News

Highlights of the First Quarter of 2014 and Events After the Reporting Period:

  • Net revenue of R$322.4 million, increasing 11.2% from the prior-year period.
  • NOI of R$294.6 million, increasing 11.3% from 1Q13. NOI margin in the period was 90.6%, higher than the 90.3% margin of 1Q13
  • Adjusted EBITDA of R$254.3 million, up 14.4% on 1Q13. The adjusted EBITDA margin reached 78.9%, an increase of 23bps from the prior-year period.
  • Adjusted FFO in the quarter was R$79.9 million.
  • Net Income in the quarter was R$53.8 million, impacted by the provision of a non-cash deferred tax due to the reversal of depreciation and amortization of the fiscal goodwill.
  • Same-store sales grew by 7.6%, while same store rent increased by 8.7%
  • Tenants‘ occupancy cost was 11.1%, which represents a decrease of 0.2 p.p. from the prior-year period and below the 11.2% registered in 1Q12.
  • Our malls ended the first quarter of 2014 with an occupancy rate of 97.6%. Of the 50 malls in which we held interest in 1Q14, 33 registered occupancy rates of over 98%.
  • In 1Q14, we divested a 49% interest in the mall Ilha Plaza Shopping for R$120.8 million. We also divested our entire interests in Shopping Pátio Belém for R$45.7 million and in Shopping Metrô Tatuapé for R$20.8 million.
  • After the close of the reporting period, we also divested our entire interest in Big Shopping for R$11.4 million.
  • Also after the reporting period, we inaugurated the expansion of Shopping Piracicaba and concluded the expansion of Shopping Recife. These two expansion projects combined added over 19,121 m² in total GLA and 6,876 m² in owned GLA. We estimate that these two expansion projects will generate R$7.6 million in stabilized NOI for BRMALLS.
  • In 1Q14, we issued R$403.2 million in Real Estate Certificates (CRIs) in three series, the first at a rate of IPCA+6.34% (in line with the government rate at that date) with a term of 10 years, the second at a rate of IPCA+6.71% with a term of 12 years and the third at a rate of IPCA+7.04 % with a term of 15 years.

Please Click Here, to access the 1Q14 Earnings Release.

Conference Call:

English:
May 7th, 2014
11:00 a.m. US ET (12pm Brazil)
Tels:
+55 11 3127-4971
+55 11 3728-5971
1-516-300-1066 (U.S phone number):
Webcast:
http://extranet.voitel.com.br/audiocasting/Audiocasting_Acesso.aspx?Pag=Participante&NameRoom=N24010319
Replay:
+55 11 3127-4999

Recording ID: 90310611

URL:http://extranet.voitel.com.br/audiocasting/Audiocasting_Acesso.aspx?Pag=Ondemand&NameRoom=N24010319

Portuguese:
May 7th, 2014
10:00 a.m. US ET (11am Brazil)
Phone numbers:
+55 11 3127-4971
+55 11 3728-5971
Webcast:
http://extranet.voitel.com.b/audiocasting/Audiocasting_Acesso.aspx?Pag=Participante&NameRoom=N24010318
Replay:
+55 11 3127-4999
Recording ID: 97669253

URL:http://extranet.voitel.com.br/audiocasting/Audiocasting_Acesso.aspx?Pag=Ondemand&NameRoom=N24010318

BR MALLS PARTICIPAÇÕES S.A.
Investor Relations Officer
Frederico da Cunha Villa

ABOUT BRMALLS
BRMALLS is the largest integrated mall company in Brazil, with a portfolio of 49 malls, comprising 1,637.0 thousand m² of GLA and 965.1 thousand m² of owned GLA. BRMALLS is the only shopping mall company in Brazil with nationwide presence and targeting all income segments.