euro adhoc: Sparkassen Immobilien AG
quarterly or semiannual financial
statement
Sparkassen Immobilien AG - excellent Q1 2008 results
Disclosure announcement transmitted by euro adhoc. The issuer is responsible for the content of this announcement.
quaterly report
20.05.2008
Vienna-listed Sparkassen Immobilien AG (Bloomberg: SPI.AV, Reuters: SIAG.VI) has started its business year 2008 with a good first quarter 2008.
Compared with the same period last year, revenues for the first three months of 2008 were up by 22%, to EUR 26.9m, and rental income rose 21%, to EUR 21.2m. Net operating income (NOI) grew from EUR 15.1m to EUR 17.9m, and the NOI margin (NOI/revenues) was 67%. Compared to first quarter 2007, gains on portfolio revaluation were down to EUR 112,000 (Q1 2007: EUR 15.6m). This was attributable to the current market situation and the fact that, in our valuations, our policy is to err on the side of caution. On the bright side, the sale of a German property brought us a EUR 5m profit. The property - an office building in the centre of Hamburg with lettable space of just under 17,000 m2 - sold for 15% more than its most recent valuation: on average, our other recent sales have shown similar percentage gains.
EBITDA for the first three months of 2008 was up by 74%, to EUR 19.9m, compared with EUR 11.5m for the same period last year. Due to the lower valuation gains, EBIT was down to EUR 18.9m from EUR 26.2m for first quarter 2007. Consolidated net profit came out at EUR 6.2m for the three-month period, compared with EUR 10.6m for first quarter 2007. Cash flows from operating activities came to EUR 14.3m, compared with EUR 11.3m in the same period last year, and funds from operations (FFO), was EUR 8.2m, as compared with EUR 3.7m.
Sparkassen Immobilien AG's real estate portfolio was up to EUR 1.6bn at the end of first quarter 2008, compared with EUR 1.3bn a year earlier (up 28%). At balance sheet date the portfolio was made up of 252 properties with total lettable space of 1,443,400 m2. As at 31 March 2008 the portfolio's average gross rental yield was 6.4% - the occupancy rate for the portfolio as a whole was 91%.
International capital market developments in the first quarter 2008 also affected the performance of s IMMO Aktie, whose price at 31 March 2008 was 30% lower than its underlying net asset value (NAV) of EUR 9.6.
Sparkassen Immobilien AG's Management expects 2008 to be a challenging business year due to the prevailing state of financial markets and the resulting repercussions on the real estate sector. Rising financing costs for ongoing investment activities and lower gains from revaluations will be the most significant factors. Nevertheless Sparkassen Immobilien AG is well positioned to meet its guidance for 2008: revenues of EUR 99m, rental income of EUR 78m and an EBIT of EUR 72m. Beginning in 2009 and then mainly in 2010, the development projects now under way are expected to make substantial contributions to earnings, in the form of rental income and revaluation surpluses, that are expected to be even more impressive than the record achievements of 2007.
Consolidated income statement for the period 1 January 2008 - 31 March 2008 EUR m / fair value basis
01.01.- 01.01.- Change %
31.03. 31.03.
2008 2007|Revenues |26.9 |22.1 |+22 |whereof rental income |21.2 |17.4 |+21 |Revaluation of properties |0.1 |15.6 |Other operating income |0.5 |0.2 |Gains on property disposals |5.0 |0.0 |Operating revenue |32.6 |37.9 |-14 |Depreciation and amortisation |- 1.1 |- 0.8 |Other operating expenses |- 12.6 |- 10.9 |Operating profit (EBIT) |18.9 |26.2 |-28 |Finance costs |- 11.4 |- 13.0 |Profit before tax (EBT) |7.6 |13.2 |-43 |Taxes on income |- 1.4 |- 2.6 |Consolidated net profit |6.2 |10.6 |-42
Property information as at 31 March 2008
|Number of properties |252 | |Total lettable space (m2) |1,433,400 | |- whereof Austria |330,900 | |- whereof Germany |592,600 | |- whereof CEE |509,900 | |Property portfolio at fair value (EUR) |1,622 | |Average rental yield |6.4% |
end of announcement euro adhoc
Further inquiry note:
Elke Koch
PR/IR Manager
Tel.: +43(0)50100-27867
Fax: +43(0)05100-927867
mailto:elkepetra.koch@s-immoag.at
wwww.sparkassenimmobilienag.at
Branche: Real Estate
ISIN: AT0000652250
WKN: 065225
Index: ATX Prime, Immobilien-ATX
Börsen: Wiener Börse AG / official market