- Wholly-owned private subsidiaries that are consolidated in its financial statements and in which the Company outlines the strategy, is responsible for their financing activities, and oversees their operations. These operations are conducted through Gazit-Globe Israel (Development) Ltd. and through its subsidiaries in Brazil.
- Public entities under the Company's control with similar strategy that are consolidated in its financial statements in which the Company is the largest shareholder. These operations are conducted through Citycon Oyj and through Atrium European Real Estate Limited.
- Public entities in which the company has a material interest (but not control). These entities are First Capital Realty Inc., which is presented according to the equity method, and Regency Centers Corporation, which is presented at market value as a financial asset.
|(in NIS millions except per share data)||3 months ended March||Change%|
|Property rental income||698||714||(2.2||%)|
|NOI adjusted for exchange rates||477||462||3.2||%|
|Same Property NOI Growth||3.9||%||-|
|Same Property NOI Growth Excluding Russia||2.6||%||-|
|Economic FFO per share (NIS)||0.89||0.70||27||%|
|Economic FFO adjusted for exchange rate||174||127||37||%|
|Economic FFO adjusted for exchange rate per share (NIS)||0.89||0.65||37||%|
|Loss attributable to equity holders of the company||(276||)||(278||)||-|
|Diluted Loss per share attributable to equity holders of the Company (NIS)||(1.44||)||(1.44||)||-|
|(in NIS million except per share data)||31/03/2017||31/12/2016|
|Shareholder's Equity Per Share||46.4||41.7|
|Net Debt to Total Assets (LTV) (Consolidated)||53.7||%||50.1||%|
|Net Debt to Total Assets (LTV) (Expanded Solo)||53.6||%||62.0||%|
- Investments in acquisition, development and redevelopment in the first quarter totaled NIS 1.13 billion (US$ 310 million). In addition, in the first quarter, the Company disposed of non-core assets totaling NIS 412 million (US$ 113.4 million).
- As of March 31, 2017, the Company and its subsidiaries had cash, cash equivalents and undrawn revolving credit facilities in the aggregate amount of NIS 6.8 billion (US$ 1.87 billion), of which NIS 3.4 billion (US$ 0.94 billion) was at the Company level. In addition, First Capital Realty Inc. had liquidity including available undrawn credit facilities of NIS 1.8 billion (US$ 0.5 billion).
- Cash flow from operating activities totaled NIS 192 million (US$ 53 million), as compared to NIS 290 million (US$ 80 million) in the same quarter in 2016.
- The net fair value gain of investment properties and properties under development was NIS 50 million (US$ 13.7 million), as compared to a fair value gain of NIS 103 million (US$ 28.3 million) in the same quarter in 2016.
- Gazit Globe's US subsidiary Equity One completed the merger transaction with Regency Centers Corporation.
- Deconsolidation of First Capital Realty Inc. following the sale of 9 million shares in March 2017, and as of Q1 2017, presentation of First Capital Realty Inc., in the Company's financial statements in accordance with the equity method.
- Subsequent to the quarter end, Gazit Globe formed Gazit Horizons, Inc., to invest in income producing real estate throughout the United States. As previously announced, the Company has named Jeffrey Mooallem, a 19 year veteran of the real estate industry, President and Chief Executive Officer. Mr. Mooallem most recently served as a Managing Director at Federal Realty Investment Trust; and previously held executive positions at Equity One, Inc.
- During the first quarter, the Group invested NIS 1,130 million, which included NIS 310 million invested in the acquisition of an income-producing property totaling 19,000 square meters, as well as NIS 820 million in development and redevelopment projects.
- As of March 31, 2017, the Group had two properties under development with a gross leasable area (GLA) of 40,000 square meters and a total investment of NIS 847 million, and 14 properties under redevelopment with a GLA of 213,000 square meters and a total investment of NIS 4.4 billion. The cost to complete of the properties under development and redevelopment totaled NIS 1.8 billion.
- Subsequent to the quarter end, Gazit Brasil has acquired the remaining 30% stake in Extra Itaim, located on one of the main avenues in Sao Paulo city, Juscelino Kubitschek "JK" Avenue, for R$ 94 million (Approx. US$ 29.7 million).
- The average interest rate in the quarter reflects average nominal annual interest of 3.6% on the interest-bearing debt of the Company and its subsidiaries, as compared with 4.1% in the comparable quarter of the prior year and 4.0% in 2016.
- The Company will distribute a quarterly cash dividend of NIS 0.35 per share, payable on July 3, 2017 to shareholders of record as of June 20, 2017.
- Our investees' guidance that for the most part are disclosed.
- Exchange and interest rates as of the filling date.
- No significant investments, acquisitions and disposals, other than developments.
- No material unexpected and abrupt events in the business.
|1-3/17 Actual||2017 Guidance||2016 Actual|
|Economic FFO (NIS in million)||174||626 - 606||591|
|Economic FFO per share (NIS)||0.89||3.20 - 3.10||3.02|
FOR ADDITIONAL INFORMATIONA comprehensive copy of the Company's financial report is available on Gazit-Globe website at www.gazitglobe.com Investors Contact: IR@gazitgroup.com, Media Contact: PR@gazitgroup.com Gazit-Globe Headquarters, Tel-Aviv, Israel, Tel: +972 3 6948000 FORWARD LOOKING STATEMENTS This release may contain forward-looking statements within the meaning of applicable securities laws. In the United States, these statements are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Such statements involve a number of known and unknown risks and uncertainties, many of which are outside our control that could cause our future results, performance or achievements to differ significantly from the results, performance or achievements expressed or implied by such forward-looking statements. Important factors that could cause or contribute to such differences include risks detailed in our public filings with the SEC and the Canadian Securities Administrators. Except as required by applicable law, we undertake no obligation to update any forward-looking or other statements herein, whether as a result of new information, future events or otherwise.