Following a period of improved trading, shopping centre giant Hammerson has announced that it now expects that FY21 adjusted earnings will be in the range of £75-80m, ahead of the minimum of £60m previously indicated.
Gross rental income was ahead of expectations across the Group's managed portfolio, whilst Value Retail delivered a stronger-than-expected Q4 performance.
Footfall & sales
In the Group's managed portfolio, as government restrictions were reintroduced during the key Christmas trading period, footfall in the UK and Ireland softened marginally, whilst France remained resilient.
Overall, footfall recovered strongly during the year, particularly when restrictions were eased, with some destinations exceeding 2019 levels and consistently exceeding national indices. This trend has continued in 2022 to date.
UK sales remained strong around Christmas, at 97% of 2019 levels in November and 93% in December; sales in France were 92% of 2019 levels in November and 93% in December.
Footfall at Value Retail in Q4 was just under 90% of comparable 2019 levels, with brand sales approaching 95%, and spend per visit marginally ahead.
Rent collections
FY20 Group rent collections stand at 97% of billable rent; FY21 collections are at 88%.
Q1 22 collections to date are at 74% of billable rent.
As with the last two quarters, the UK remains the strongest performer with 78% of rent collected, Ireland stands at 75%, and France at 66%. We expect collection rates to continue to improve as we go through the quarter.