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Xior Student Housing
Earnings Release • Apr 26, 2022
4028_10-q_2022-04-26_cd5e5785-775f-4069-b50b-546e6ce495ec.pdf
Earnings Release
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Antwerp, Belgium – 26 April 2022 – Embargo until 7h00
Regulated information
Interim announcement by the Board of Directors
First quarter 2022 – ending on 31 March 2022
Results in line with expectations
Strong start of rental season for the upcoming academic year Committed pipeline on track and hedged against rising construction prices
Key figures for Q1 2022 in line with expectations
- EPRA earnings 1 group share of EUR 0.37/share (EUR 0.47 after IFRIC 21 adjustment)
- EPRA earnings group share of KEUR 10,171, a 41% increase compared to Q1 2021 (KEUR 13,029 after IFRIC 21 adjustment)
- Net rental result increases to KEUR 24,817, a 41% increase compared to Q1 2021
- EPRA NAV/share of EUR 39.54 compared to EUR 38.63 as at 31/12/2021
- EPRA NTA/share of EUR 38.8 compared to EUR 37.92 as at 31/12/2021
- Debt ratio of 49.10% compared to 47.58% as at 31/12/2021
- Occupancy rate Q1 2022: 98.03% compared to 98% for the whole of 2021
- The property portfolio rose to MEUR 2,012 with 13,992 lettable student units. If the entire committed pipeline is completed, the portfolio will rise to approx. MEUR 2,800, with over 21,000 lettable student units.
- Confirmation of earnings forecast: EPS of EUR 2.00 for 2022 (+11%) & EUR 2.20 for 2023 (+10%)
Another huge rush for student rooms in all countries
- Just like last year, there is a massive search for rooms in all four countries Xior is operating in. The rental teams received a large number of applications in early March, again sooner than usual, and several cities have been rented out already.
- Like last year, the rental season started significantly earlier and higher retention rates were observed (up to 80%). In countries where the rental season has not yet officially started, applications are already well underway, resulting in waiting lists.
- The implemented rent increases have no effect on the increasing demand for student rooms.
Future-proof Xior: extensive pipeline & further professionalization
- Xior has an extensive pipeline totalling approx. 7,000 units spread across the four countries where Xior is already active and a first development project in Poland.
- This development pipeline is on track: thanks to fixed price agreements and the majority of projects being developed via turnkey agreements, Xior is not experiencing any negative impact from rising construction prices at the moment.
- In addition to portfolio growth, Xior also continues to grow and professionalise internally:
- o New Human Capital strategy supported by expansion HC-team
- o Strengthening of the workforce to over 200 collaborators, with a redesign of the internal organisation
- o Further focus on compliance & risk: creation of an Ethics & ESG committee, expansion of internal audit and policies, etc.
- o New Human Capital strategy supported by expansion HC-team
Antwerp, Belgium – 26 April 2022 – Embargo until 7h00
Regulated information
²² I. KEY FIGURES
| Consolidated P&L | In KEUR | 31/03/2022 | 31/03/2021 |
|---|---|---|---|
| Net rental result | 24,817 | 17,627 | |
| Property result | 23,261 | 12,525 | |
| Operating result before result on the portfolio | 14,424 | 10,729 | |
| Financial result (excluding variations in the fair value of financial assets and liabilities) |
-3,316 | -2,812 | |
| EPRA earnings 1 – group share |
10,171 | 7,199 | |
| EPRA earnings – group share after IFRIC 21 adjustment |
13,029 | 9,339 | |
| Result on the portfolio (IAS 40) | 15,293 | 1,560 | |
| Revaluation of financial instruments (non-effective interest rate hedges) | 25,904 | 5,569 | |
| Share in the result of joint ventures | 118 | 40 | |
| Deferred taxes | -2,330 | -417 | |
| Net result (IFRS) | 49,502 | 14,126 | |
| Number of lettable student units | 13,992 | 11,087 |
| Consolidated balance sheet | In KEUR | 31/03/2022 | 31/12/2021 |
|---|---|---|---|
| Equity | 1,053,302 | 1,003,852 | |
| Equity – group share | 1,033,177 | 984,436 | |
| Fair value of the investment property2 | 2,012,106 | 1,967,056 | |
| Debt ratio (Act on Regulated Real Estate Companies)3 | 49.10% | 47.58% | |
| Key figures per share | in EUR | 31/03/2022 | 31/03/2021 |
| Number of shares | 27,781,301 | 25,255,729 | |
| Weighted average number of shares | 27,781,301 | 22,110,327 | |
| EPRA earnings4 per share | 0.38 | 0.33 | |
| EPRA earnings5 per share – group share |
0.37 | 0.33 |
1 Xior Student Housing NV uses alternative performance measures (APMs) to measure and monitor its operational performance. The European Securities and Markets Authority (ESMA) has issued guidelines applying as from 3 July 2016 for the use and explanation of alternative performance measures. Chapter 10.8 of the Annual Financial Report 2021 includes the terms Xior regards as APMs. The APMs are marked with and are accompanied by a definition, an objective and a reconciliation (see IX and X of this Press Release), as required by the ESMA guideline.
2 The Fair Value of the investment property is the investment value as determined by an independent property expert, not including the transaction fees (see BE-REIT Association press release dated 10 November 2016). The Fair Value corresponds to the book value under IFRS.
3 Calculated in accordance with the Royal Decree of 13 July 2014 implementing the Act of 12 May 2014 on Regulated Real Estate Companies.
