Scentre Group Full Year Results 2023 Overview

Scentre Group (ASX: $SCG) has released its full year results for the 12 months to 31 December 2023, reporting a 5.2% growth in Funds From Operations (FFO) to $1,094.2 million (21.11 cents per security). The distributions for the period also saw an increase of 5.4% to $860.6 million (16.60 cents per security), surpassing the guidance. The Group's portfolio is valued at $34.3 billion at 31 December 2023.

Executive Commentary on Full Year Results 2023

Scentre Group CEO Elliott Rusanow highlighted the strong operating performance, with Net Operating Income increasing by 8.8% to $1,951 million. The Group welcomed 512 million customers in 2023, up 6.7% from 2022, and achieved $28.4 billion in business partner sales, representing a record across their Westfield platform. The Group's strategic focus on customer initiatives, including the Westfield membership program, resulted in over 3.8 million members, an increase of 640,000 for the year.

Summary of Full Year Results and Outlook

Scentre Group's full year results demonstrate a robust performance with significant growth in Funds From Operations and distributions. The Group's strategic initiatives, including customer-focused programs and new brand partnerships, have contributed to increased customer visitation and business partner sales. The ongoing expansion projects at Westfield Sydney, Westfield Knox, and Westfield Mt Gravatt are expected to further enhance the Group's retail offerings. With a focus on sustainability, the Group is progressing towards achieving net zero emissions by 2030. Scentre Group anticipates a 3.0% to 5.4% growth in FFO and at least 3.6% growth in distributions for 2024, reflecting its positive outlook and commitment to delivering long-term value to its stakeholders.