* Overall revenues down 0.3 pct to 256.3 mln eur
* Shopping centre gross rents reach 221.9 mln eur
* Weak Scandinavian currencies weigh
(Adds deputy CEO, COO comments, details)
PARIS, April 23 Klepierre reported a
slight dip in first-quarter revenues as asset disposals and
currency fluctuations in Scandinavia weighed on rental income
Klepierre's strategy of focusing on its large European
shopping centres while shifting out of the office market has
helped it resist the sluggish economic environment.
Overall revenues slipped 0.3 percent to 256.3 million euros
($354.45 million) versus 257.2 million in the same period a year
ago, with 221.9 million euros coming from shopping centres.
Shopping centre gross rents were up 1.1 percent on a
like-for-like basis, but unchanged on a current basis due to the
disposal of five centres in Norway and one in France.
Klepierre disposed of 127 non-core assets in France, Spain
and Italy to Carrefour this year.
Italy, Portugal and Central Europe posted significantly
better retail sales than last year, the company said. Sales in
French shopping centres have been under pressure, but Klepierre
said it still manages to increase rents due to rising demand
from retailers for space in popular malls.
"There is still some room for improvement in rent,"
Jean-Marc Jestin, Chief Operating Officer, told reporters on a
France and Belgium account for 47.2 percent of Klepierre's
rents, while Scandinavia is its second-biggest market
contributing 23.6 percent of rents in 2013.
"In Norway and Sweden ... currency fluctuations had a
negative impact on growth for the quarter on a current
basis," Klepierre said in its statement.
The Swedish crown has fallen around 3 percent against the
euro so far this year, while the Danish crown
and the Norwegian crown were little changed
or stronger against the euro currency.
Jean-Michel Gault, Deputy CEO of Klepierre, told reporters
that the depreciation of some Scandinavian currencies "could
have an impact on Klepierre's bottom-line this year", while the
effect would be partly mitigated by hedging operations.
The company, which is part-owned by BNP Paribas
and Simon Property Group, confirmed in its trading
update that it expected for 2014 a net current cash flow of at
least 2 euros a share.
European real estate group Unibail-Rodamco
confirmed its target for full-year recurring earnings per share
growth of at least 5.5 percent on Tuesday after a "moderate
pick-up" in the European economy helped drive first-quarter
($1 = 0.7231 Euros)
(Reporting by Maya Nikolaeva; Editing by Natalie Huet; Editing
by Elaine Hardcastle)