4 Calculated based on the weighted average number of shares.
5 Calculated based on the weighted average number of shares.
6 Calculated based on the weighted average number of shares.
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Antwerp, Belgium – 26 April 2022 – Embargo until 7h00
Regulated information
| EPRA earnings7 per share after IFRIC 21 adjustment – group share |
0.47 | 0.42 |
|---|---|---|
| Result on the portfolio (IAS 40) | 0.55 | 0.07 |
| Variations in the fair value of hedging instruments | 0.93 | 0.25 |
| Net result per share (IFRS)8 | 1.78 | 0.64 |
| Share closing price | 50.60 | 45.50 |
| Net asset value per share (IFRS) (before dividend) – group share | 37.19 | 33.56 |
II. CONSOLIDATED FINANCIAL RESULTS
The financial information for the period ending on 31 March 2022 was drawn up in accordance with the International Financial Reporting Standards (IFRS).
The figures published represent consolidated figures; holdings and subsidiaries have been consolidated in accordance with the relevant legislation.
1. Net rental result
In the first quarter of 2022, Xior achieved a net rental result of KEUR 24,817 compared to KEUR 17,627 in the first quarter of 2021. This is a 41% increase. This net rental result will continue to increase throughout the next quarters, as certain acquisitions will generate rental income only during the course of 2022.
This relates mainly to the following properties:
- Collblanc Barcelona: property was acquired in February 2022 and will start started earning rental income from the summer;
- Mélot Namur: acquisition to be acquired in Q3 2022 and will start generating rental income from the new academic year;
- Voskenslaan 196, Ghent: property will be delivered over the summer and will generate rental income from the new academic year;
- Marivaux Brussels: property will be delivered over the summer and will generate rental income from the new academic year.
As at 31 March 2022, Xior was able to calculate like for like covering 60% of the rental income. The company achieved a growth of 2.56% in this rental income compared to 31 March 2021.
For the first quarter of 2022, the average occupancy rate of the property portfolio was 98.03%.
2. EPRA earnings
EPRA earnings (excluding the portfolio result, excluding the impact of deferred taxes affected by IAS 40 adjustments, and excluding the impact of the variation in fair value of the financial assets and liabilities) are KEUR 10,517, compared to KEUR 7,375 in Q1 2021. EPRA earnings – group share are KEUR 10,171. EPRA earnings after IFRIC 21 adjustment were KEUR 13,375 as at 31 March 2022 compared to KEUR 9,515 as at Q1 2021. EPRA earnings after IFRIC 21 adjustment – group share are KEUR 13,029.
7 Calculated based on the weighted average number of shares.
8 Based on the number of shares.
Antwerp, Belgium – 26 April 2022 – Embargo until 7h00
Regulated information
²²
EPRA earnings per share9 are EUR 0.38, and EPRA earnings per share – group share are EUR 0.37. After the IFRIC 21 adjustment, this is EUR 0.48 per share. EPRA earnings after IFRIC 21 adjustment – group share are EUR 0.47.
| In KEUR | 31/03/2022 | Per share | 31/03/2021 |
|---|---|---|---|
| EPRA earnings | 10,517 | 0.38 | 7,375 |
| EPRA earnings – group share | 10,171 | 0.37 | 7,199 |
| EPRA earnings – after IFRIC 21 adjustment | 13,375 | 0.48 | 9,515 |
| EPRA earnings – after IFRIC 21 adjustment | 13,029 | 0.47 | 9,339 |
| – group share |
As a result of the application of the "IFRIC 21 levies" accounting rules (introduced in the financial year 2015), the figures of 31 March 2022 include a provision for the entire year of 2022 with regard to real estate withholding tax, Dutch property taxes, taxes on secondary residences and the so-called "subscription tax". This has a substantial negative impact on the result of the first quarter of 2022, as these costs are no longer spread across all quarters but are entirely booked against the first quarter.
The effect of this accounting treatment will reduce as the financial year unfolds. If these costs were to be spread by charging a quarter of the costs in each quarter, the result as at 31 March 2022 would go up by KEUR 2,859. In that theoretical case, EPRA earnings – group share would be KEUR 13,029.
3. Net result
The net result is KEUR 49,502 as at 31 March 2022 compared to KEUR 14,126 as at 31 March 2021. The net earnings per share are EUR 1.78. 10
The net result includes the impact of variations in the fair value of the investment property, other portfolio result, deferred taxes with regard to IAS 40 and variations in the fair value of financial assets and liabilities. EPRA earnings are the net result adjusted based on the effects set out above.
4. Fair value of real estate portfolio
As at 31 March 2022, the portfolio consisted of 13,992 lettable student units. The total property portfolio is valued at MEUR 2,012 as at 31 March 2022.
If all committed acquisitions and projects are implemented, this increase will continue and reach approx. EUR 2.8 billion, with more than 21,000 lettable student units.
5. Debt ratio
As at 31 March 2022, the debt ratio was 49.10% compared to 47.58% as at 31 December 2021.
III. FINANCING
As at 31 December 2022, the Company had concluded financing agreements with 14 lenders for a total amount of MEUR 1,477, including MEUR 200 in Commercial Paper. The Company had drawn down a total of MEUR 1,002 in financing as at 31 March 2022.
9 The calculation of the EPRA earnings per share is based on the weighted average number of shares on 31 March 2022, which was 27,781,301
10 This is based on the weighted average number of shares.
Regulated information
²² The Company aims to stagger the loan maturities with an average maturity of 4.57 years as at 31 March 2022.
The Company also had IRS contracts totalling MEUR 479 as at 31 March 2022. As at 31 March 2022, the drawn down financing (MEUR 1,004) was hedged for 85% through Interest Rate Swap agreements or fixed interest rates.
The average cost of financing during 2022 is 1.79% (2021: 2.15%).
During 2022, two loans with BNPPF totalling MEUR 50, one loan with KBC for MEUR 25, one loan with Argenta for MEUR 20, and one loan with ING for MEUR 20 came at maturity. Negotiations were conducted with the three banks – BNPPF, Argenta and ING – and an agreement was reached to refinance until 31/03/2027 and 11/10/2026 with BNPPF, until 31/12/2027 with Argenta and until 05/05/2026 with ING.
