IRSA(US:IRS)2021-11-10 21:47Financial Data and Key Metrics Changes - The company reported a net loss of ARS 1 billion attributable to controlling interest, compared to a gain of ARS 12.7 billion in the previous year [17] - The quarterly EBITDA was lower than the previous quarter due to no asset sales, with rental EBITDA still 36.5% below pre-pandemic levels [6][7] - A significant loss of ARS 6.5 billion was recorded in the fair value of investment properties, contrasting with a gain of ARS 36.7 billion in the previous year [19] Business Line Data and Key Metrics Changes - In the shopping malls segment, EBITDA was ARS 1.5 billion, recovering from a loss in the previous year, but still 35% below the previous year adjusted for inflation [24] - The office segment saw a slight decrease in occupancy to 78.9% and average rent price decreased to $25 per square meter [10] - The hotel segment generated a positive EBITDA of ARS 79 million, indicating a recovery but still affected by the pandemic [27] Market Data and Key Metrics Changes - Tenant sales increased by 322% compared to last year, but were still 10.7% below pre-pandemic levels [9] - The occupancy rate in shopping malls was reported at 89.6%, which would rise to 94.3% excluding the impact of a major tenant leaving the country [8] Company Strategy and Development Direction - The company is focused on simplifying its corporate structure through a merger proposal with IRCP, which is expected to enhance liquidity and eliminate conflicts of interest [36] - The development segment is progressing with the approval of Costa Urbana, which is anticipated to boost construction and economic activity [14][16] Management Comments on Operating Environment and Future Outlook - Management expressed optimism about the recovery of the rental segment in shopping malls and hotels, anticipating increased traffic and interest in renting spaces [39] - The company noted that the current economic situation in Argentina makes it challenging to find investment opportunities abroad, but remains open to opportunistic investments [37] Other Important Information - The company has a net debt of $331.6 million, with a loan-to-value ratio of 21.9% [32] - The merger proposal is pending approval from shareholders, with a meeting expected to take place in December [34] Q&A Session Summary Question: How much money did the company save after the merge? Is the company still invested in Israel, or do you expect to invest out of the country? - The merger is expected to simplify the corporate structure, increase liquidity, and eliminate conflicts of interest, with estimated savings of around $1 million in hard costs [36] - The company has deconsolidated its investments in Israel and currently finds it inefficient to export capital from Argentina due to high costs [37] Question: If there are no more questions, closing remarks? - Management expressed satisfaction with the first quarter results, highlighting the return of customers to malls and optimism for future tourism and economic recovery [39]