BUENOS AIRES, Argentina,
Sept. 9, 2017 /PRNewswire/ -- IRSA
Inversiones y Representaciones S.A. (NYSE: IRS; BASE: IRSA), the
leading real estate company in Argentina, today announces its results for the
Fiscal Year 2017 Ended June 30,
2017.
During the year, IRSA's Board of Directors decided to change the
valuation method of investment properties (mainly, shopping malls,
offices and land reserves) from historical cost to fair market
value, in accordance with the International Financial Reporting
Standards (IFRS). The reason for this change is the need to adjust
the valuation of investment property to its fair market value, for
its amortized acquisition cost is not reflective of their economic
substance. The Company has recognized the effects of this change in
the current financial statements as of June
30, 2017. The Company has retained an independent appraiser
to estimate the fair market value of its investment properties.
HIGHLIGHTS
- In this fiscal year, we changed the valuation model of our
investment properties from cost model to fair value model. The
change was reflected in the financial statements for the fourth of
this fiscal year.
- Adjusted EBITDA for fiscal year 2017 was ARS 9,957 million
(ARS 2.397 million from Argentina and ARS 7,560
million from Israel), a
63.8% increase compared to 2016.
- Profit for fiscal year 2017 was ARS
5,520 million, compared to a profit for the year of
ARS 9,496 million in 2016, mainly due to lower grain from
changes in the fair value of investment properties, offset by gain
from the sale of Adama and the higher listing price of Clal, in
addition to the fact that the consolidated period of the operations
center in Israel is 12 months of
2017 vs. 6 months in 206.
- Sales in our shopping malls grew 19.1% in fiscal year 2017, and
the average rental price of our office portfolio reached
USD 25.3 per sqm. EBITDA from the rental segments grew by
27.5% as compared to the previous fiscal year
- We reached an occupancy rate of 98.5% in our shopping centers,
96.2% in our offices and 67.3% in our hotels portfolio.
- In fiscal year 2017, IDBD issued notes in the Israeli market
for NIS 1,060 million, at a fixed
interest rate of 5.40%, due in 2019, and in July it issued notes
again for NIS 642.1 million at a
fixed interest rate of 5.3%, due in 2022. The proceeds were used to
refinance its short-term debt.
|
Financial
Highlights
(In millions of Argentine Pesos)
FY 2017
Ended June 30, 2017
|
|
|
|
|
Income
Statement
|
06/30/2017
|
06/30/2016
|
|
|
(adjusted)
|
|
Revenues from sales,
leases and services
|
74,172
|
31,523
|
|
Consolidated Gross
Profit
|
22,651
|
10,424
|
|
Net result from
changes in the fair value of
investment properties
|
4,453
|
17,559
|
|
Consolidated Profit
from Operations
|
9,550
|
20,441
|
|
Profit / (Loss) For
the Period
|
5,220
|
9,496
|
|
|
|
|
Attributable
to:
|
|
|
|
IRSA's
Shareholders
|
1,786
|
8,764
|
|
Non-Controlling
interest
|
416
|
288
|
|
|
|
|
EPS
(Basic)
|
3.11
|
15.24
|
|
EPS
(Diluted)
|
3.08
|
15.14
|
|
|
|
|
Balance
Sheet
|
06/30/2017
|
06/30/2016
|
|
|
(adjusted)
|
|
Current
Assets
|
65,492
|
42,763
|
|
Non Current
Assets
|
165,750
|
149,378
|
|
Total
Assets
|
231,242
|
192,141
|
|
Current
Liabilities
|
46,434
|
43,600
|
|
Non Current
Liabilities
|
137,472
|
112,685
|
|
Total
Liabilities
|
183,906
|
156,285
|
|
Non-Controlling
Interest
|
21,472
|
14,224
|
|
Shareholders'
Equity
|
47,336
|
35,856
|
IRSA Inversiones y Representaciones S.A. (NYSE: IRS, BASE: IRSA)
is Argentina's largest, most
well-diversified real estate company, and it is the only company in
the industry whose shares are listed on both the Bolsa de Comercio
de Buenos Aires and The New York
Stock Exchange. Through its subsidiaries, IRSA manages an expanding
top portfolio of shopping centers and office buildings, primarily
in Buenos Aires. The company also
develops residential subdivisions and apartments (specializing in
high-rises and loft-style conversions) and owns three luxury hotels
Additionally, IRSA owns a stake in Banco Hipotecario, Argentina's largest mortgage supplier in the
country as well as international opportunistic investments in real
estate and other assets, including 68.3% stake in the largest
conglomerate in Israel, IDB
Development Corporation.
A longer version of this press release with detailed information
is available on the web site: http://www.irsa.com.ar.
IRSA cordially invites you to participate in its FY 2017 Results
Conference Call on Monday, September 11,
2017, at 9:00 AM Eastern
Time
If you would like to participate, please call:
United States: (844) 308-3343
International: +1-(412) 717-9602
ID# IRSA
To access the webcast, click on the link below:
http://webcast.engage-x.com/Cover.aspx?PlatformId=so%2BiiYvMLJSZCP4rH7JU0A%3D%3D
Investor Relations Department
IRSA Inversiones y Representaciones S.A.
+ 5411 4323-7449
ir@irsa.com.ar
www.irsa.com.ar
Follow us on Twitter @irsair
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SOURCE IRSA Inversiones y Representaciones S.A.