Resilient, a Sandton-based real estate investment trust (REIT) led by South African tycoon Des de Beer, reported better-than-expected financial results for the first half of 2024, with a total profit of $57.4 million, despite difficult economic conditions and ongoing construction at several of its shopping centers.
The retail-focused REIT’s profit climbed by 75.04 percent, from R588.59 million ($32.78 million) in the first half of 2023 to R1.03 billion ($57.39 million) in the same period of 2024, according to the interim financial statements for the six months ended June 30, 2024.
Resilient’s strategic alignment of its shopping complexes with customer needs has resulted in significant earnings growth over time. Revenue for the quarter climbed by 7.4 percent to R1.78 billion ($99.14 million), up from R1.66 billion ($92.3 million) in the same time the previous year. This highlights the REIT’s ability to generate additional income streams from its varied portfolio, which includes the expansion of retail anchors like Dis-Chem and Clicks.
The company’s comprehensive income climbed by 27.54 percent to R969.68 million ($54 million), indicating effective asset management in key locations. Despite economic challenges, retail sales climbed by 2.9%, while cash from operations increased by 5.29 percent to R1.07 billion ($59.6 million), illustrating Resilient’s effective management and resilient company strategy.
Des de Beer established Resilient REIT in 2002, and it has since developed into a real estate behemoth, with a portfolio of 27 shopping centers totaling 1.2 million square meters of gross lettable area. Under De Beers’ leadership, the company has strengthened its position as a market leader in South Africa.
As a result of its good financial performance, Resilient’s total assets increased by 9.28% in H1 2024 to R36.99 billion ($2.06 billion), up from R33.85 billion ($1.88 billion) in H1 2023. The company’s equity attributable to equity holders also increased significantly, rising 10.85% to R22.22 billion ($1.24 billion), strengthening Resilient’s financial position and ability to generate value to shareholders.
