Immofinanz posts net profit of 185 million Euro in the first half of 2019
Immofinanz announced that its net profit almosted doubled to 185.3 million Euro in the first half of 2019.
“We have successfully returned to a growth course following the portfolio restructuring measures and efficiency improvements implemented in recent years. Together with our latest acquisitions in the office and retail areas, our property portfolio is approaching a value of roughly five billion Euros,” Oliver Schumy, CEO of Immofinanz.
The results of asset management improved by 6.6% to EUR 101.0 million (Q1–2 2018: EUR 94.8 million). The results of property sales amounted to EUR 1.7 million (Q1-2 2018: EUR 20.6 million) and the results of property development totalled EUR 14.3 million (Q1–2 2018: EUR 24.2 million). Results from the revaluation of investment property and goodwill increased substantially to EUR 104.7 million (Q1–2 2018: EUR 9.3 million), above all due to the positive market development in Germany and Austria. Operating profit (EBIT) therefore rose significantly year-on-year to EUR 203.4 million (Q1-2 2018: EUR 124.1 million).
The Group’s financial results benefited from a further decline in financing costs (6.4% reduction to EUR -31.6 million). The share of profit/loss from equity-accounted investments amounted to EUR 43.4 million (Q1–2 2018: EUR 31.3 million), whereby the proportional share of earnings from the S IMMO investment represents the main component. Financial results for the first half of 2019 totalled EUR -4.6 million (Q1–2 2018: EUR 1.5 million).
Net profit more than doubled to EUR 185.3 million (Q1–2 2018: EUR 86.2 million). Basic earnings per share equalled EUR 1.72 (Q1–2 2018: EUR 0.79) and diluted earnings per share EUR 1.53 (Q1–2 2018: EUR 0.73).
The real estate portfolio included 214 properties with a combined carrying amount of approximately EUR 4.5 billion as of 30 June 2019. Most of these properties – roughly 90% or EUR 4.1 billion – are standing investments. The occupancy rate equalled 94.8% as of 30 June 2019 (30 June 2018: 94.7%; 31 December 2018: 95.8%), and the gross return was stable at 6.3%.