Unibail-Rodamco-Westfield, a leading shopping mall company, has announced its impressive recovery in the first quarter of 2022, showcasing a strong comeback from the adverse effects of the Covid-19 pandemic. The company reported a notable increase of 34.2% in turnover, indicating a successful rebound. Additionally, tenant sales exhibited significant improvement, reaching 93% of the pre-pandemic level seen in 2019. The month of March alone witnessed sales reaching an impressive 95% of the pre-pandemic levels.

Rent collection has also shown improvement for the company, with a collection rate of 93% in the first quarter, demonstrating a continued rise from the previous year. In terms of monetary value, Unibail-Rodamco-Westfield’s turnover amounted to €897.1 million on a comparable basis. Turnover in shopping centers experienced a positive growth of 28.7% to reach €733.3 million, and gross rental income increased by 31.7% to reach €622.4 million.

Throughout the quarter, the company experienced sustained leasing activity, with a total of 521 deals signed, showcasing a 4% increase compared to 2019. Moreover, the percentage of long-term deals increased to 60%. Unibail-Rodamco-Westfield has been actively working on streamlining its portfolio and made progress in its European disposal program, including the sale of the Promenade Mall land plot at a 60% premium.

CEO Jean-Marie Tritant expressed satisfaction with the company’s performance and highlighted the strength of their flagship destinations in affluent cities. He also emphasized the vital role their centers play in the omnichannel strategies of renowned brands.

While sales have not fully recovered in all regions due to ongoing restrictions, progress has been made. In Europe, sales reached 89% of 2019 levels in the first quarter, improving to 91% in March. The Netherlands experienced particular benefits from the opening of the new Westfield Mall in March 2021. The UK also demonstrated improvement, with sales reaching 89% in the first quarter. In contrast, sales in the US remained consistently above 2019 levels, reaching 102% in the first quarter and 104% in March, continuing a positive trend observed in 2021.

Overall, Unibail-Rodamco-Westfield’s solid performance in the first quarter of 2022 reflects a successful rebound from the challenges brought on by the Covid-19 pandemic. The company’s efforts to adapt and streamline its operations have significantly contributed to its continued recovery. With improving sales and rent collection, Unibail-Rodamco-Westfield is well-positioned for further growth in the future.

Useful links:
1. Unibail-Rodamco-Westfield’s Investor Relations
2. Unibail-Rodamco-Westfield’s Strategy