IV. KEY PROJECTS COMPLETED IN THE FIRST QUARTER OF 2022
1. Collblanc Student Housing completion
In 2019, an agreement was signed to acquire a student property to be developed in Collblanc, Barcelona. Xior would acquire the building after its development. The building was completed and the Collblanc Student Housing company shares were transferred on 28 February 2022.
2. Xior continues international expansion by entering the Polish market
As a continental real estate player specialising in student housing, Xior continues its international expansion strategy by adding a fifth country to its portfolio. After Belgium, the Netherlands, Spain and Portugal, Poland will drive the further realisation of Xior's international growth plans forward. Xior is taking a substantial first step into this new market with an initial investment project in Warsaw that includes more than 500 rooms. The total investment value is about MEUR 32 with a gross investment yield of approx. 9%. The entire investment will be in EUR to avoid the exchange risk. The project is expected to be completed in 2024.
3. Further expansion in Granada: new development project in a prime location
Xior has signed the letter of intent for the development of a brand-new residence in Granada. It is Xior's second location in this Andalusian student city. This development project consists of approximately 310 rooms (all with individual bathrooms) and various communal areas. The development will meet strict sustainability requirements and will be completed in Q3 2025. Odalys, which Xior is already using at three other sites, will manage the location for 12 years. Another 12-year triple net lease agreement at a fixed rent will be concluded with Odalys for this residence.
4. Update on student housing in Vaals
Xior already announced on 25 February 2022 that Xior and the municipal assembly of Vaals had come to the conclusion in January 2022 that a large number of student rooms at the Selzerbeeklaan location cannot be completed as announced by Xior on 24 August 2021. Following this conclusion, Xior invoked the execution of the resolutive condition for the purchase agreement announced by Xior on 24 August 2021. The municipality of Vaals will work with Xior in the coming months to examine, in part based on the indications received from discussions with local residents and the assembly, whether there are any other
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opportunities for this development in Vaals as desired by Xior and the municipal authorities. The possibility to create a coherent collection of (new) residential facilities in the area will also be examined.
5. Acquisition of a renovation project with the city of Seraing
The city of Seraing owns a beautiful 4 hectare park with remarkable trees and a heritage property in need of renovation. In early March 2022, a multidisciplinary team was appointed to plan this redevelopment. Its task is to design, implement, finance and manage a residential complex with services for students and young professionals.
Trasenster Castle in the middle of the park will also be restored and transformed to offer services as an integrated part of the project.
Programme:
- Construction of approximately 300 dwellings with various communal areas and shops
- Contemporary, functional and timeless interior design
- Development of a public square connecting the residence and the rest of the neighbourhood. The square is situated at the end of the "Ateliers Centraux" walkway and is a meeting place and residential space
- Renovation and opening of Trasenster Castle to offer services to the public: restaurants and terraces for the general public and a library and rooms for studying, reading and recreation for students only
- Development of the park and public patios
- Parking for residents and shared mobility
Transaction: Xior Student Housing will become the full owner of the student residence and receive a 50 year ground lease for Trasenster Castle (subject to the necessary permits being obtained). The estimated investment value is MEUR 26 (indicative) with an expected initial yield in line with current student housing market returns. Completion is expected in 2024.
V. Operational update
1. Rental
Once again, Xior is seeing a huge rush for student rooms this year. Already since the end of last year, the various rental offices already received many applications with a peak in early March, and retention rates are also remarkably high. The structural imbalance between supply and demand is expected to lead to rent increases that exceed inflation ('like for like' growth) in the new rental season. Utility charges are also hedged against inflation. The implemented rent increases have no effect on the increasing demand for student rooms.
- In Belgium, Leuven rented out at a record pace and in Ghent the last rooms are now rented as well. The retention in these cities was unprecedentedly high (65-80%). Rentals are also going very well in the other cities, and student accommodation open days are filling up fast.
- In the Netherlands, rentals traditionally start in mid-May, but there too waiting lists are growing and the local teams have received many requests already.
- In Portugal and Spain, rentals only start in July, but Xior is also seeing the same trend of high retention rates and substantial waiting lists there. Now that the coronavirus pandemic is stabilising, the return of university group reservations is very noticeable.
2. Rent collection: the commercial teams in the four countries continue to make every effort to collect the latest rents. The vast majority of rents for Q1 2022 have been received and the collection rate is 94,8%,
Regulated information
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compared to 94% for Q1 2021. The local teams will continue to pay extra attention to collection of the remaining rents.
3. ESG
Xior published its 2021 sustainability report on 19 April 2022. This report is available on Xior's website. It includes Xior's main sustainability achievements in 2021. Xior has already reduced its CO2 by 20% and has increased its green electricity by 88%.
In the meantime, Xior continues to roll out its North Star project and drive forward its CO2 reduction plan and targets.
People
At the end of 2021, Xior launched its first employee survey, which also serves as the basis for the roll-out of the new Human Capital Strategy that was announced at the end of 2021. This strategy aims to create a coherent and sustainable human resources policy in support of Xior's long-term objectives, in order to make the company and its human capital future-proof. As a fast-growing company in a constantly changing environment, Xior must take the lead. It has to develop today's organisation and build tomorrow's organisation as well by proactively attracting the right talent and by continuing to develop its existing employees.
This new strategic approach is all the more important because of the company's rapid growth, which saw the headcount rise from 136 at the end of 2020 to 172 at the end of 2021. If we also take into account the employees of Quares Student Housing, recent recruitment, self-employed staff and temporary employees, the Xior family has now exceeded the 200 mark.
Planet
A significant decrease in the CO2 impact was measured in 2021 already. For the same like-for-like scope, the intensity dropped by 20% thanks to the company's efforts in terms of increasing the share in renewable energy. In total, this increased from 14% to 88% with a mix of green electricity contracts and in-house generation with 30% more installed solar panel capacity.
