Ladies and gentlemen, welcome to the full year 2023-2024 Financial Results Conference Call. I'm Melchior, the Chorus Call Operator. I would like to remind you that all participants will be in a listen-only mode, and the conference is being recorded. The presentation will be followed by a Q&A session. You can register for questions at any time by pressing star and one on your telephone. For operator assistance, please press star and zero. The conference must not be recorded for publication or broadcast. At this time, it's my pleasure to hand over to Kyrill Turchaninov, CFO, and Alexander Kroth, CIO. Please go ahead.
Hello everyone, good morning. This is the Deutsche Konsum REIT presentation of the annual financial results for the financial year that ended on the 30th of September 2024. The past financial year for the company was, well, rather turbulent, and we have covered in past presentations all of the events that took place at or short after the beginning of the end of the previous financial year with the REIT's repayment or non-repayment with tax authorities payments and other matters which were present within the financial year. So let's take a look at page four, where we present the highlights of the year. So the rental income has decreased to EUR 77.4 million. It is down from the prior year of EUR 79.7 million, so down by EUR 2.3 million, mostly due to portfolio sales. Net rental income slightly decreased.
It was EUR 48.2 million last year and went down by about EUR 200,000, so it is now at EUR 48 million. FFO was driven by higher debt costs, and we have now confirmed the guidance that we provided previously. The range we gave was between EUR 27 million and EUR 29 million. Our FFO is confirmed with EUR 28 million. So, per share on undiluted basis is EUR 0.80. The FFO undiluted is EUR 0.44, and that obviously was due to the reduction of CapEx investments in the financial year compared to the previous financial year. There were positive events in the financial year, not just negative, and we are happy that we were able to reduce the debt burden by EUR 88.6 million, which is about 14% reduction year on year. This was primarily driven by sales from our assets, which we also communicated in a prior call.
14 properties were sold with a purchase price or sales price of EUR 78.3 million. An additional five properties notarized in May this year were closed, and there is still remaining at the purchase price of EUR 11 million. There are further properties under consideration, of which three are notarized. The volume of the sales price is about EUR 9 million, about or slightly above the book value. We have refinanced the bonds that were maturing, and we have refinanced EUR 145.9 million. It was finalized in June this year. The new instruments are secured and mature on the 30th of September. The good news is that we were able to repay about, well, actually exactly EUR 60 million of these instruments in July and November, and 50 million repayment in July was from the sales proceeds of the 14 properties portfolio.
So the remaining EUR 85.9 million, as mentioned, are maturing on September 30th, 2025. There were also events which took place after the end of the financial year, and those are significant events which I will obviously also mention. Within the financial year, REITs have repaid EUR 11.6 million of its obligations, and after the close of the financial year in October, we have reached an agreement that we receive EUR 38 million until the end of 2024, and indeed the total amount was received and was partially used to pay down some additional debt.
The receipt of payment from Obotritia resulted in a reversal of provision because in the prior year, we made a provision of that debt provision against our REITs receivables, and the resulting effect on the P&L is EUR 28.2 million, sort of an extraordinary income, certainly not a cash item on the P&L, but it improved our financial results. KPIs are solid. LTV went down, which is a very important KPI for us. It was decreased to 57.2%, primarily obviously from repayments. NTA at full year basis at EUR 7.55. We'll have some more details on that later on in the presentation. The latest average cost of debt is at 3.93%. As mentioned before, the guidance we provided previously for the year is confirmed, and we can take a look at the next slide.
The key financial figures are obviously rental income, FFO, FFO per share, FFO and investment properties, as well as EPRA NTA. The portfolio was obviously influenced due to the sales of the properties. That affected the rental income, which went down 2.9%. FFO has also decreased because the financing costs have been risen, and we sold also some properties. Now we can take a look at the slide number seven, where we provide details on the portfolio itself. So we currently have 167 properties, and that is obviously a reduction because we have sold some assets. Some properties were already fully closed, but we still have two that were not closed at the date on 30/09/2024, which is the balance sheet date, and that's what those numbers pertain to. In terms of the total fair value of the portfolio, we have now about 886 million EUR.
The range we provided in prior guidance in November is met, actually slightly better. We provided a range of EUR 860 million-EUR 890 million. So the range on the valuation multiple, we also more or less, well, we are in line. The range we provided was 12.4-12.7, and we are now at 12.5, and certainly very important operational KPIs for us are vacancy rate and WALT. 14% vacancy is slightly higher than we would like to have it, and it was caused by sale of the 14 asset portfolio, as well as by the bankruptcy of Real supermarket chain, which resulted in 20,000 square meters of additional vacant space. The portfolio of 14 assets that we sold had a pretty low vacancy of about 5.3%. So certainly that had an impact on our vacancy rate. WALT of 4.4 years has gone down.
However, an important mention here is that 49% of our rental income is coming from lease contracts, which are five years or more in the future. So that provides a certain stability of the future income that we are obviously happy about. In terms of the CBRE valuations that we have received as every year for the 30/09, the value of the like-for-like basis portfolio went down by about EUR 15 million or 1.7%. So certainly we did not expect and it didn't happen to the same extent as in the prior year. Devaluations were relatively minor, and predominantly one particular single asset contributed to this devaluation significantly. That is one of the former Real assets, which is now with 52% vacancy, and devaluation on that asset was EUR 9.7 million out of the entire portfolio devaluation of EUR 15 million. Now we can take a look at slide nine. No, sorry.
