Saturday, 15 March 2025
P3 Group S.à r.l has reported strong financial results for the year ended December 31, 2024, with its portfolio reaching a milestone of €10 billion. The company recorded an 11% portfolio growth, primarily driven by acquisitions and development projects, alongside a 17% increase in Net Operating Income (NOI) to €493 million, up from €423 million in 2023. The growth was attributed to a combination of like-for-like rental income expansion, lease indexation, and higher re-leasing rates.
P3 maintained a high occupancy rate of 98% across its portfolio, which expanded to approximately 9.7 million square meters of Gross Lettable Area (GLA), up from 8.4 million square meters in 2023. The company added 1.3 million square meters through acquisitions and completed developments, while minor disposals were made. Western Europe continues to represent the majority of P3’s holdings, accounting for approximately 60% of its assets, with the remaining 40% located in Central and Eastern Europe.
In 2024, P3 completed several key transactions, including the acquisition of 18 yielding assets in Germany, Czechia, and Italy, adding around 500,000 square meters to its portfolio. Additionally, the company completed 23 development projects across Europe, contributing approximately 800,000 square meters of new GLA. P3 also maintained a strong development pipeline with 11 projects under construction, totaling 410,000 square meters.
CEO Frank Pörschke commented on the company’s performance, stating, “Despite ongoing economic uncertainties, the structural tailwinds in the logistics real estate sector remain strong. In 2024, we successfully navigated the macroeconomic landscape, achieving rental growth and strategic acquisitions that increased our portfolio value to €10 billion. Our ability to maintain high occupancy rates and deliver robust operational performance underscores P3’s resilience and long-term strategic vision.”
CFO Thilo Kusch highlighted the company’s financial achievements, noting, “P3 delivered a strong financial performance in 2024, marked by a 17% increase in Net Operating Income and an improved EBITDA margin of 85%. These results reflect our disciplined approach to growth, efficient re-leasing strategies, and prudent financial management. We successfully raised €1.57 billion in new debt, including two significantly oversubscribed Green bond issuances in February and September, which collectively amounted to €1.1 billion. Our liquidity remained strong at €1 billion by year-end, reinforcing our ability to sustain long-term growth.”
Financial Highlights for 2024:
– Occupancy and Leasing: P3 maintained a high like-for-like occupancy rate of 98%, with 96% of leases linked to inflation, ensuring continued rent indexation.
– Income Growth: NOI increased by 17% to €493 million, supported by a 5% like-for-like NOI growth, acquisitions, and completed developments.
EBITDA Performance: EBITDA improved to €430 million, with a higher EBITDA margin of 85%, up from 84% in 2023.
– Leasing Activity: A record 2.2 million square meters were leased in 2024, driven by both renewals and new leases, with rental rates increasing by 21% on re-leasing events.
– Portfolio Valuation: The company’s portfolio value rose to €10 billion, reflecting acquisitions, development gains, and a 1.5% like-for-like revaluation of the operating portfolio.
– Development Pipeline: P3 maintained growth momentum with 11 projects under construction, covering 410,000 square meters of GLA.
– Liquidity and Debt Issuance: P3 secured €1.57 billion in new debt, including two Green bond issuances totaling €1.1 billion, priced at fixed coupons of 4.625% and 4.000%.
P3 Group’s results demonstrate the company’s ability to sustain growth despite economic headwinds, positioning it well for continued expansion in the logistics real estate sector.