Xior continues to work on its CO2 climate plan so that it can define its reduction targets later in 2022. The energy team will also be expanded to further strengthen, implement and adjust Xior's sustainability strategy. The reduction targets will be defined according to the SBTi framework. Based on this definition, a concrete CO2 reduction plan will be drawn up and an analysis will determine which existing buildings qualify to reduce the CO2 footprint through energy-efficient systems.
Process
The growth of the company also requires a further professionalization of the company in terms of governance with a further focus on compliance, risk, policies and procedures. In that context internal audit was also expanded and an Ethics & ESG committee was set up in April, comprising the CEO and two non-executive board members. This committee will monitor the various policies and any breaches of these policies (with regard to diversity, human rights, corruption and so on) and will carry out an ethics audit every three years. The committee will also roll out further ESG initiatives.
4. Pipeline on track
Xior has an extensive pipeline with a total of around 7,000 units spread across the four countries where Xior is already active, and a first development project in Poland. This development pipeline is on track: thanks to fixed price agreements and the majority of projects being developed via turnkey agreements, Xior is not experiencing any negative impact from rising construction prices for the time being.
PRESS RELEASE
Antwerp, Belgium – 26 April 2022 – Embargo until 7h00
Regulated information
Construction started on Tweebaksmarkt
Xior announced the acquisition of Project City Lofts in Leeuwarden on 24 February 2021.11 This project concerns the redevelopment and renovation of the former KPN building into a brand-new residence with 183 student rooms and a total investment value of approx. MEUR 18.5. At the start of 2022 the redevelopment permit was obtained and the first construction works have started after closing of the development agreement. The project will be completed before the start of the academic year 2023–2024.
5. Future proof Xior: further internal professionalization
In addition to the growth of its portfolio, Xior is also growing and professionalizing internally. The sharp increase in staff numbers over the past few years has required a new, strategic approach to employee policy, with not only a new strategy, but also an expansion of the human capital team and a strategic exercise in redesigning internal functions/organizations. One of the recruitments in this context, to increase a.o. the operational excellence in the Netherlands, is Dick Schotman.
Dick schotman strengthens Xior the Netherlands
Dick Schotman is joining Xior Netherlands as "Director of Operations The Netherlands". Dick completed a master's degree in Financial Economics at Erasmus University Rotterdam. He started his career at the M&A department of Royal Bank of Scotland (subsequently ABN AMRO Bank) in 2010. Over the past 4.52 years, Dick has worked in Belgium as an investment banker for ABN AMRO Bank, where he has played an important role in the (re)building of the corporate real estate portfolio.
Dick Schotman: "I am very excited and motivated to join Xior, an impressive growth story with even greater growth potential. The Dutch market has many challenges: not only is there a great shortage of student housing, but the student population also continues to grow, and I would love to be able to contribute my part!"
VI. GROWTH PROSPECTS
Xior has every intention of continuing to pursue its growth strategy in 2022 by adding quality student properties to its property portfolio and by completing the projects in its property development pipeline. Xior is convinced that a number of attractive growth opportunities remain available both in Belgium and the Netherlands, as well as the Iberian peninsula.
The structural imbalance between supply and demand is expected to lead to rent increases above inflation (like for like growth). Utility charges are also hedged against inflation.
For the financial year 2022, the Company is anticipating EPRA earnings per share of EUR 2.00, an increase of 11% compared to 2021. It is also setting a target of EUR 1.60 for the gross dividend per share with a minimum payout of 80% (an 11% increase compared to 2021). The previously announced EPRA earnings per share were EUR 1.98. This means that Xior is once again expecting an increase in its earnings per share over the previous year, despite the fact that the number of shares has increased by 32% during 2021, as a result of the successful capital increase in March 2021 and the capital increase in December 2021. Xior is also expecting the EPRA earnings per share to increase to EUR 2.20 and a dividend of EUR 1.76 per share for 2023.
11 See press release "Annual Communiqué – Publication of the Annual Results 2020" dated 24/02/2021.
Regulated information
²² After full development of the portfolio, an annualised rent of approximately MEUR 136 is forecast.
Xior is expecting the debt ratio to be around 50-55% by the end of 2022 as a result of the further implementation of this growth strategy.
For 2022 as a whole, Xior is expecting an occupancy rate similar to the current rate.
