Exalco Finance plc - Updated Financial Analysis Summary

On 3 June 2024, Exalco Finance plc published an updated Financial Analysis Summary. The following are the main highlights of the expected financial performance and financial position of Exalco Properties Limited (the Guarantor) in 2024:

• Total property revenues are estimated to remain unchanged at around €4.6 million as all centres remained fully occupied and the tenant mix was practically unchanged.
• EBITDA is also expected to remain practically unchanged at €4.02 million. As a result, the EBITDA margin is anticipated to be 86.5%.
• Net finance costs are projected to fall to €0.76 million compared to €0.82 million in the previous year since all outstanding bank loans were paid off during 2023. Consequently, the interest cover is expected to improve to 5.3 times from 4.9 times in 2023.
• In terms of financial position, total assets are projected to increase by 2.3% to €79.4 million (31 December 2023: €77.8 million). On the other hand, total debt is anticipated to remain at €15.3 million as no additional borrowings other than the outstanding bond are expected to be drawn down.
• Coupled with a forecasted increase in equity of 3.3% to €54.6 million, the gearing ratio (calculated as total debt divided by total debt plus equity) is expected to improve slightly to 21.9% from 22.4% as at the end of 2023.
• Given an anticipated cash balance of €2.88 million, net debt is estimated to be €12.4 million. Consequently, the net debt to EBITDA multiple is forecasted to fall to 3.09 times compared to 3.55 times in 2023.
• Exalco expects to incur additional borrowings in the coming years, relating to the development of the Savoy property into the Group’s seventh commercial business centre as approved by the Planning Authority last May.