareholders had declared holdings of more than 10% of the issued share capital.

Share price performance

Shareholder value creation is measured by Total Shareholder Return (TSR). TSR indicates the total return obtained through ownership of a share over a given period of time. It includes dividends (or any other distribution) paid and reinvested in the company’s shares, as well as any change in the company’s share price. Annualised TSR for Unibail-Rodamco-Westfield shares amounted to 3.40% per annum, between June 25, 2007 and December 31, 2019, compared with 3.53% for the CAC 40 index and 3.39% for the EPRA Eurozone Total Return Index. TSR is based on the share price of Unibail-Rodamco SE until June 5, 2018. Following this date, share price is based on the stapled share of Unibail-Rodamco-Westfield, consisting of one share of Unibail-Rodamco SE and one share of WFD Unibail-Rodamco N.V.

Relative performance of Unibail-Rodamco-Westfield's share
(Rebased to 100 at as June 25, 2007)

Traded Volumes

In 2019, the average daily volume of shares traded was 538,483 compared to 435,863 in 2018. The value of the number of average daily traded shares was €75 million in 2019, compared to €79 million in 2018.

Traded volume rolling over 12 months & closing share price monthly average since 2009
(in euros)

2020 distribution schedule

For the fiscal year 2019, the Group expects to propose a cash dividend of €10.80 per stapled share for approval by the Annual General Meetings (AGMs) of Unibail-Rodamco-Westfield SE to be held on May 15, 2020 and WFD Unibail-Rodamco NV to be held on June 9, 2020.

The proposed dividend payment schedule is as follows:

  • An interim dividend of €5.40 per stapled share on March 26, 2020 (ex-dividend date March 24, 2020) to be paid by Unibail-Rodamco-Westfield SE.
  • A final dividend of €5.40 per stapled share, subject to approval of the AGMs, on July 6, 2019 (ex-dividend date July 2, 2020).
  • The split of the final dividend will be described in the convening notices for the AGMs.

The total amount of dividends paid with respect to 2019 would be €1,494.5 million for the 138,378,605 stapled shares outstanding as at December 31, 2019.

This represents an 87% pay-out ratio of the adjusted net recurring result of the Group (89% of the adjusted net recurring result adjusted for the impact of IFRS 16).

Shareholder’s Contact

Investor and shareholder relations contacts

urw.com
Investor relations
Tel.: +33 (0)1 53 43 73 13
individual.investor@urw.com

Financial services for shares and dividends

Stapled Share
BNP Paribas Securities Services
Grands Moulins de Pantin – Investor Services
Relations Unibail-Rodamco-Westfield
9, rue du Débarcadère
93 761 Pantin Cedex
Tel: +33 (0)1 57 43 02 30
Fax: +33 (0)1 55 77 34 17
Contact form: Planetshare

CDI
Computershare Investor Services Pty Limited
Yarra Falls, 452 Johnston Street, Abbotsford VIC 3067
GPO Box 2975, Melbourne VIC 3001, Australia
Tel (within Australia): 1300 070 730
Tel (international): +61 3 9415 4382