VII. FINANCIAL CALENDAR*
| Annual General Meeting | 19 May 2022 |
|---|---|
| Payment date dividend 2021 (coupon 17-19-20) | 25 May 2022 |
| Announcement of results as at 30 June 2022 (before start of trading) | 5 August 2022 |
| Announcement of results as at 30 September 2022 (before start of trading) | 25 October 2022 |
| * Future dates are subject to change. |
For more information, please contact:
Xior Student Housing NV Mechelsesteenweg 34, box 108 2018 Antwerp, Belgium www.xior.be
Christian Teunissen, CEO Frederik Snauwaert, CFO [email protected] T +32 3 257 04 89
Xior Investor Relations Sandra Aznar Head of Investor Relations [email protected] T +32 3 257 04 89
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Antwerp, Belgium – 26 April 2022 – Embargo until 7h00
| VIII. FINANCIAL SUMMARY |
||
|---|---|---|
| CONSOLIDATED OVERVIEW OF THE FINANCIAL POSITION | ||
| ASSETS (in KEUR) | 31/03/2022 | 31/12/2020 |
| I. FIXED ASSETS | 2,048,415 | 1,987,008 |
| B. Intangible fixed assets | 467 | 297 |
| C. Investment property | 2,012,106 | 1,967,056 |
| a. Property available to let | 1,858,091 | 1,817,597 |
| b. Property developments | 154,015 | 149,459 |
| D. Other tangible fixed assets | 912 | 1,034 |
| a. Tangible fixed assets for own use | 912 | 1,034 |
| E. Financial fixed assets | 14,026 | 686 |
| Authorised hedging instruments | 13,384 | 0 |
| Other | 642 | 686 |
| G. Trade receivables and other fixed assets | 2,922 | 135 |
| H. Deferred taxes – assets | 676 | 491 |
| I. Shareholdings in associated companies and joint ventures, equity movements | 17,306 | 17,309 |
| II. CURRENT ASSETS | 156,559 | 89,438 |
| D. Trade receivables | 1,494 | 2,693 |
| E. Tax receivables and other current assets | 112,462 | 65,309 |
| a. Taxes | 2,390 | 2,589 |
| c. Other | 110,072 | 62,720 |
| F. Cash and cash equivalents | 31,066 | 10,849 |
| G. Accruals and deferrals | 11,537 | 10,586 |
| G. Accruals and deferrals | 11,537 | 10,586 |
|---|---|---|
| Prepaid property charges | 5,180 | 3,948 |
| Accrued rental income not due | 2,072 | 1,481 |
| Other | 4,284 | 5,158 |
| TOTAL ASSETS | 2,204,975 | 2,076,446 |
| LIABILITIES (in KEUR) | 31/03/2022 | 31/12/2021 |
|---|---|---|
| EQUITY | 1,053,302 | 1,003,852 |
| I. Equity attributable to parent company shareholders |
1,033,177 | 984,436 |
| A. Capital | 494,707 | 494,772 |
| a. Issued capital | 500,063 | 500,063 |
| b. Capital increase costs (-) | -5,356 | -5,291 |
| B. Issue premiums | 508,008 | 508,008 |
Antwerp, Belgium – 26 April 2022 – Embargo until 7h00
| C. Reserves | -18,155 | -99,519 |
|---|---|---|
| Reserve for the balance of variations in the fair value of property | -2,018 | -2,018 |
| Reserve for the impact on the fair value of the estimated transaction fees and costs resulting from the hypothetical disposal of investment properties |
-34,439 | -34,439 |
| Reserve for the balance of the variations in the fair value of permitted hedging instruments not subject to hedging accounting as defined in the IFRS |
-24,509 | -24,509 |
| Reserves for the share of profit or loss and unrealised income of subsidiaries, associates and joint ventures accounted for using the equity method |
-3,494 | -3,494 |
| Other reserves | 0 | 0 |
| Retained earnings from previous financial years | 46,305 | -35,059 |
| D. Net result for the financial year | 48,616 | 81,174 |
| II. Minority interests |
20,125 | 19,416 |
| LIABILITIES | 1,151,673 | 1,072,593 |
| I. Non-current liabilities | 919,185 | 854,363 |
| B. Non-current financial debts | 825,262 | 750,254 |
| a. Credit institutions | 626,547 | 551,345 |
| b. Financial leasing | 5,081 | 5,146 |
| c. Other | 193,634 | 193,763 |
| C. Other non-current financial liabilities | 0 | 13,023 |
| a. Permitted hedging instruments | 0 | 13,023 |
| E. Other non-current liabilities | 28,640 | 28,177 |
| F. Deferred taxes – liabilities | 65,284 | 62,909 |
| a. Exit tax | 6,772 | 6,723 |
| b. Other | 58,512 | 56,186 |
| II Short-term liabilities | 232,488 | 218,231 |
| B. Current financial liabilities | 181,678 | 165,342 |
| a. Credit institutions | 181,678 | 165,342 |
| D. Trade debts and other current liabilities | 14,233 | 17,707 |
| a. Exit tax | 529 | -9 |
| b. Other | 13,704 | 17,717 |
| Suppliers | 11,566 | 13,492 |
| Tenants | 406 | 2,328 |
| Taxes, wages and social security contributions | 1,732 | 1,897 |
| E. Other current liabilities | 26,857 | 26,436 |
| Other | 26,857 | 26,436 |
Antwerp, Belgium – 26 April 2022 – Embargo until 7h00
Regulated information
| a. Deferred property income | ||
|---|---|---|
| 2,599 | 2,368 | |
| b. Accrued interest not due | 3,373 | 2,027 |
| c. Other | 3,748 | 4,349 |
| TOTAL EQUITY AND LIABILITIES | 2,204,975 | 2,076,446 |
CONSOLIDATED PROFIT AND LOSS ACCOUNT
| Income statement (in KEUR) | 31/03/2022 | 31/03/2021 |
|---|---|---|
| I. (+) Rental income | 25,079 | 17,762 |
| (+) Rental income | 23,967 | 17,300 |
| (+) Rental guarantees | 1,233 | 593 |
| (-) Rent reductions | -121 | -131 |
| Impairments of trade receivables | -262 | -135 |
| NET RENTAL INCOME | 24,817 | 17,627 |
| V. (+) Recovery of rental charges and taxes normally payable by the tenant on let properties |
5,643 | 3,882 |
| - Transmission of rental charges borne by the proprietor | 5,627 | 3,817 |
| - Calculation of withholding tax and taxes on let properties | 16 | 65 |
| VII. (-) Rental charges and taxes normally payable by the tenant on let properties |
-7,032 | -4,291 |
| - Rental charges borne by the proprietor | -7,014 | -4,207 |
| - Withholding tax and taxes on let properties | -18 | -84 |
| VIII. (+/-) Other rental-related income and expenditures | -167 | -221 |
| PROPERTY RESULT | 23,261 | 16,996 |
| IX. (-) Technical costs | -1,184 | -784 |
| Recurring technical costs | -1,191 | -819 |
| (-) Maintenance | -1,009 | -679 |
| (-) Insurance premiums | -182 | -140 |
