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SA REIT ratios for the year ended 31 March 2022

SA REIT FUNDS FROM OPERATIONS (SA REIT FFO)

Group  31 March 
2022 
Rm
 
31 March 
2021 
Rm 
Profit per IFRS statement of comprehensive income attributable to the parent  1 909  584 
Adjusted for: 
Accounting/specific: 
Fair value adjustments to:  (636) 1 079 
Investment property  (647) 854 
Debt and equity instruments held at fair value through profit or loss  (32) (289)
Depreciation and amortisation of intangible assets 
Asset impairments (excluding goodwill) and reversals of impairment  (1) 13 
Impact of asset reclassifications and asset transfers on profit or loss  –  314 
Deferred tax movement recognised in profit or loss  13  18 
Straight-lining operating lease adjustment  10  67 
Adjustments to dividends from equity interests held  15  98 
Adjustments arising from investing: 
Gains or losses on disposal of:  35  46 
Investment property and property, plant and equipment  (2) (2)
Debt and equity instruments  –  48 
Subsidiaries and equity-accounted entities held  37  – 
Foreign exchange and hedging items:  31  (251)
Fair value adjustments on derivative financial instruments employed solely for hedging purposes  58  49 
Reclassified foreign currency translation reserve upon disposal of a foreign operation  –  (330)
Adjustments to amounts recognised in profit or loss relating to derivative financial instruments  (27) 39 
Foreign exchange gains or losses relating to capital items – realised and unrealised  –  (9)
Other adjustments:  (216)
Adjustments made for equity-accounted entities  (33) – 
Non-controlling interests in respect of the above adjustments  36  (216)
SA REIT FFO  1 342  1 242 
Number of shares outstanding (net of treasury shares) 980 226 628  956 226 628 
SA REIT FFO cents per share  136.91  129.89 
Company-specific adjustments  (6) (22)
Depreciation  (6) (4)
Deferred tax  –  (18)
FFO  1 336  1 220 
FFO per share (cents) 136.30  127.58 

SA REIT NAV

31 March 
2022 
Rm 
31 March 
2021 
Rm 
Reported NAV attributable to the parent 17 568  17 361 
Adjustments:
Dividend declared (640) (966)
Fair value of derivative financial instruments (32) 28 
Goodwill and intangible assets (3) (3)
SA REIT NAV 16 893  16 420 
Shares outstanding
Number of shares in issue (net of treasury shares) 980 226 628  956 226 628 
SA REIT NAV per share 17.23  17.17 

SA REIT COST-TO-INCOME RATIO

Southern Africa portfolio 31 March 
2022 
Rm 
31 March 
2021 
Rm 
Expenses
Operating expenses per IFRS income statement (includes municipal expenses) 899  870 
Administrative expenses per IFRS income statement 157  154 
Excluding:
Depreciation expense in relation to property, plant and equipment of an administrative nature and amortisation expense in respect of intangible assets
(5) (5)
Operating costs 1 051  1 019 
Rental income
Contractual rental income per IFRS income statement (excluding straight-lining) 1 624  1 501 
Utility and operating recoveries per IFRS income statement 610  598 
Gross rental income 2 234  2 099 
SA REIT cost-to-income ratio(1) (%) 47.0  48.5 

Spain portfolio 31 March
2022
Rm
31 March
2021
Rm
Expenses
Operating expenses per IFRS income statement (includes municipal expenses) 363 384
Administrative expenses per IFRS income statement 139 132
Operating costs 502 516
Rental income
Contractual rental income per IFRS income statement (excluding straight-lining) 983 740
Utility and operating recoveries per IFRS income statement 268 278
Gross rental income 1 251 1 018
SA REIT cost-to-income ratio(1) (%) 40.1 50.7
(1) The SA REIT cost-to-income ratio includes the impact of rent concessions granted to tenants (in Southern Africa and Spain) primarily impacting the March 2021 ratios.

SA REIT ADMINISTRATIVE COST-TO-INCOME RATIO

Southern Africa portfolio 31 March
2022
Rm
31 March
2021
Rm
Administrative costs
Administrative expenses as per IFRS income statement 157 154
Rental income
Contractual rental income per IFRS income statement (excluding straight-lining) 1 624 1 501
Utility and operating recoveries per IFRS income statement 610 598
Gross rental income 2 234 2 099
SA REIT administrative cost-to-income ratio (%) 7.0 7.3

Spain portfolio 31 March
2022
Rm
31 March
2021
Rm
Administrative costs
Administrative expenses as per IFRS income statement 139 132
Rental income
Contractual rental income per IFRS income statement (excluding straight-lining) 983 740
Utility and operating recoveries per IFRS income statement 268 278
Gross rental income 1 251 1 018
SA REIT administrative cost-to-income ratio (%) 11.1 13.0

SA REIT GLA VACANCY – SOUTHERN AFRICA

31 March
2022
Rm
31 March  
2021  
m2
GLA of vacant space 24 085 38 123  
GLA of total property portfolio 825 844 958 001  
SA REIT GLA vacancy rate (%) 2.9 4.0  

SA REIT GLA VACANCY – SPAIN

31 March
2022
Rm
31 March  
2021  
m2
GLA of vacant space 5 642 6 186  
GLA of total property portfolio 350 271 329 118  
SA REIT GLA vacancy rate (%) 1.6 1.9  

SA REIT COST OF DEBT

31 March 2022 ZAR
%
EUR
%
Variable interest rate borrowings
Floating reference rate plus weighted average margin 6.3 0.3
Fixed interest rate borrowings
Weighted average fixed rate 1.9
Pre-adjusted weighted average cost of debt 6.3 2.2
Adjustments:
Impact of interest rate derivatives 1.3 0.0
Amortised transaction costs imputed into the effective interest rate 0.1 0.2
SA REIT all-in weighted average cost of debt 7.7 2.4

31 March 2021 ZAR
%
EUR
%
Variable interest rate borrowings
Floating reference rate plus weighted average margin 5.6 0.8
Fixed interest rate borrowings
Weighted average fixed rate 0.9
Pre-adjusted weighted average cost of debt 5.6 1.7
Adjustments:
Impact of interest rate derivatives 2.6 0.2
Amortised transaction costs imputed into the effective interest rate 0.1 0.4
SA REIT all-in weighted average cost of debt 8.3 2.3

Excludes impact of CCIRS.


SA REIT LTV

31 March 
2022 
Rm 
31 March 
2021 
Rm 
Gross debt 14 654  15 404 
Less:
Cash and cash equivalents (565) (987)
Cash and cash equivalents balance sheet (565) (1 003)
Less restricted cash –  16 
Add/less:
Net derivative financial instruments liability/(asset) (33) 365 
Forward exchange contracts (119) (212)
CCIRS 337 
Interest rate swaps 85  240 
Net debt 14 056  14 782 
Total assets - per statement of financial position 34 725  35 992 
Less:
Cash and cash equivalents (565) (1 003)
Tenant deposits(1) (118)
Derivative financial assets: (253) (214)
Forward exchange contracts (246) (212)
Cross-currency interest rate swaps (1) – 
Interest rate swaps (6) (2)
Goodwill and intangible assets (3) (3)
Trade and other receivables (307) (391)
Carrying amount of property-related assets 33 479  34 381 
SA REIT LTV % 42.0  43.0 
(1) In the prior year, tenant deposits in Castellana amounting to R128 million were not deducted from total assets. If the tenant deposits had been deducted, the SA REIT LTV in the prior year would have been 43.2%.