​Intu’s outlook ‘remains confident’ despite market conditions

Chief executive Matthew Roberts said in a trading update for the period July 1 to November 5 that CVAs were “slightly worse than expected” but despite the challenges it faces, there is “much that gives him confidence” looking ahead.

Roberts said: “While letting activity has been slower in the third quarter as some customers delay decisions due to continued political and economic uncertainty, we are still signing a good number of new deals with great brands.

“We have also seen a pick-up in letting activity in recent weeks, which has seen Harrods take 23,000 sq ft at Intu Lakeside to launch its first standalone beauty store, H Beauty, and Zara sign for a new flagship store at St David’s, Cardiff. In Spain, AliExpress opened its first European store at Intu Xanadú, with footfall at the centre up 20 per cent following the opening.”

Roberts’ main priority is to “fix the balance sheet” over the next six months. To do this, Intu is already in the process of disposing of assets including two if its Spanish properties and by raising equity.

“Although early days, we are also making good progress in the delivery of the other strategic objectives we outlined in July, namely sharpening our customer relationships, transforming our centres and simplifying the business structure,” Roberts said.