Vicinity Centres1
Appendix 4D - Results for announcement to the market
For the six months ended 31 December 2021 | ||||||||
Six months to | Increase/ | |||||||
31‐Dec‐21 | 31‐Dec‐20 | (Decrease) | ||||||
$m | $m | $m | % | |||||
Revenue from ordinary activities | 581.5 | 582.3 | (0.8) | (0.1) | ||||
Net profit/(loss) from ordinary activities after tax attributable to securityholders | 650.2 | (394.1) | 1,044.3 | 265.0 | ||||
only | ||||||||
Funds from operations2 | 287.7 | 267.1 | 20.6 | 7.7 | ||||
As at3 | Increase/ | |||||||
Net tangible assets per security | 31‐Dec‐21 | 30‐Jun‐21 | (Decrease) | |||||
$ per security | $ per security | $ per security | % | |||||
Total | 2.28 | 2.13 | 0.15 | 7.0 | ||||
Net assets per security | $ per security | $ per security | $ per security | % | ||||
use | ||||||||
Total | 2.31 | 2.17 | 0.14 | 6.5 | ||||
Distribution per stapled security | Cents4 | Record date | Payment date | |||||
Interim distribution | 4.70 | 22‐Feb‐22 | 8‐Mar‐22 | |||||
Review of results | ||||||||
For further commentary on the half year results, refer to the following documents released on the ASX today: | ||||||||
‐ | Half Year Financial Report; | |||||||
‐ | FY22 Interim Results Announcement; and | |||||||
‐ | FY22 Interim Results Presentation. | |||||||
Details of associates and joint venture entities (equity accounted investments) | ||||||||
Refer to Note 4 of the Half Year Financial Report. | ||||||||
The information presented above is based upon the Half Year Financial Report for the six months ended 31 December 2021 which has been | ||||||||
r | viewed. The independent auditor's report is included within the Half Year Financial Report. | |||||||
personal | ||||||||
Rohan Abeyewardene | Date: 16 February 2022 | |||||||
G oup Company Secretary | ||||||||
N | tes | |||||||
1. | Vicinity Centres is a stapled group comprising Vicinity Limited ABN 90 114 757 783 and Vicinity Centres Trust ARSN 104 931 928 (the Trust). The Responsible | |||||||
For2. | Entity of the Trust is Vicinity Centres RE Ltd ABN 88 149 781 322. | |||||||
A reconciliation between net profit from ordinary activities attributable to securityholders and fund from operations (FFO) is provided in Note 1(b) of the |
Half Year Financial Report.
3. Calculated as Balance Sheet net assets less intangible assets, divided by the number of stapled securities on issue at period end. Includes right of use assets and net investments in leases.
4. Details of the full year tax components of distributions will be provided in the Annual Tax Statements which will be sent to securityholders in late August 2022.
For personal use only
Vicinity Centres comprising:
Vicinity Limited - ABN 90 114 757 783 Vicinity Centres Trust - ARSN 104 931 928 and their controlled entities
Vicinity Centres
Financial report for the half year ended 31 December 2021
Vicinity Centres | Financial report for the half year ended 31 December 2021
Contents
Directors' Report
Auditor's Independence Declaration onlyStatement of Comprehensive Income
Balance Sheet
Statements of Changes in Equity
Cash Flow Statement
About This Report
Operations
use | 1. | Segment information |
2. | Revenue and income | |
3. | Investment properties | |
4. | Equity accounted investments | |
Capital structure and financial risk management | ||
personalFor | 5. | Interest bearing liabilities and derivatives |
6. | Contributed equity | |
7. | Distributions | |
Working capital | ||
8. | Trade receivables and other assets | |
Other disclosures | ||
9. | Operating cash flow reconciliation | |
10. | Other Group accounting matters | |
11. | Events occurring after the reporting date |
Directors' Declaration
Independent Auditor's Report
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Vicinity Centres | Financial report for the half year ended 31 December 2021
Directors' Report
The Directors of Vicinity Limited present the Financial Report of Vicinity Centres (Vicinity or the Group) for the half year ended 31 December 2021. Vicinity Centres is a stapled group comprising Vicinity Limited (the Company) and Vicinity Centres Trust only(the Trust). Although separate entities, the Stapling Deed entered into by the Company and the Trust ensures that shares in the Company and units in the Trust are 'stapled' together and are traded collectively on the Australian Securities Exchange
(ASX), under the code 'VCX'.
