Property developer Hammerson today said its adjusted earnings had more than doubled on last year, as higher rents as a result of the UK and Europe’s economic from Covid bolstered the shopping centre owner’s business.
The London headquartered property investor said its adjusted earnings had increased 154 per cent year on year, after its like-for-like net rental incomes increased 47.7 per cent in the first of half of 2022, compared to the same period in 2021.
The uptick saw Hammerson’s generate adjusted profits of £51.1m in the first half of 2022, compared to £20.1m in the first of last year.
Established in 1942, Hammerson owns and operates major developments across the UK and Europe including Birmingham’s Bull Ring and London’s Brent Cross shopping centres.
Hammerson chief executive Rita-Rose Gagné said: “Adjusted earnings were up 154% to £51m reflecting a 48% increase in like-for-like net rental income, lower administration and finance costs, and a strong contribution from Value Retail… Footfall, sales, occupancy and collections are recovering and now close to 2019 levels”
The higher earnings came after Hammerson “streamlined” its portfolio by selling off £194m worth of “non-core” assets, as the firm said it plans to sell off a further £300m worth of assets by the end of 2023.
Lower costs as a result of Hammerson’s cost cutting programmes also saved the firm £7.5m, after the firm reduced its headcount from 426 to 371, also boosted the firm’s bottom line.