- Total sales at the Company’s operating malls in 1Q14 totaled R$ 1.0 billion, an 18.7% increase over 1Q13
- Net revenue totaled R$ 74.3 million in 1Q14, a 14.8% increase over 1Q13
- Same-store sales (SSS) increased by 7.9% in 1Q14 over 1Q13
Sonae Sierra Brasil S.A. (BM&FBovespa: SSBR3), a leading Brazilian shopping mall developer, owner and manager, announces its results for the first quarter of 2014 (1Q14). The company had a solid start in 2014 with same-store rents (SSR) and same-store sales (SSS) increasing 10.1% and 7.9%, respectively, in 1Q14 compared with 1Q13. Occupancy remained strong at 97.3%, excluding recently opened malls.
The Company’s gross revenue totaled R$ 85.4 million in 1Q14, a 17.5% increase over 1Q13, mainly attributable to the opening of Boulevard Londrina and Passeio das Águas shopping centers, rental increases in our mature assets and service revenues increases.
As an example of a maturing mall, we are pleased to report the excellent results posted by Uberlândia Shopping in this quarter. Uberlândia was our best performing mall in terms of sales performance in 1Q14, increasing almost 18% compared with 1Q13, with its leisure stores posting almost 30% SSS growth. The mall also supported our SSR growth, through its continuous ramp-up process.
Another important highlight of the period was the completion of the sale of DDR Corp’s stake in our controlling shareholder. We are pleased that we will have Alexander Otto as a partner in Sonae Sierra Brasil. DDR and Sonae Sierra were able to develop one of the main shopping center companies in Brazil, and we strongly believe that the partnership with Mr. Otto will be even more fruitful for the future growth of the Company. Mr. Otto will serve as a member of our Board.
Parque D. Pedro Refurbishment
A major intervention has been approved in Parque D. Pedro Shopping. It includes a new entrance where a new restaurant area will be built. On the other side, the furniture area of the mall is being refurbished with the introduction of two new anchor stores and the expansion of the Bodytech Fitness Center. The leasing process of this initiative is progressing rapidly. In the end of May a new Convention Center will be also opened in this mall. This new tenant will increase even more the traffic in Parque D. Pedro.