| Non-recurring technical costs | 8 | 35 |
| (-) Damages | 8 | 35 |
| X. (-) Commercial costs | -143 | -166 |
| (-) Publicity, etc. | -98 | -129 |
| (-) Legal costs | -45 | -37 |
| XI. (-) Costs and taxes for non-let properties | -164 | -184 |
| XII. (-) Property management costs | -1,491 | -1,050 |
| (-) Management costs (external) | 0 | -72 |
| (-) Management costs (internal) | -1,491 | -978 |
| XIII. (-) Other property charges | -2,938 | -2,287 |
| (-) Architects' fees | 0 | 0 |
| (-) Valuation expert fees | -89 | -82 |
| (-) Other property charges | -2,848 | -2,204 |
| (+/-) PROPERTY CHARGES | -5,919 | -4,471 |
| PROPERTY OPERATING RESULT | 17,341 | 12,525 |
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Antwerp, Belgium – 26 April 2022 – Embargo until 7h00
| XIV. (-) General company expenses XV. (+/-) Other operating income and costs OPERATING RESULT BEFORE RESULT ON PORTFOLIO XVI. (+/-) Result on the sale of investment property XVII. (+/-) Result on the sale of other non-financial assets XVIII. (+/-) Variations in the fair value of investment property (+) Positive variations in the fair value of investment property (-) Negative variations in the fair value of investment property XIX. (+) Other portfolio result OPERATING RESULT XX. (+) Financial income (+) Interest and dividends collected XXI. (-) Net interest costs (-) Nominal interest paid on loans (-) Reconstitution of the nominal amount of financial debt (-) Costs of permitted hedging instruments |
-2,920 3 14,424 89 0 15,828 19,819 -3,991 -624 29,718 |
-1,808 12 10,729 0 0 2,024 2,744 -720 |
|---|---|---|
| -464 | ||
| 12,289 | ||
| 147 | 111 | |
| 147 | 111 | |
| -2,844 | -2,659 | |
| -1,834 | -1,835 | |
| -102 | -94 | |
| -908 | -730 | |
| XXII. (-) Other financial costs | -619 | -264 |
| - Bank costs and other commissions | -454 | -197 |
| Other | -165 | -66 |
| XXIII. (+/-) Variations in the fair value of financial assets and liabilities | 25,904 | 5,569 |
| (+/-) FINANCIAL RESULT | 22,587 | 2,757 |
| XXIV Share in the result of associated companies and joint ventures | 118 | 40 |
| RESULT BEFORE TAXES | 52,423 | 15,086 |
| XXV. Corporation taxes | -591 | -960 |
| XXVI. Exit tax | -71 | 0 |
| (+/-) TAXES | -2,258 | -960 |
| NET RESULT | 49,502 | 14,126 |
| EPRA EARNINGS | 10,517 | 7,375 |
| EPRA EARNINGS – GROUP SHARE | 10,171 | 7,199 |
| RESULT ON THE PORTFOLIO | 15,293 | 1,560 |
| DEFERRED TAXES WITH REGARD TO IAS 40 ADJUSTMENTS | -2,330 | -417 |
| VARIATIONS IN THE FAIR VALUE OF FINANCIAL ASSETS AND LIABILITIES | 26,022 | 5,609 |
| EPRA EARNINGS PER SHARE (in EUR) |
||
| EPRA EARNINGS PER SHARE (in EUR) – GROUP SHARE |
0.38 | 0.33 |
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Antwerp, Belgium – 26 April 2022 – Embargo until 7h00
Regulated information
IX. ALTERNATIVE PERFORMANCE MEASURES (APMs): RECONCILIATION TABLES
| EPRA earnings | 31/03/2022 | 31/03/2021 |
|---|---|---|
| Net result | 49,502 | 14,126 |
| Variations in the fair value of the investment property |
-15,828 | -2,024 |
| Other portfolio result | 624 | 464 |
| Result on the sale of investment property | -89 | 0 |
| Variations in the fair value of financial assets and liabilities |
-26,022 | -5,609 |
| Deferred taxes with regard to IAS 40 | 2,330 | 417 |
| EPRA earnings | 10,517 | 7,375 |
| EPRA earnings – group share | 10,171 | 7,199 |
| EPRA earnings after IFRIC 21 adjustment | 31/03/2022 | 31/03/2021 |
| Net result | 49,502 | 14,126 |
| Variations in the fair value of the investment property |
-15,828 | -2,024 |
| Other portfolio result | 624 | 464 |
| Result on the sale of investment property | -89 | 0 |
| Variations in the fair value of financial assets and liabilities |
-26,022 | -5,609 |
| Deferred taxes with regard to IAS 40 | 2,330 | 417 |
| EPRA earnings | 10,517 | 7,375 |
| IFRIC 21 impact | 2,859 | 2,140 |
| EPRA earnings after IFRIC 21 adjustment | 13,375 | 9,515 |
| EPRA earnings after IFRIC 21 adjustment – group share |
13,029 | 9,339 |
| Result on the portfolio | 31/03/2022 | 31/03/2021 |
| Result on the sale of investment property | 89 | 0 |
| Variations in the fair value of the investment property |
15,828 | 2,024 |
| Other portfolio result | -624 | -464 |
| Result on the portfolio | 15,293 | 1,560 |
| Average interest rate | 31/03/2022 | 31/03/2021 |
|---|---|---|
| ----------------------- | ------------ | ------------ |
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Regulated information
| Nominal interest paid on loans | 1,834 | 1,835 | |||
|---|---|---|---|---|---|
| 908 | 730 | ||||
| Costs of permitted hedging instruments | 929 | 910 | |||
| Capitalised interest | |||||
| Average outstanding debt for the period | 981,684 | 711,729 | |||
| Average interest rate | 1.50% | 1.95% | |||
| Average interest rate excluding costs of permitted | 1.13% | 1.54% | |||
| hedging instruments | |||||
| 31/03/2022 | 31/03/2021 | ||||
| Average financing costs | 1,834 | 1,835 | |||
| Nominal interest paid on loans | |||||
| Costs of permitted hedging instruments | 908 | 730 | |||
| Capitalised interest | 929 | 910 | |||
| 102 | 94 | ||||
| Breakdown of the nominal amount of financial debt | 619 | 264 | |||
| Bank costs and other commissions | |||||
| Average outstanding debt for the period | 981,684 | 711,729 | |||
| Average financing costs | 1.79% | 2.15% | |||
| Average financing costs excluding costs of permitted | 1.42% | 1.74% | |||
| hedging instruments | |||||
| Per 31/03/2022 | EPRA NRV | EPRA NTA | EPRA NDV | EPRA NAV | EPRA NNNAV |
| IFRS equity attributable to shareholders excluding |
|||||
| minority interests | 1,033,177 | 1,033,177 | 1,033,177 | 1,033,177 | 1,033,177 |
| Minority interests | XXXXXXXXXXX | XXXXXXXXXXX | XXXXXXXXXXX | 20,125 | 20,125 |
| DEDUCTION Deferred taxes related to FV |
|||||
| earnings on IP | 58,512 | 58,512 | XXXXXXXXXXX | 58,512 | XXXXXXXXXXX |
