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GICSA Announces Consolidated Results for Fourth Quarter 2015

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MEXICO CITY--(BUSINESS WIRE)--

GRUPO GICSA, S.A.B. de C.V. ("GICSA" or "the Company") (BMV:GICSA), a Mexican leading company specialized in the development, investment, commercialization and operation of shopping malls, corporate offices, industrial buildings and mixed use properties, announced today its results for the fourth quarter ("4Q15") and twelve month ("2015") periods ended December 31, 2015. All figures have been prepared in accordance with International Financial Reporting Standards ("IFRS") and are stated in millions of Mexican pesos (Ps.). GICSA's financial results presented in this report are unaudited; therefore figures mentioned throughout this report may present adjustments in the future.

Main Highlights:

Corporate:

  • GICSA placed local bonds ("certificados bursátiles) for a combined amount of Ps. 3,000 million, Ps. 500 million of which were issued for a tenor of 7 years yielding a fixed coupon rate of 9.08%, while Ps. 2,500 million were issued for a tenor of 3.3 years with a coupon 29-day TIIE plus 275 basis points, in line with GICSA's expectations. The local bonds were rated "HRAA-" by HR Ratings Mexico, and "mxA" by Standard and Poor's. Net proceeds from the offering will be used for capital expenditures for projects under construction and development, as well as corporate purposes.

Operational:

  • GICSA reported a total of 619,501 square meters of Gross Leasable Area (GLA) comprised of 13 properties as of December 31, 2015. The proportional GLA during 2015 was 391,095 square meters.
  • As of December 31, 2015, occupancy rate reached 90.71%, a 133 basis point increase compared to December 31, 2014. Without considering the Capital Reforma property, which is in the stabilization process, the occupancy rate would have been 94.4%.
  • Average leasing rate per square meter at the end of 4Q15 was Ps. 314, a 10.87% increase compared to 4Q14, which was Ps. 283.
  • Same-store sales rose 9.7% in 2015 compared to 2014.
  • During 2015, GICSA registered 65.7 million of visitors in the shopping malls and stabilized properties, an increase of 5.1% compared to the number of visitors registered in 2014.

Financial:

  • As of December 2015, GICSA refinanced the outstanding debt of Paseo Tlaquepaque lowering the interest rate from TIIE plus 475 basis points to TIIE plus 200 basis points. In addition, the credit line increased from Ps. 550 million to Ps. 700 million.
  • During 2015, operating income reached Ps. 3,432 million, an increase of 24.42% compared to 2014, which was Ps. 2,758 million.
  • Consolidated EBITDA in 2015 reached Ps. 2,560 million, while GICSA's proportional EBITDA was Ps. 1,642 million. EBITDA margin was 74.59% at the close of 2015.
  • Consolidated debt at the end of 2015 was Ps. 13,141 million, while GICSA's proportional debt was Ps. 9,080 million, resulting in a loan-to-value ratio of 27%.

Pipeline:

  • GICSA initiated the construction of Paseo Queretaro and Paseo Xochimilco with a GLA of 73,505 and 55,943 square meters, respectively.

For a full version of GICSA's Fourth Quarter 2015 Earnings Release, please visit:
http://www.gicsa.com.mx/inversionistas?id=1

Conference Call

GICSA cordially invites you to its Fourth Quarter 2015 Conference Call

Wednesday, February 24, 2016
11:00 a.m. New York Time
10:00 a.m. Mexico City/Monterrey Time

To access the call, please dial:
1-800-311-9401 U.S. participants
1-334-323-7224 International participants
Passcode: 87477


About the Company

GICSA is a leading company in the development, investment, commercialization and operation of shopping malls, corporate offices and industrial warehouses well known for their high quality standards, which transform and create new development spaces, lifestyles and employment in Mexico, in accordance to its history and executed projects. Founded in 1989 on the basis of an integrated business model, the Company has developed more than 2.7 million m2 of gross leasable area and built iconic projects such as Torres Esmeralda I and II, Arcos Bosques, Torre HSBC and Isla Shopping Cancun. As of June 30, 2015, the Company owned 13 income-generating properties, consisting of seven shopping malls, four mixed use projects (which include four shopping malls, four corporate offices and one hotel), and two corporate office buildings, representing a total Gross Leasable Area (GLA) 617,862 square meters, and a Proportional GLA of 390,292 square meters. Since June 2015, GISCA is listed on the Mexican Stock Exchange under the ticker (BMV:GICSA AB).

Forward-Looking Statements

This press release may contain forward-looking statements, and involve risk and uncertainty. The words "estimates", "anticipates", "projects", "plans", "believes", "expects", "seeks" and similar expressions, are intended to identify forward-looking statements. Grupo GICSA warns readers that declarations and/or estimates mentioned in this document, or stated by Grupo GICSA's management team, are subject to a number of risks and uncertainties that could be in function of various factors that are out of Grupo GICSA's control. Future expectations reflect Grupo GICSA's judgment at the date of this document. Grupo GICSA reserves the right or obligation to update information contained in the report or derived from it. Past or present performance is not an indicator of future performance.

in Mexico:
GICSA
Diódoro Batalla - Chief Financial Officer
Rodrigo Assam – Investor Relations Officer
5255- 5148-0400 Ext. 4444 / Ext. 4447
dbatalla@gicsa.com.mx
rassam@gicsa.com.mx
or
in New York:
i-advize Corporate Communications, Inc.
Rafael Borja/ Maria Barona
i-advize Corporate Communications
212-406-3693/3691
rborja@i-advize.com
mbarona@i-advize.com













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