CTP N.V. - results for fiscal year 2024

CTP recorded gross rental income of EUR 664.1 million, representing a year-on-year increase of 16.1% and rental growth of 4.0% on a comparable basis. This growth was primarily due to indexation and revaluation on renegotiations and expiring leases. As at 31 December 2024, annual rental income was EUR 742.6 million and the occupancy rate was 93%.

In 2024, CTP completed 1,286,000 m² of new space at a Yield on Cost ("YoC") of 10.1%, with 92% of this space being let on completion. This grew the Group's portfolio to 13.3 million m² of GLA, while gross asset value ("GAV") increased by 17.2% to €16.0 billion. EPRA NTA per share increased by 13.6% to €18.08.

Adjusted company-specific EPRA EPS increased 12.5% year-on-year to EUR 364.0 million. Adjusted company-specific EPRA EPS was EUR 0.80, up 9.9%, in line with expectations. The Group has set its forecast for adjusted EPRA EPS for 2025 at EUR 0.86 - 0.88.

At 31 December 2024, projects under construction totalled 1.8 million m², with potential rental income of EUR 142 million after full letting and an expected YoC of 10.3%.

The Group's land bank has grown to 26.4 million m², of which 21.7 million m² is owned and reported on the balance sheet. This land bank provides for significant future CTP growth, particularly around existing business parks. Combined with the industry-leading YoC, CTP expects continued double-digit NTA growth in the coming years.

During 2024, CTP also successfully completed its first post-IPO accelerated bookbuild, which was oversubscribed multiple times. It raised EUR 300 million in capital, which will enable it to accelerate construction and acquisitions, such as an 830,000 m² brownfield project in the centre of Düsseldorf.

CEO Remon Vos' statement:
"In 2024, we leased a record 2.1 million m², which is 7% more than in the previous year. This demonstrates the continued strong demand in the CEE region and the robust growth potential of this business-attractive area of Europe. Thanks to a healthy balance between supply and demand, we achieved stable rental growth.
Looking ahead, we have also signed more HoTs (Heads of Terms) than in the previous year, giving us a strong base for leasing in 2025. With these rental levels, we can continue to expand our portfolio by more than 10% of new GLA per year and increase our market share in the CEE region.

Annual rental income was €743 million, reflecting strong cash generation from our portfolio, with a rental collection rate of 99.8%. Our future growth is already secured - we have 1.8 million sqm of GLA under construction and a land bank of over 26.4 million sqm, which will allow us to continue our double-digit NTA growth. In addition to the pre-leases in the current pipeline, we have a further 80,000 m² already signed for future projects that we plan to launch soon.

The demand for industrial and logistics real estate in the CEE region is supported by long-term factors such as the professionalization of supply chains (3PL), the continued growth of e-commerce and the trend of nearshoring and friend-shoring. The CEE region offers the best cost location in Europe, which is reflected in the growing interest of Asian manufacturing companies producing in Europe for Europe. These tenants accounted for approximately 20% of our total leasing activity in 2024, whereas in the past they only accounted for 10% of our total portfolio."

In 2024, CTP concluded lease agreements for 2,113,000 m², an increase of 7% compared to 2023. Contractual annual rental income amounted to EUR 144.0 million, with an average monthly rent per m² of EUR 5.68 (2023: EUR 5.69). After taking into account differences in country mix, rents increased by an average of 3%. Approximately two-thirds of the lease agreements concluded were with existing tenants, which is in line with CTP's business model, which focuses on growing with current tenants in existing parks.

CTP's average market share in the Czech Republic, Romania, Hungary and Slovakia increased to 28.8% as of 31 December 2024, confirming its position as the largest owner and developer of industrial and logistics properties in these countries. The Group is also the market leader in Serbia and Bulgaria.

CTP has nearly 1,500 clients, ensuring a broad and diversified international tenant base, including blue-chip companies with high credit ratings. CTP's tenants come from various sectors such as manufacturing, high-tech/IT, automotive, e-commerce, retail, wholesale and third party logistics. The portfolio is highly diversified, with no single tenant accounting for more than 2.5% of the company's annual rent, ensuring stable income. The top 50 tenants account for 35.2% of total rent, with most of them leasing space in multiple CTParks.

The portfolio occupancy rate has reached 93% (2023: 94%), while client retention rates remain high at 87% (2023: 90%), demonstrating CTP's ability to develop long-term tenant relationships. The average duration of leases (WAULT) was 6.4 years (2023: 6.5 years), which is in line with the company's target of >6 years.

The rent collection rate in 2024 was 99.8% (2023: 99.9%) with no deterioration in tenant payment morale.

Source: CTP press release.