| Wed 31 Jan 2024, 13:50 | | HYPROP INVESTMENTS LIMITED - Operational trading update – festive season |
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Operational trading update – festive season
HYPROP INVESTMENTS LIMITED
(Incorporated in the Republic of South Africa)
(Registration number 1987/005284/06)
JSE share code: HYP ISIN: ZAE000190724
JSE bond issuer code: HYPI
(Approved as a REIT by the JSE)
("Hyprop" or "the Company" or "the Group")
OPERATIONAL TRADING UPDATE – FESTIVE SEASON
Hyprop's retail centres traded well over the festive season and the majority of the centres demonstrated improvements in
tenant turnover and trading density, particularly in the South Africa (SA) and Eastern Europe (EE) portfolios. The Group's
repositioning strategy and focus on maintaining its centres' relevance through their offerings and appealing tenant mixes
continued yielding positive results.
The pleasing improvement is supportive of the presumption that shoppers who frequent Hyprop's centres are more resilient,
despite the macroeconomic challenges, especially in South Africa.
SOUTH AFRICA PORTFOLIO
The SA portfolio experienced satisfactory growth in tenant turnover, trading density and foot count. Trading during
November has normalised, as retailers and shoppers have become savvier about Black Friday deals. The December trading
performance reflects pleasing growth year-on-year.
SA portfolio key trading metrics for the period:
Trading Metric Year November December
Tenant Turnover (R'000) 2022 2 148 135 3 009 882
2023 2 217 926 3 252 867
Variance % 2023 vs 2022 3.2% 8.1%
Trading Density (R) 2022 3 716 5 186
2023 3 826 5 573
Variance % 2023 vs 2022 3.0% 7.5%
Foot count ('000) 2022 6 641 8 535
2023 6 909 8 886
Variance % 2023 vs 2022 4.0% 4.1%
EASTERN EUROPE PORTFOLIO
The EE portfolio delivered a strong operational performance during November and December 2023. The growth can be
attributed to inflation, improved macroeconomics and higher disposable incomes, as well as the centres' successful
repositioning strategies.
Tenant turnover and trading density experienced double-digit growth, notwithstanding the static foot count.
EE portfolio key trading metrics for the period:
Trading Metric Year November December
Tenant Turnover (€'000) 2022 48 242 61 168
2023 56 326 70 465
Variance % 2023 vs 2022 16.8% 15.2%
Trading Density (€) 2022 293 371
2023 339 422
Variance % 2023 vs 2022 15.7% 13.7%
Foot count ('000) 2022 2 359 2 796
2023 2 422 2 724
Variance % 2023 vs 2022 2.7% -2.6%
SUB-SAHARAN AFRICA (SSA) PORTFOLIO
The tenant turnover and trading density figures below are for October and November. Not all December tenant turnovers
were available at the time of reporting.
Turnover in the three Ghana centres reduced in local currency, due to Game Ghana being included in 2022 for all three
centres. Game's replacement tenant at Accra Mall (Orca Deco) started trading in 2023, while the replacement tenant at
West Hills Mall (Melcom) starts trading on 1 February 2024. A lease has been signed with Decathlon for half of the ex-
Game space at Kumasi City Mall.
Turnover in USD showed an increase, due to the partial recovery of the local currency against the USD from the months in
2022 when the sovereign default in Ghana was first announced. Trading density growth was positive in both local currency
and USD, other than for trading density in local currency in November. The foot count held up, despite the closure of Game
Ghana.
SSA portfolio key trading metrics for the period:
Trading Metric Year October November December
Tenant Turnover (GHC'000) 2022 59 550 91 264 96 267
2023 61 322 78 798 *
Variance % 2023 vs 2022 3.0% -13.7% *
Tenant Turnover (US'000) 2022 4 820 6 263 8 239
2023 5 189 6 556 *
Variance % 2023 vs 2022 7.7% 4.7% *
Trading Density (GHC) 2022 1 376 1 967 2 481
2023 1 579 1 950 *
Variance % 2023 vs 2022 14.8% -0.9% *
Trading Density (USD) 2022 115 135 212
2023 134 162 *
Variance % 2023 vs 2022 16.4% 20.2% *
Foot count (Ikeja incl.) ('000) 2022 2 000 1 835 2 641
2023 1 866 1 875 2 814
Variance % 2023 vs 2022 -6,7% 2.2% 6.5%
*December 2023 tenant turnover and trading density data are not yet available.
Hyprop's interim results for the six months ended 31 December 2023 are scheduled to be released on 13 March 2024.
31 January 2024
Sponsor
Java Capital
Date: 31-01-2024 01:50:00
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