EARNINGS/SHARE UP 23% – DIVIDENDS UP 18%
RDC PROPERTIES LIMITED
2024 YEAR END AUDITED FINANCIAL RESULTS ANNOUNCEMENT
For the period ended 31 December 2024
RDC Properties Limited has delivered yet another year of strong financial results for the year ended December 31, 2024, showcasing the Group’s resilience and strategic focus despite ongoing macroeconomic challenges.
The Group’s well-diversified property portfolio remained stable, with a total value of P5.92 billion, slightly down, largely due to the sale of non-core assets worth P140 million. 66% of the portfolio has been Independently valued. These proceeds were used to reduce debt, strengthening the Group’s financial position. Revenue increased by 2% to P572 million, while profit from operations before fair value adjustments rose by 11% to P342 million, reflecting the continued strength of RDC’s assets.
Profit before tax saw a slight decline of 3%, primarily due to a once-off gain from the acquisition of the David Livingstone Safari Lodge and Spa in 2023. However, excluding this impact, profit before tax increased by 14% year-on-year. The Group’s balance sheet continued to strengthen, with the Loan-to-Value ratio improving to 41.72% and Net Asset Value per linked unit increasing by 3.5% to P3.86 per share.
Management is happy to report Earnings per share are up 23% to 17.49 Thebe, distribution of Dividends are up 18% and Net Asset Value per share is up 3,5% to P3.86, compared to the shares that are trading at P2,40.
Portfolio Performance & Key Developments
The Group continued to focus on optimizing its property portfolio, leading to a significant reduction in vacancies from 11.3% in 2023 to 8.2% at the end of 2024. A total of 91,682 sqm of new leases and renewals were secured, representing 27% of the total Gross Lettable Area.
- In South Africa vacancies improve from 15.6% to 10.1%, reflecting renewed confidence in the office sector.
- In Botswana, vacancies remained stable at 8.4%, with increased demand for office space in Gaborone’s CBD, particularly at Masa Square.
- RDC’s Croatian portfolio remained fully let, benefiting from strong demand in Zagreb and coastal areas.
Notable achievements in 2024 included the relaunch of Westlake Shopping Centre in Cape Town, and securing a major lease with NYSE-listed Telus Digital.
Hospitality & Sustainability Initiatives
The hospitality sector remained a key contributor to RDC’s performance, with ongoing improvement projects at Protea Hotel Gaborone Masa Square and David Livingstone Safari Lodge and Spa. Despite a fire incident at Chobe Marina Lodge, reconstruction plans are well advanced, with an insurance claim already in progress.
Sustainability remains a core focus for the Group, with 18 new Power Purchase Agreements signed to enhance solar energy generation across the portfolio. RDC also secured a prestigious Green Star rating for Old Cape Quarter Apartments, further reinforcing its commitment to sustainable development.
The Group is implementing a strategy of investing in smaller luxury lodges in key locations and intends pursuing larger transactions.
The company is awaiting the BSE communication with regards to the Prime Time Corporate Action expected end of April and will advice unitholders’ accordingly.
Governance & Shareholder Returns
In line with best governance practices, Andrew Bradley was appointed independent non-executive chairman in May 2024. Guido Giachetti continues to oversee the group strategy and the performance of the asset management operations. At the upcoming 2025 AGM, two new board members will be proposed following the retirement of long-serving directors Giorgio Giachetti and Kate Maphage. The Board gratefully acknowledges the significant contributions of these long-standing members to RDC’s success.
For the year ended December 31, 2024, RDC has declared a final distribution of P40 million to unitholders, consisting of a dividend of 0.194 Thebe per ordinary share and interest of 5.081 Thebe per debenture. Payment is scheduled for April 28, 2025.
The Group’s audited financial statements are available for inspection at the registered office. RDC remains committed to delivering long-term value, optimizing its portfolio, and enhancing sustainability across its operations.