Aroundtown SA Reports Lower Funds from Operations in 2024

Aroundtown SA reported lower funds from operations for fiscal 2024 as revenues dipped. Lower metrics may affect investor sentiment, while adjusted EBITDA shows some resilience. The company projects slight recovery for fiscal 2025, but uncertainties remain.

Date: 26-03-2025

AI Rating: 5

Funds from Operations (FFO): Aroundtown SA reported funds from operations in fiscal 2024 totaling 315.5 million euros, which is a 5% drop from the previous year's 332 million euros. This decline indicates potential concerns regarding the company's operational efficiency and asset management.

Revenue Growth: The company's revenue decreased by 4%, falling to 1.54 billion euros compared to 1.60 billion euros a year ago. This reduction reflects challenges in the real estate market, likely affecting investor confidence.

Net Income: Notably, Aroundtown achieved a positive net profit of 309.3 million euros or 0.05 euros per share, a significant turnaround from a loss of 2.43 billion euros the previous year. This change demonstrates improved operational performance, which may positively influence stock price.

Adjusted EBITDA: The adjusted EBITDA reached 1.01 billion euros, slightly up 1% from last year's 1 billion euros, signifying stable performance despite some revenue challenges.

Future Projections: For fiscal 2025, Aroundtown projects FFO I between 280 million euros to 310 million euros, which translates to 0.26 to 0.28 euros per share. This guidance reflects a cautious outlook, indicating that while some recovery is anticipated, it may not be substantial.

In summary, while the loss from prior years presents a more favorable perspective now, the declining FFO and revenue signals might cause stock price fluctuations as investor sentiment adjusts to these changes.

Stocks: AT1.DE