Latest Results

Year to 30 June 2017

Key Financial Highlights

10% Net Asset Value (“NAV”) growth to €1,152m driven by development profits and increased underlying earnings

  • 9% increase in EPRA NAV per Share to €1.66, underpinning a 12.9% total return in the period
  • 12% net increase in contracted annual rent to €68.9 million at 30 June 2017, including €8 million per annum in new rent from developments and €2.4 million per annum from investment properties
  • Revaluation surpluses of €97 million, of which €47 million is from new developments
  • 33% growth in EPRA Earnings to €33 million and 31% increase in EPRA EPS to 4.8 cent per share
  • LTV remains low at 20.2%, with undrawn facilities at year end of €82 million providing further capital for deployment into development pipeline
  • Full year dividend of 5 cent per share, a 9% increase over prior year, equating to 3% on June 2017 NAV
30 June 2017 30 June 2016 Change
Profit after Tax €129.8m €145.5m -11%
Portfolio Valuation €1,381.4m €1,240.7m +11%
EPRA Earnings €33.0m €24.9m +33%
Basic NAV per Share 166.9 cent 153.9 cent +8%
EPRA NAV per Share 165.6 cent 151.8 cent +9%
Net Asset Value (‘NAV’) €1,152.2m €1,048.0m +10%
Total Return 12.9% 17.7% -27%
Property LTV 20.2% 20.6% -0.4%
Basic EPS 18.9 cent 21.5 cent -12%
EPRA EPS 4.8 cent 3.7 cent +31%
Dividend per Share 5.0 cent 4.6 cent +9%

Strategic & Operational Highlights

Substantial value and income created through development completions, with expanded development programme and potential to deliver a further €11 million of annual rent

  • Completion and full letting of office developments at 32 Molesworth Street and Building H in Central Park, adding €6.5 million to contracted annual rent and 6 cent/€41 million to EPRA NAV
  • Commenced construction of Building I in Central Park, with completion in Q1 2019 of this 9,000 square metre (97,000 square feet) office building
  • 164 acres of additional lands acquired at Horizon Logistics Park, with a further 30 acres contracted post year end, bringing total land holding to circa 300 acres, providing short, medium and longer term optionality
  • Third new unit completed at Horizon Logistics Park, with 2 further pre-let units totalling 11,800 square metres (127,000 square feet) under construction and 2 further units to commence shortly
  • Barclays Bank Ireland plc signed up in August 2017 at €62 per square foot at One Molesworth Street for over 50% of the office space, at an annual rent of €2.4 million
  • €8.0 million of new contracted annual rent added from developments in the year to 30 June 2017, or €11.9 million including lettings completed since year end. Potential future development of a minimum of 350,000 square feet at Central Park, post Building I

Successful asset management initiatives driving record WAULT

  • €2.3 million of new annual rent secured through new lettings on our investment properties
  • Lease renegotiations agreed on €4.4 million of annual contracted rent, principally with Bank of America Merrill Lynch in Central Park (€2.3 million) and the Irish Government at 76-78 Harcourt Street (€1.0 million)
  • WAULT of 8 years across the portfolio at 30 June 2017, a record high for the Company
  • Occupancy rate by ERV of 98.5% (30 June 2016: 98.3%)
  • Dublin 2 and 4 offices 12% reversionary, with an average contracted rent per square foot of €43 versus €49 average ERV per square foot at 30 June 2017

This has been another year of strong results for the Company, with a significant contribution to both income and NAV from our development schemes. Our strategic focus continues to be on driving risk adjusted returns for shareholders, and we look forward to the further contributions to come from the completion and letting of our high quality buildings, against the backdrop of a robust office and logistics occupier market in Dublin.

Gary Kennedy

Chairman

Green REIT plc

The market backdrop in Ireland continues to provide us with opportunity, particularly around our development assets, which are achieving considerable letting success ahead of expectations. The strong levels of foreign investment into Ireland, demonstrated by the ongoing success of IDA Ireland in attracting international projects, is one of the key factors encouraging us to expand upon our existing development programme as we continue to successfully de-risk our current pipeline.

Pat Gunne

Chief Executive

Green Property REIT Ventures

Four Year Summary

FY 2014 FY 2015 FY 2016 FY 2017
NAV per Share (cent) – Basic 109.1 134.8 153.9 166.9
NAV per Share (cent) – EPRA 109.1 132.1 151.8 165.6
Earnings per Share (cent) – Basic 12.4 23.5 21.5 18.9
EPRA Earnings €7.2m €10.5m €24.9m €33.0m
EPRA Earnings per Share (cent) 2.1 1.6 3.7 4.8
Total Return 14.4% 24.4% 17.7% 12.9%
Portfolio Value (note) €402.9m €968.3m €1,240.7m €1,381.4m
Property Loan to Value 18.6% 9.9% 20.6% 20.2%
Interest Cover 7.4 times 19.6 times 9.5 times 10.5 times
Weighted average interest rate 3.2% 2.8% 1.9% 1.8%
Weighted average debt maturity 4 years 3.1 years 4 years 2.8 years

Note: includes the Company’s 50% interest in Central Park for FY 2014 and FY 2015.