IRSA Propiedades Comerciales S.A. (NASDAQ: IRCP; ByMA: IRCP), the leading commercial real estate company in Argentina, announces its results for the Fiscal Year 2020 ended June 30, 2020.

Rhea-AI Summary

IRSA Propiedades Comerciales reported a net income of ARS 18,153 million for FY 2020, primarily from increased valuations of investment properties. However, Adjusted EBITDA fell by 16.5% from 2019 to ARS 6,152 million, with Shopping Center segment EBITDA dropping 37.5%. Tenant sales plummeted 25.9% in real terms, with Q4 showing a dramatic 92.9% decline. The company sold USD 145.5 million in premium offices and canceled USD 140 million Series IV notes, balancing its financial strategies.

Positive

• Net income of ARS 18,153 million, a significant improvement from previous year's loss.
• Sale of premium offices totaling USD 145.5 million.
• Cancellation of Series IV notes for USD 140 million.

Negative

• Adjusted EBITDA fell 16.5% from FY 2019.
• Shopping Center EBITDA dropped 37.5% due to pandemic impacts.
• Tenant sales in Shopping Centers decreased by 25.9%, with a 92.9% drop in Q4.

BUENOS AIRES, Argentina, Sept. 23, 2020 /PRNewswire/ --

HIGHLIGHTS

• Net income for fiscal year 2020 recorded a gain of ARS 18,153 million, mainly explained by a higher value in pesos of our investment properties generating a gain of ARS 25,126 million, offset by higher net financial results losses.
• On March 20, because of the social, preventive, and compulsory isolation due to the COVID-19 pandemic, shopping malls throughout the country were closed, leaving exclusively those premises dedicated to essential items such as pharmacies, supermarkets and banks. This impact has been mainly reflected in the results of the fourth quarter of the year.
• Adjusted EBITDA for fiscal 2020 reached ARS 6,152 million, 16.5% in real terms below fiscal year 2019. Adjusted EBITDA for the Shopping Center segment, affected by the pandemic, decreased 37.5% while that of the office segment grew 7.7%.
• Tenant sales in Shopping Centers fell 25.9% in real terms in fiscal 2020 compared to 2019. In the fourth quarter, sales fell 92.9% affected by the closure of operations. Portfolio occupancy fell slightly, reaching 93.2%.
• Regarding the Office segment, although most of our tenants have been working at home since mandatory quarantine was decreed, they are operating under strict safety and hygiene protocols.
• During the fourth quarter of the year and after closing, we have sold approximately 25,000 sqm of premium offices for a total amount of USD 145.5 million.
• As a subsequent event, in September, we canceled Series IV notes for a total amount of USD 140 million.

Financial Highlights

(In millions of Argentine Pesos)
FY 2020
Ended June 30, 2020

Income Statement	06/30/2020	06/30/2019
Revenues from sales, leases and services	8,562.9	10,826.4
Consolidated Gross Profit	7,571.8	9,651.2
Consolidated Profit / (Loss) from Operations	30,677.9	(29,790.2)
Profit / (Loss) For the Period	18,153.3	(25,923.0)
Attributable to:
IRSA CP's Shareholders	17,089.6	(25,772.7)
Non-Controlling interest	1,063.7	(150.3)
EPS (Basic)	135,62	(204,52)
EPS (Diluted)	135.62	(204,52)
Balance Sheet	06/30/2020	06/30/2019
Current Assets	14,925.4	24,562.5
Non-Current Assets	129,577.5	91,204.1
Total Assets	144,502.9	115,766.6
Current Liabilities	16,422.5	5,796.6
Non-Current Liabilities	52,506.7	51,924.1
Total Liabilities	68,929.2	57,720.7
Non-Controlling Interest	4,088.9	3,113.2
Shareholders' Equity	75,573.7	58,045.9

IRSA Propiedades Comerciales cordially invites you to participate in the Fiscal Year 2020 Results Conference Call on Wednesday, September 23, 2020 at 02:00 p.m. US EST, 03:00 p.m. BA.

To access the Webinar:
https://irsacorp.zoom.us/j/99058933685?pwd=NW4yTzBsM3g0dUNxb2FkQUQwTW5CQT09 
Webinar ID: 990 5893 3685
Password: 756113

In addition, you can participate communicating to this numbers:

Argentina: +54 112 040 0447 or +54 341 512 2188 or +54 343 414 5986
Israel: +972 55 330 1762 or +972 3 978 6688
Brazil: +55 21 3958 7888 or +55 11 4680 6788
US: +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 23 210 9066 or +56 232 938 848 or +56 41 256 0288

Investor Relations Department
+ 5411 4323-7449
ir@irsacp.com.ar 
https://www.irsacp.com.ar/home-inversores.php?lng=en 
Follow us on Twitter @irsacpir

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SOURCE IRSA Propiedades Comerciales S.A.

FAQ

What is the net income reported by IRCP for FY 2020?

IRCP reported a net income of ARS 18,153 million for FY 2020.

How did the pandemic affect IRCP's shopping center segment?

The shopping center segment's adjusted EBITDA decreased by 37.5% due to the pandemic.

What were the tenant sales changes in FY 2020 for IRCP?

Tenant sales in shopping centers fell by 25.9% in real terms for FY 2020.

What were the significant financial actions taken by IRCP recently?

IRCP sold premium offices for USD 145.5 million and canceled USD 140 million in Series IV notes.

How does IRCP's 2020 performance compare to 2019?

Adjusted EBITDA was 16.5% lower than in 2019, while net income improved from a previous loss.