| FV of financial instruments ntangible fixed assets in |
-13,384 | -13,384 | XXXXXXXXXXX | -13,384 | XXXXXXXXXXX |
| accordance with IFRS BS | XXXXXXXXXXX | 467 | XXXXXXXXXXX | XXXXXXXXXXX | XXXXXXXXXXX |
| ADDITION | |
|---|---|
| ---------- | -- |
FV of fixed-income debts XXXXXXXXXXX XXXXXXXXXXX 12,678 XXXXXXXXXXX XXXXXXXXXXX
Antwerp, Belgium – 26 April 2022 – Embargo until 7h00
| Transaction fees | 114,630 | N/A | XXXXXXXXXXX | XXXXXXXXXXX | XXXXXXXXXXX ²² |
|---|---|---|---|---|---|
| NAV | 1,192,935 | 1,077,838 | 1,045,855 | 1,098,430 | 1,053,302 |
| Fully diluted number of shares |
27,781,301 | 27,781,301 | 27,781,301 | 27,781,301 | 27,781,301 |
| NAV per share | 42.94 | 38.80 | 37.65 | 39.54 | 37.91 |
| NAV per share – group share | 42.94 | 38.80 | 37.65 | 38.81 | 37.19 |
| Portfolio subject to deferred taxes and intended to be |
Fair Value | % of total portfolio |
% excl. deferred taxes |
||
| held and not sold in the long term Portfolio subject to partial |
2,012.106 | 100 | 100 | ||
| deferred tax and tax structuring |
0 | 0 | 0 | ||
| Per 31/12/2021 | EPRA NRV | EPRA NTA | EPRA NDV | EPRA NAV | EPRA NNNAV |
| IFRS equity attributable to shareholders excluding minority interests |
984,436 | 984,436 | 984,436 | 984,436 | 984,436 |
| Minority interests | XXXXXXXXXXX | XXXXXXXXXXX | XXXXXXXXXXX | 19,416 | 19,416 |
| DEDUCTION Deferred taxes related to FV earnings on IP |
56,186 | 56,186 | XXXXXXXXXXX | 56,186 | XXXXXXXXXXX |
| FV of financial instruments | 13,023 | 13,023 | XXXXXXXXXXX | 13,023 | XXXXXXXXXXX |
| Intangible fixed assets in accordance with IFRS BS |
XXXXXXXXXXX | 297 | XXXXXXXXXXX | XXXXXXXXXXX | XXXXXXXXXXX |
| ADDITION | |||||
| FV of fixed-income debt | XXXXXXXXXXX | XXXXXXXXXXX | -7,584 | XXXXXXXXXXX | XXXXXXXXXXX |
| Transaction fees | 112,273 | N/A | XXXXXXXXXXX | XXXXXXXXXXX | XXXXXXXXXXX |
| NAV | 1,165,918 | 1,053,348 | 976,852 | 1,073,061 | 1,003,852 |
| Fully diluted number of shares |
27,781,301 | 27,781,301 | 27,781,301 | 27,781,301 | 27,781,301 |
| NAV per share | 41.97 | 37.92 | 35.16 | 38.63 | 36.13 |
| NAV per share – group share | 41.97 | 37.92 | 35.16 | 37.93 | 35.44 |
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Antwerp, Belgium – 26 April 2022 – Embargo until 7h00
Regulated information
| Portfolio subject to deferred taxes and intended to be |
Fair Value | % of total portfolio |
% excl. deferred taxes |
|---|---|---|---|
| held and not sold in the long term Portfolio subject to partial |
1,967,056 | 100 | 100 |
| deferred tax and tax structuring |
0 | 0 | 0 |
X. Glossary of the Alternative Performance Measures (APMs) used by Xior Student Housing
| APM name | Definition | Use |
|---|---|---|
| EPRA earnings | Net result +/- variations in the fair value of investment property +/- other portfolio result +/- result on the sale of investment property +/- variations in the fair value of financial assets and liabilities +/- deferred taxes arising from IAS 40 adjustments |
Measuring the results of the strategic operational activities, excluding variations in the fair value of investment property, other portfolio result, result on the sale of investment property and variations in the fair value of financial assets and liabilities and deferred taxes with regard to IAS 40. This indicates the extent to which dividend payments are covered by earnings. |
| Result on the portfolio | Result on the sale of investment property +/- variations in the fair value of investment property +/- other portfolio result |
Measuring the realised and unrealised gain/loss on investment property |
| Average interest rate | Interest charges including IRS interest charges, divided by the average outstanding debt during the period |
Measuring average debt interest costs to allow comparison with peers and analysis of trends over time |
| Average interest rate excluding IRS interest charges |
Interest charges excluding IRS interest charges, divided by the average outstanding debt during the period |
Measuring average debt interest costs to allow comparison with peers and analysis of trends over time |
| Average financing costs | Interest charges including IRS interest charges + arrangement fees and commitment fees, divided by the average outstanding debt during the period |
Measuring the average financing costs to allow comparison with peers and analysis of trends over time |
| Average financing cost excluding IRS interest charges |
Interest costs excluding IRS interest charges + arrangement fees and commitment fees, divided by the average outstanding debt during the period |
Measuring the average financing costs to allow comparison with peers and analysis of trends over time |
| EPRA earnings per share | Net result +/- result on the sale of investment property +/- variations in the fair value of investment property +/- other portfolio result +/- variations in the fair value of financial assets and liabilities +/- deferred taxes arising from IAS 40 adjustments, divided by the average number of shares |
Comparability with other RRECs and international property players |
| EPRA NAV | This is the NAV that has been adjusted to include real estate and other investments at their fair value and to exclude certain items that are not expected to materialise in a business model with long-term investment property. |
Comparability with other RRECs and international property players |
| EPRA NNNAV | EPRA NAV adjusted to take into account the fair value of (i) assets and liabilities, (ii) debts and (iii) deferred taxes |
Comparability with other RRECs and international property players. The EPRA NAV metrics make adjustments to the NAV per IFRS financial statements to provide stakeholders with the most relevant |
²²
Antwerp, Belgium – 26 April 2022 – Embargo until 7h00
