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%.