Listed French commercial real estate company Mercialys reported strong growth in earnings and asset values in its 2007 results. Net asset value increased 28% over 12 months to EUR 25.7 per share against EUR 20.08 per share one year earlier and EUR 23.04 per share at 30 June 2007. Rental revenues were also up 20.9% to EUR 99.5 mln and net earnings up 18.3% to EUR 71.5 mln.
Listed French commercial real estate company Mercialys reported strong growth in earnings and asset values in its 2007 results. Net asset value increased 28% over 12 months to EUR 25.7 per share against EUR 20.08 per share one year earlier and EUR 23.04 per share at 30 June 2007. Rental revenues were also up 20.9% to EUR 99.5 mln and net earnings up 18.3% to EUR 71.5 mln.
Acquisitions in the year represented a gross investment of EUR 183 mln at an average yield of 7%. In December 2007, Mercialys acquired five assets in La Reunion, its first ever investment outside mainland France.
One of the few large French companies to focus entirely on shopping centers, Mercialys owns 167 assets. The portfolio value has risen by 42% as at 31 December 2007 to reach EUR 1.9 bn at an average yield of 5.5%.
Confident in the outlook for shopping centres in the future, the Board of Directors said it intends to pass on the entire growth in cash flow in the dividend. The dividend to be recommended for 2007 at the annual general meeting of 6 May 2008 has been set at 81 cents per share, an increase of 14.1% compared with the 2006 dividend of 71 cents per share.
Jacques Ehrmann, CEO of Mercialys commented: '2007 was an excellent year for Mercialys both in terms of earnings growth and laying the foundations for robust growth in the future. The Alcudia program has now entered an active rollout phase which will continue over the next five years and some high-quality new programs have been added to the pipeline, through bids won against best in class competitors'.
