Igd, new 2025-27 plan: return to coupons and a typical Ebitda of 98 million in three years

Over the next three years, Igd will aim to improve its operating performance in terms of surface occupancy and average contract duration. In practice, the company intends to raise the average occupancy rate to 98% for galleries in Italy and 99% for galleries in Romania by 2027, net of assets sold. In addition, it intends to achieve by 2027 an average Walb (i.e. the minimum duration of the lease contracts before the tenant's break option) of 2.5 years and an average Walt (i.e. the weighted average duration of the lease contracts) of approximately 4.2 years for the tunnels in Italy; for the Romanian portfolio the Walb expected in 2027 is 3 years, while the Walt is approximately 5.4 years.

A new Services bsiness unit has also been created, dedicated to the management of assets owned by third parties, a non-capital intensive activity that Igd has been offering for years, but which it wants to significantly strengthen. The company intends to present itself on the retail market as a reference provider of asset management and other advanced services, with the vision of a property company that aims to keep assets as functional and flexible as possible so as to preserve their value over time. The objective in the plan arc is to increase the network of assets under management, with the possibility of intercepting new opportunities, and to generate a margin of approximately two million per year.

The combination of these actions will - according to the company - have a positive impact on the main economic indicators, contributing to the achievement of the Plan's targets to 2027: net revenues from rental activities on a like-for-like basis (to 2027) up by around +16%, compared to the figure expected at the end of 2024; all this also thanks to a new organisation that provides more leverage to the territories and direct management of assets. But also Ebitda from ordinary operations 2027 at around EUR 98m (up around +16% organic growth compared to the expected figure at end-2024). Finally, funds from operations 2027 around 48 million (up 41% from the 34 million expected at the end of 2024).

The planned investments, totalling some EUR 50 million, are aimed at increasing the attractiveness of the portfolio and reducing its environmental impact. In more detail, the plan includes: approximately 16 million euro intended to support the transformation of shopping centres into innovative ecosystems, with investments in technology and digitalisation, while also exploiting maximum flexibility in the management of spaces through reorganisation measures to attract tenants. And again: about EUR 11 million for ESG-specific investments and interventions, to foster energy transition, reduce the portfolio's carbon footprint, and increase wellbeing, safety and experience for visitors. The primary target to 2027 is to reduce Scope 1 and 2 CO2 emissions by -40% (baseline 2018) and Scope 3 emissions by -20% (baseline 2021).Finally, some EUR 23 million will be invested in extraordinary maintenance with the aim of extending the life cycle of assets and their resilience. All investments will be based on the specificities of the locations and catchment area of reference, with the possibility of remodelling interventions, also depending on results..