First-quarter Organic Growth of +2.7% - Seite 2

Alongside this, 41 leases were signed for non-food stores during the first quarter. For instance, Kiko, Adopt and Parashop have further strengthened the portfolio's rental mix in the buoyant health-beauty segment (representing nearly 15% of Mercialys’ rents, up +240bp in five years). Similarly, the lease signed with the retailer Sensas, an exclusive entertainment concept that is unique in France, based on fun and informative sensory workshops, and is proving very successful, will further enhance the selection available at La Caserne de Bonne in Grenoble.

The sustained level of rental activity contributed to the rotation of the rental mix, while helping keep the current financial occupancy rate at 97.0% across the portfolio at end-March 2025, virtually stable compared with the end of 2024. It also contributed to the +2.7% change in terms of organic growth in invoiced rents. Invoiced rents came to Euro 43.8 million for the first quarter of 2025. Their 3.7% contraction versus end-March 2024 is linked to a scope effect for -5.8% for the quarter, resulting from the disposals completed at the start of July 2024. Indexation had a positive impact for 2.5%. The stability of the contributions from Casual Leasing and variable rents on a high basis illustrates the good level of activity for tenants during the quarter.

Final phase of the food banner transition

On April 3, 2025, Intermarché announced in a press release that it was closing 30 points of sale out of the 294 acquired from Casino. Mercialys’ financial indicators are not affected by this announcement. Among the stores concerned, Mercialys owns the Marseille Plan-de-Campagne hypermarket, but not the adjacent center, with Intermarché respecting its rent payments, under the current lease running through to June 2027. Mercialys does not own the Chartres and Tours hypermarkets, which are also concerned.
Moreover, discussions concerning the reletting of the Brest and Niort hypermarkets are moving forward and not impacting the Company’s rents, with Casino respecting its rent payments. The in-depth reconfiguration of the landscape for large food stores across Mercialys’ portfolio is contributing to an excellent diversity of food anchors, while reducing its rental risk as planned.

High yield for shareholders

Mercialys’ Board of Directors will submit a proposal at the General Meeting on April 29, 2025 for a dividend of Euro 1.0 per share for 2024.
The dividend corresponds to 83% of recurrent earnings for 2024 and offers a very high yield of 9.9% on the year’s closing share price. The ex-dividend date will be May 2, 2025, with the dividend to be paid on May 6, 2025.