By
Reuters API
Published
Aug 5, 2021
Download
Download the article
Print
Text size

Hammerson H1 profit rises slightly, but footfall woes linger

By
Reuters API
Published
Aug 5, 2021

British mall operator Hammerson on Thursday reported a 14% rise in half-year adjusted profit thanks to a retail recovery following the easing of lockdowns and lower costs, but warned that footfall was yet to rebound to pre-pandemic levels.


Reuters



The British government in June extended a ban on commercial evictions until March 2022, even as mall operators heavily exposed to non-essential retail tenants were battered by months of COVID-19 lockdowns.

Landlords have been forced to rework rental agreements and offer concessions on plunging demand and asset valuations, while a recent spike in COVID-19 cases has brought back restrictions in some places including France, where Hammerson has operations.

The debt-laden firm's adjusted earnings rose to £20.1 million ($27.90 million) for the six months ended June 30, from £17.7 million a year earlier.

IFRS loss narrowed to £376 million from £1.09 billion in the pandemic-hit comparable period in 2020. In 2019, Hammerson reported £107.4 million in adjusted earnings and £319.8 million in IFRS loss.

"We are focused on continuing to de-lever the balance sheet through disposals of non-core assets, creating a leaner and more agile organisation," Chief Executive Officer Rita-Rose Gagné said in a statement.

The firm said half-year EPRA net tangible assets per share, a key metric for the sector, fell 16% to 69p, adding that footfall was averaging at 75% of 2019 levels.

© Thomson Reuters 2024 All rights reserved.