IRSA Propiedades Comerciales S.A. (NASDAQ: IRCP; ByMA: IRCP), the leading commercial real estate company in Argentina, announces its results for the second quarter of the FY 2021 ended December 31, 2020

Rhea-AI Summary

IRSA Propiedades Comerciales reported a significant net profit of ARS 5,285 million for the first semester of fiscal year 2021, a turnaround from the ARS 341 million loss in the same period last year. This was primarily due to improved valuations of investment properties and better net financial outcomes. Adjusted EBITDA surged by 90.7% to ARS 8,883 million, driven largely by the Sales segment. However, the rental segment's EBITDA declined by 66%.

Tenant sales in shopping centers fell by 11.4%, with occupancy rates down to 88.3%.

Positive

• Net profit of ARS 5,285 million compared to a loss of ARS 341 million in 2020.
• Adjusted EBITDA increased by 90.7% to ARS 8,883 million.
• Sold approximately 29,654 sqm of office space for USD 170.6 million.

Negative

• Rental segment adjusted EBITDA dropped by 66% year over year.
• Tenant sales in shopping centers decreased by 11.4% in real terms.
• Portfolio occupancy reduced to 88.3%.

BUENOS AIRES, Argentina, Feb. 9, 2021 /PRNewswire/ --

HIGHLIGHTS

• The net result for the first semester of fiscal year 2021 recorded a gain of ARS 5,285 million compared to a loss of ARS 341 million in the same period of 2020, mainly explained by higher results due to changes in the fair value of investment properties and higher net financial results.
• Adjusted EBITDA reached ARS 8,883 million in the first semester of fiscal year 2021, increasing 90.7% compared to 2020, mainly explained by the Sales and Developments segment, whose EBITDA reached ARS 7,393 million as a result of the sales made of the buildings Bouchard 710 and the Boston Tower. The adjusted EBITDA of the rental segments reached ARS 1,641 million, which represents a 66% drop compared to the same period of the previous year.
• Tenant Sales in Shopping Centers fell by 11.4% in real terms in the second quarter of fiscal year 2021 compared to the same period of 2020, observing a recovery with respect to the previous quarters given the malls' reopening in October 2020. The occupancy of the portfolio was reduced to 88.3%.
• Regarding the office segment, in December 2020, we added the "261 Della Paolera" building, the Company's new headquarters, to the portfolio. The building is 74.6% occupied.
• During the first half of 2021, we have sold approximately 29,654 sqm of offices for a total amount of USD 170.6 million.
• On November 25, 2020, we distributed a cash dividend in the amount of ARS 9.7 billion.

Financial Highlights
(In millions of Argentine Pesos)
6M FY 2021
Income Statement	12/31/2020	12/31/2019
Revenues from sales, leases and services	3,094	6,814
Consolidated Gross Profit	2,529	6,156
Consolidated Profit from Operations	4,079	7,633
Profit for the Period	5,285	(341)
Attributable to:
IRSA CP's Shareholders	4,761	(519)
Non-Controlling interest	524	178
EPS (Basic)	0.09	(4.12)
EPS (Diluted)	0.09	(4.12)
Balance Sheet	12/31/2020	06/30/2020
Current Assets	12,621	17,889
Non-Current Assets	146,764	155,300
Total Assets	159,385	173,189
Current Liabilities	10,169	19,682
Non-Current Liabilities	63,686	62,932
Total Liabilities	73,855	82,614
Non-Controlling Interest	5,412	4,901
Shareholders' Equity	85,530	90,575

IRSA Propiedades Comerciales cordially invites you to participate in the IIQ FY 2021 Results Conference Call on Wednesday, February 10, 2021 at 09:00 a.m. US EST, 11:00 a.m. BA.

To access the Webinar:
https://irsacorp.zoom.us/j/83823965976?pwd=Rit3enJqY05KN2I3SklDcEZrdXRRdz09 
Webinar ID: 838 2396 5976
Password: 967854

In addition, you can participate communicating to this numbers:

Argentina: +54 112 040 0447 or +54 115 983 6950 or +54 341 512 2188 or +54 343 414 5986

Israel: +972 3 978 6688 or +972 55 330 1762

Brasil : +55 11 4700 9668 or +55 21 3958 7888 or +55 11 4632 2236 or +55 11 4632 2237 or +55 11 4680 6788

Estados Unidos de América: +1 312 626 6799 or +1 346 248 7799 or +1 646 558 8656 or +1 669 900 9128 or +1 253 215 8782 or +1 301 715 8592

Chile: +56 232 938 848 or +56 41 256 0288 or +56 22 573 9304 or +56 22 573 9305 or +56 23 210 9066

Investor Relations Department
+ 5411 4323-7449
ir@irsacp.com.ar 
https://www.irsacp.com.ar/home-inversores.php?lng=en 
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SOURCE IRSA Propiedades Comerciales S.A.

FAQ

What were the financial highlights for IRCP for the first half of 2021?

IRCP reported a net profit of ARS 5,285 million, a significant improvement from a loss of ARS 341 million in 2020, with an adjusted EBITDA of ARS 8,883 million.

How did tenant sales perform for IRSA Propiedades Comerciales in 2021?

Tenant sales in shopping centers fell by 11.4% in real terms compared to the same period in 2020.

What is the current occupancy rate for IRSA's portfolio?

The occupancy rate for the portfolio has decreased to 88.3%.

What assets did IRCP sell during the first half of fiscal year 2021?

IRCP sold approximately 29,654 sqm of office space, generating USD 170.6 million.

What changes occurred in the rental segment's EBITDA for IRCP?

The rental segment's adjusted EBITDA saw a 66% decrease year over year.