Slide nine, where we have details on our tenant structure, which didn't change significantly since last time. 66% of rent is still coming from non-cyclical tenants, 79% of the total annualized rent of 69.7 coming from cyclical tenants as well as do-it-yourself stores, so the rent distribution by major tenants, we have a breakdown by tenant group and food retail as before, remains a dominant contributor to our rent. We have 85% of our rental contracts, or our rents actually, are CPI linked, so that preserves our cash flow in case there are inflations. CPI indexation obviously follows the inflation, so in the past year, it was not as high as it was in the prior years, and in the future, obviously, that depends how inflation develops. We can now take a look at slide 12, where we present the valuation potential of the portfolio.
So currently, with annualized total portfolio rental for EUR 69.7 million and the yield of 7.9%, we have a hypothetical EPRA NTA per share of 7.55. The current trading is about 3.77. Obviously, that changes. We basically think that the value of the portfolio is not entirely reflected in the purchase price, and there is quite some potential for the value increase of the company as well, obviously portfolio. We can now take a look at the slide on financing, which is, of course, a very important element in our presentation. The total financial debt, as I mentioned, decreased by roughly 14%. So we're happy about this, and this is the direction that the company will be taking and focusing primarily on orderly reduction of our liabilities. And LTV is certainly a key indicator here. With 57.2%, it is somewhat higher than we would like it to be.
However, there was an event that took place after the close of the financial year, a conversion of a convertible bond in the amount of EUR 20.4 million. If we adjust LTV for that conversion, we will be looking at LTV of 54.9%. This is obviously not reflected in the financials at the year-end closing, but we are happy that LTV is going in the right direction. On the left-hand bottom side, we have split our loan allocation according to maturity and ending of fixed interest rate terms, so obviously, the 25 amount seems to be quite challenging, and we do break down this number. We provide quite some more details on how this EUR 250 million will be handled in our management report, in our report which is open on our website on pages 65 and 66, just to sort of provide a bit more details.
We have convertible bonds which mature in the first quarter of 2025 in the total amount of EUR 37 million. Out of that amount, as I already mentioned, EUR 20.4 million was converted. As to the rest, until the conversion notice is received, I obviously cannot guarantee conversion, but perhaps it will happen, which will reduce our debt burden for the first quarter of next year, as well as improve our LTV further. Also, in that total amount, I included the loans which have an ending of fixed term in the financial year 2025, in the calendar year 2025. So those will continue with a variable rate. The repayment of the bonds which are maturing in September next year, the EUR 85.9 million, which I mentioned previously, is also planned. Obviously, we have our forecast.
We have our plan how we want to do this, and this is expected to be achieved by refinancing and topping up the real estate secured loans to generate enough extra cash which will go entirely into the repayment of the bonds. So it is going to be an interesting year, 2025. We started it very positively. We have some events which I mentioned which improve our financial situation. On the operational side, which is also a direction which is under focus, we are working with major supermarket chains to lease up those assets which are left empty after Real bankruptcy. So asset management is very close in certain cases to sign those leases, after which those assets currently unsecured will also be available for financing, therefore producing additional source of funding for repayment of the loans.
an interesting year lies ahead of us, and at this point, I'm done with the presentation and will hand over for questions.
Thank you. Ladies and gentlemen, we will now begin the question and answer session. Anyone who wishes to ask a question may press star and one on their touch-tone telephone. You will hear a tone to confirm that you have entered the queue. If you wish to remove yourself from the question queue, you may press star and two. Participants are requested to use only handsets while asking a question. Anyone who has a question may press star and one at this time. Our first question comes from Kai Klose from Berenberg. Please go ahead.
Yes, very good morning, Kai Klose from Berenberg. I've got a question on the CapEx spendings, which quite significantly were reduced in the last year.
To indicate what is the one rate for the current fiscal year, and you mentioned that you're in talks with supermarkets for the reletting of properties, is there any additional CapEx you intend to spend? Thanks.
Sure. In the prior financial year, there were two assets which received significant modernization CapEx investments. Those projects were mostly done and therefore did not require any additional CapEx in the financial year that just ended. Now, in terms of the lease-up of the empty space, which we're working on with supermarket chains, yes, there will be some CapEx requirements, which will be, well, investment requirements from our side, which will be spread over two years. And in total, it will be probably about EUR 2 million. I hope that answers your question.
Yeah.
If you compare last year's volumes of around 12 million going into this year, would you expect this to be at the same level or more or less?
We do not expect it to be significantly more. Thank you.
Ladies and gentlemen, as a reminder, if you wish to register for questions, please press star and one on your telephone. It seems that there are no more questions at this time. I would now like to turn the conference back over to Kyrill Turchaninov for any closing remarks. Please go ahead.
Thank you. I would like to thank everyone for participating in the call, for your attention, patience, and look forward to presenting and explaining the company results next time. Thank you.