| information about the fair value of a property company's assets and liabilities under various scenarios. |
||
|---|---|---|
| EPRA Net Reinstatement Value (NRV) |
Assumes that entities never sell property and aims to represent the value needed to rebuild the property. |
Comparability with other RRECs and international property players. The EPRA NAV metrics make adjustments to the NAV per IFRS financial statements to provide stakeholders with the most relevant information about the fair value of a property company's assets and liabilities under various |
| EPRA Net Tangible Assets (NTA) |
Assumes that entities buy and sell assets, causing certain levels of unavoidable deferred tax to materialise. |
scenarios. Comparability with other RRECs and international property players. The EPRA NAV metrics make adjustments to the NAV per IFRS financial statements to provide stakeholders with the most relevant information about the fair value of a property company's assets and liabilities under various scenarios. |
| EPRA Net Disposal Value (NDV) |
Represents the shareholder value in a sell-out scenario, in which deferred tax, financial instruments and certain other adjustments are calculated to the full extent, after deduction of the resulting tax. |
Comparability with other RRECs and international property players. The EPRA NAV metrics make adjustments to the NAV per IFRS financial statements to provide stakeholders with the most relevant information about the fair value of a property company's assets and liabilities under various scenarios. |
| EPRA Net Initial Yield (NIY) | Annualised gross rental income based on the current rent on the closing date, excluding the property charges, divided by the portfolio market value plus the estimated transaction rights and costs in case of hypothetical disposal of investment property |
Comparability with other RRECs and international property players |
| EPRA Adjusted Net Initial Yield (Adjusted NIY) |
This metric integrates an adjustment of the EPRA NIY for the end of rent-free periods or other non-expired rental incentives |
Comparability with other RRECs and international property players |
| EPRA rental vacancy | Estimated rental value of vacant units divided by the estimated rental value of the total portfolio. |
Comparability with other RRECs and international property players |
| EPRA Cost Ratio (including vacancy costs) |
EPRA costs (including vacancy costs) divided by the gross rental income, less the rent still to be paid on rented land |
Comparability with other RRECs and international property players |
| EPRA Cost Ratio (excluding vacancy costs) |
EPRA costs (excluding vacancy costs) divided by the gross rental income, minus the rent still to be paid on rented land |
Comparability with other RRECs and international property players |
Antwerp, Belgium – 26 April 2022 – Embargo until 7h00
Regulated information
About Xior Student Housing ²²
Xior Student Housing NV is the first Belgian public regulated real estate company (RREC) specialising in the student housing segment in Belgium, the Netherlands, Spain and Portugal. Within this property segment, Xior Student Housing offers a variety of accommodation, ranging from rooms with shared facilities to en-suite rooms and fully equipped studios. Since 2007, as owneroperator, Xior Student Housing has built high-quality, reliable student accommodation for students looking for the ideal place to study, live and relax. A place with that little bit extra, where every student immediately feels at home.
Xior Student Housing has been accredited as a public RREC under Belgian law since 24 November 2015. Xior Student Housing's shares have been listed on Euronext Brussels (XIOR) since 11 December 2015. On 31 March 2022, Xior Student Housing held a property portfolio worth approximately EUR 2.01 billion. More information is available at www.xior.be.
Xior Student Housing NV, a Public RREC under Belgian law (BE-REIT) Mechelsesteenweg 34, box 108, 2018 Antwerp, Belgium BE 0547.972.794 (Antwerp Register of Legal Entities, Antwerp Division)
Disclaimer
This press release contains forward-looking information, projections, convictions, opinions and estimates produced by Xior in relation to the expected future performance of Xior and of the market in which it operates ('forward-looking statements'). By nature, forward-looking statements involve inherent risks, uncertainties and assumptions, both general and specific, that appear justified at the time at which they are made but which may or may not turn out to be accurate, and there is a risk that the forward-looking statements will not be realised. Some events are difficult to predict and may depend on factors outside of Xior's control. In addition, the forward-looking statements are only valid on the date of this press release. Statements in this press release relating to past trends or activities may not be interpreted as an indication that such trends or activities will persist in future. Neither Xior nor its representatives, officers or advisers can guarantee that the parameters upon which the forward-looking statements are based are free of errors, nor can they indicate, guarantee or predict whether the expected results set out in such a forward-looking statement will ultimately be achieved. Actual profits, the financial situation and Xior's performance or results may therefore differ substantially from the information projected or implied in forward-looking statements. Xior expressly does not accept any obligations or guarantees as to public updates or reviews of forward-looking statements unless required to do so by law. This press release has been prepared in Dutch and has been translated into English and French. In case of discrepancies between the different versions of this press release, the Dutch version will prevail.