Pierre & Vacances Group – Center Parcs: Third-quarter 2021/2022 revenue

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PARIS–(BUSINESS WIRE)–Regulatory news:

Pierre & Vacances Group – Center Parcs (Paris:VAC):

1] Third quarter 2021/2022 revenue

According to IFRS accounting, revenue for the third quarter of 2021/2022 amounted to 405.1 million euros (i.e. 1,038.2 million euros for the first nine months of the year).

The Group nevertheless continues to comment on its revenue and the associated financial indicators, in accordance with its operational reporting, namely:

  • with the presentation of proportionally consolidated joint ventures,

  • excluding impact of IFRS16 application

A reconciliation table presenting the turnover from the operational reporting and the turnover in IFRS accounting is presented at the end of the press release.

Revenue is also presented according to the following operating segments, as defined by IFRS 81that’s to say :

  • the Central parks operating segment comprising both the operation of areas marketed under the Center Parcs, Sunparks and Villages Nature brands, and the construction/renovation of tourist assets and property marketing activities in the Netherlands, Germany and Belgium;

  • the Pierre & Holidays operating segment comprising the tourism activities carried out in France and Spain under the Pierre & Vacances and maeva.com brands, the property development activity in Spain and the Asset Management business line (in charge in particular of relations with private and institutional landlords

  • the Adagio operating segment comprising the operation of city residences rented by the Pierre & Vacances-Center Parcs Group and entrusted to the Adagio SAS joint venture with a management mandate, as well as the operation of sites directly rented by the joint venture;

  • an operating segment covering Major projects business in charge of the construction and development of new assets on behalf of the Group in France, and Seniorialesthe subsidiary specializing in real estate development and the operation of non-medical residences for independent elderly people;

  • the Others operating segment mainly comprising holding company activities.

Lastly, the Group has changed its operational reporting to comply with the presentation chosen by the majority of tourism players concerning holiday marketing fees. Housing rental income is therefore presented gross before these royalties, whereas it was previously presented net of these commissions. This change in presentation has no impact on the overall amount of revenue from tourism businesses.

Accommodation revenues in 2018/2020 and 2020/2021 have been adjusted accordingly in the table below.

(€m)

2021/2022 according to operational reporting

2020/2021

according to pro forma operational reporting*

To change

vs. 2020/2021

2018/2019

according to pro forma operational reporting*

To change

compared to 2018/2019

Central parks

283.1

121.6

133%

of which accommodation revenue

195.3

72.0

171%

157.2

24.2%

Pierre & Holidays

80.4

32.3

149%

of which accommodation revenue

55.3

21.7

155%

56.3

-1.9%

Adagio

53.1

16.9

214%

of which accommodation revenue

48.3

14.4

235%

47.6

1.6%

Major Projects & Senioriales

28.8

32.7

-12%

Holding companies

0.8

1.2

-32%

T3 GROUP REVENUES

446.2

204.7

118%

Accommodation Recipes

298.9

108.0

177%

261.1

14.5%

Additional income

84.1

31.2

170%

Other income

63.1

65.4

-4%

Central parks

705.9

283.3

149%

of which accommodation revenue

475.5

148.1

221%

386.0

23.2%

Pierre & Holidays

246.0

80.9

204%

of which accommodation revenue

172.2

50.6

240%

177.4

-2.9%

Adagio

120.1

42.3

184%

of which accommodation revenue

108.2

35.8

202%

122.8

-11.9%

Major Projects & Senioriales

87.4

92.1

-5%

Holding companies

2.0

3.2

-37%

9M GROUP TURNOVER

1161.5

501.9

131%

Accommodation Recipes

755.9

234.6

222%

686.2

10.2%

Additional income

215.1

69.7

209%

Other income

190.5

197.6

-4%

*Hosting revenue expressed in gross terms, including marketing costs

After a 141% increase between the first half of 2020/2021 and the first half of 2021/2022, the Group’s turnover continued to grow during the third quarter, increasing by 118% compared to the same period of the year. ‘last year.

In total, the Group’s turnover amounted to 1,161.5 million euros over the first nine months of the year, up 131% compared to 2020/2021 and outperforming its level before crisis.

Accommodation Recipes:

Accommodation revenue amounted to €298.9m in Q3 2021/2022, up 177% compared to Q3 2020/2021.

The rebound in turnover even accelerated compared to 2019, 14.5% higher than Q3 2019 level (vs +7.5% in the first half), of which:

  • Center Parcs: +24.2% over the quarter (+22.4% in the first half), of which +29.1% for Domains located in BNG2 and +15.4% for French domains. Average letting rates increased by 25%, driven in particular by the renovation work on the estates, while occupancy rates stood at 77.7%, close to the level recorded in 2019 (78.5%).