Directors
The Boards of Directors of the Company and Vicinity Centres RE Ltd, as Responsible Entity (RE) of the Trust (together, the Vicinity Board) consist of the same Directors. The following persons were members of the Vicinity Board from 1 July 2021 and up to the date of this report unless otherwise stated:
(i) | Chairman |
Trevor Gerber (Independent) | |
(ii) | Non-executive Directors |
use | Clive Appleton |
David Thurin AM | |
Janette Kendall (Independent) | |
Karen Penrose (Independent) | |
Peter Kahan (Independent) | |
Tim Hammon (Independent) | |
(iii) | Executive Director |
personal | Grant Kelley (CEO and Managing Director) |
Company Secretaries
Carolyn Reynolds
Rohan Abeyewardene
Principal activities
The principal activities of the Group during the period continued to be property investment, property management, property development, leasing, and funds management.
The Group has its principal place of business at Level 4, Chadstone Tower One, 1341 Dandenong Road, Chadstone, Victoria 3148.
ForDistributions
On 16 February 2022, the Directors declared a distribution in respect of the Group's earnings for the half year ended 31 December 2021 of 4.7 cents per VCX stapled security, which equates to total interim distributions of $214.0 million.
The interim distribution will be paid on 8 March 2022. The record date for determining entitlement to the interim distribution is 5pm, 22 February 2022.
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Vicinity Centres | Financial report for the half year ended 31 December 2021
Significant changes in state of affairs
COVID-19 pandemic
The Group's performance continued to be adversely impacted by the COVID-19 pandemic ('COVID-19' or 'the pandemic') related disruptions during the six-month period. Key factors impacting Vicinity's financial and operational performance
onlyincluded:
•
•
•
use•
The duration and full extent of the pandemic and its impacts on the economy, consumers and investment markets remain
uncertain. As a result, certain significant judgements, estimates and assumptions have been made in determining the carrying
value of certain assets and liabilities at 31 December 2021. These are further discussed in the 'About this Report' section of the personalfinancial report.
Review of results and operations
This report should be read in conjunction with the 30 June 2021 Annual Report which provides further information on Vicinity's strategy, operations, and risks.
(a) Operational update Financial results
The Group assesses operating performance based on funds from operations (FFO) and adjusted funds from operations (AFFO). FFO and AFFO are widely accepted measures of real estate operating performance which adjust statutory net profit/(loss) for fair value movements, certain unrealised and non-cash items (FFO), as well as maintenance capital expenditure and static t nant leasing costs incurred during the period (AFFO). FFO and AFFO are determined with reference to the guidelines published by the Property Council of Australia (PCA)1 and are non-IFRS measures.
The table below contains a summary of FFO, AFFO, other related metrics and a summary reconciliation of net profit after tax to FFO2.
For | 31-Dec-21 | 31-Dec-20 | |
$m | $m | ||
Net property income | 381.3 | 344.4 | |
External management fees | 27.8 | 21.3 | |
Corporate overheads (net of internal property management fees) | (40.6) | (38.2) | |
Net interest expense | (80.8) | (60.4) | |
Funds from operations (FFO) | 287.7 | 267.1 | |
Property revaluation increment/(decrement) for directly owned properties | 353.7 | (512.1) | |
Other items | 8.8 | (149.1) | |
Statutory net profit/(loss) after tax | 650.2 | (394.1) | |
- Voluntary best practice guidelines for disclosing FFO and AFFO, issued by the PCA in May 2019.
- Refer to Note 1(b) to the Half Year Financial Statements for a full reconciliation of net profit after tax to FFO.
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Vicinity Centres RE Ltd. published this content on 15 February 2022 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 15 February 2022 21:48:44 UTC.