  • Pierre & Vacances: -1.9% over the quarter (-3.4% in the first half), of which

    • revenue from residences in France down 4.4% due to the fall in the supply of accommodation (number of nights offered down 24% vs 2018/2019 taking into account non-renewals of leases or disengagements deficit sites). On a like-for-like basis, revenue for the quarter is up sharply, driven by the rise in average marketing prices (+3.3% for all destinations) and the growth in the occupancy rate, which stands at 71% ( +8.6% points vs. 2019).

    • Sales in Spain up 7.1%, mainly driven by a price effect.

  • Adagio: +1.6% over the quarter (-20.4% in the first half). The turnover of city residences is higher than the pre-crisis level for the first time over the year, driven by a 5.1% increase in average marketing prices. The occupancy rate stood at 79.5% (compared to 81.9% in 2019).

In total, over the first nine months of the year, accommodation revenue amounted to €755.9 million, up 10.2% compared to 2019.

Additional income:

Third quarter ancillary revenue jumped 170% to €84.1m compared to the same period a year earlier, and 13.4% compared to the same period in 2018/2019. These good performances are driven by the strong momentum of maeva.com (with revenue quadrupling compared to the 3rd quarter of 2018/2019) and a strong increase in revenue from on-site activities at Center Parcs domains ( +23.5% vs. 2019) .

In total, over the first nine months of the year, accommodation revenue amounted to €215.1 million, up 11.7% compared to 2019.

Other income:

The Group recorded revenue of €63.1 million from its other activities, mainly from:

  • Senior residences for €14.7m (vs. €16.5m in Q3 2020/2021).

  • Major Projects for €14.1m (mainly Center Parcs Landes de Gascogne, Lot-et-Garonne for €9.2m), compared to €16.2m in Q3 2020/2021 (including €13.2m relating to Center Landes de Gascogne parks);

  • Renovation operations of Center Parcs areas in BNG for €32.9 million compared to €31.2 million in 2020/2021).

In total, over the first nine months of the year, other income amounted to 190.5 million euros, down 4% compared to the previous financial year.

2]Outlook for the fourth quarter

In view of tourist bookings to date for the fourth quarter of 2021/2022 and compared to the fourth quarter of 2018/2019 (pre-Covid), the Group currently anticipates:

  • continued strong revenue growth at Center Parcs,

  • revenue growth for Pierre & Vacances in France, restated for the drop in housing supply (drop in supply vs 2018/2019 comparable to the drop recorded in the third quarter),

  • a significant increase in the activities of maeva.com,

  • a faster recovery in revenue from Adagio residences, with revenue growth compared to the level observed in the summer of 2019.

ANNEX:

Reconciliation table between revenue from operational reporting and revenue in IFRS accounting.

millions of euros

2021/2022

according to operational reporting

Reprocessing

IFRS11

Impact

IFRS16

2021/2022

IFRS

Central parks

283.1

-9.2

-13.6

260.3

Pierre & Holidays

80.4

80.4

Adagio

53.1

-11.9

41.2

Major Projects & Seniorales

28.8

-4.6

-5.3

18.9

Holding companies

0.8

0.8

Total Q3 2021/2022

446.2

-25.8

-18.9

401.5

millions of euros

2021/2022

according to operational reporting

Reprocessing

IFRS11

Impact

IFRS16

2021/2022

IFRS

Central parks

705.9

-21.3

-46.9

637.7

Pierre & Holidays

246.0

246.0

Adagio

120.1

-27.4

92.7

Major Projects & Seniorales

87.4

-12.6

-15.0

59.8

Holding companies

2.0

2.0

Total 9M 2021/2022

1,161.5

-61.4

-62.0

1,038.2

IFRS11 adjustments: for its operational reporting, the Group continues to integrate joint operations using the proportional consolidation method, considering that this presentation better reflects its performance. On the other hand, joint ventures are consolidated as companies accounted for using the equity method in the consolidated IFRS accounts.

IFRS16 impact: The application of IFRS 16 on October 1, 2019 leads to the cancellation in the accounts of a share of turnover and the capital gain of disposals carried out within the framework of real estate transactions with third parties (taking into account the right of Group use rights). See above the impact on sales for the first nine months of the year.

1 See pages 181-182 of the Universal Registration Document, filed with the AMF on March 17, 2022 and available on the Group’s website: www.groupepvcp.com

2 Belgium, Netherlands, Germany

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