News
08/13/2012
Strong growth at Deutsche Wohnen
DGAP-News: Strong growth at Deutsche Wohnen
Deutsche Wohnen AG / Key word(s): Quarter Results
13.08.2012 / 07:02
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- Increase in FFO in comparison with previous year by 15% to EUR 32.8 million
- Acquisition of around 25,000 residential units since beginning of year - FFO guidance raised to between EUR 60 million and EUR 65 million
Frankfurt/Main and Berlin, 13 August 2012. Deutsche Wohnen has completed the first half-year of 2012 with a clear improvement in earnings. Consolidated group profit rose in comparison to the equivalent period of the previous year (EUR 16.9 million) by EUR 20.0 million to EUR 36.9 million. Adjusted earnings before taxes increased by around 39 % to EUR 37.3 million (previous year: EUR 26.9 million). The key earnings figure Funds from Operations (FFO, without disposals) rose in comparison to the previous year by around 15 % to EUR 32.8 million. This was due to operational improvements and acquisitions.
Clear growth in residential holdings
Since the beginning of the year Deutsche Wohnen has acquired around 25,000 residential units with a transaction volume of around EUR 1.32 billion. The BauBeCon Group which was purchased from Barclays Bank PLC on 27 May 2012 is expected to be taken over in August 2012. In addition, 1,500 further units were purchased in Berlin and Potsdam.
'Once again we have been able to raise our full-year guidance because, as we integrate the newly acquired units, we will strengthen our earnings power significantly. In doing so, we will also further reinforce the attractiveness of our share,' explains Michael Zahn, Chief Executive Officer of Deutsche Wohnen AG. Further portfolios of around 10,000 units in size and with a transaction volume of around EUR 485 million are currently the subject of exclusive negotiations.
Rising demand is strengthening lettings and privatisation
Rising demand in the core markets of Deutsche Wohnen is beneficial to both the letting and the privatisation business. Thus, the in-place rent in the continuously managed letting portfolio of the core regions (like-for-like comparison) rose in a year-on-year comparison by 4.0 % to EUR 5.75 per sqm (previous year: EUR 5.53 per sqm). Despite the compelling growth of in-place rents the new-letting rents have risen to an average of EUR 6.98 per sqm - and thereby stronger than in-place rents. The rent potential of the portfolio is now 22 %. As at 30 June 2012 privatisations had already achieved a contribution to earnings of EUR 9.7 million - with a gross margin of 35 %. Therefore, the earnings target for privatisations in our plan for 2012 has already been reached after six months.
Full-year guidance increased
Based on the positive development in the first half-year of 2012 Deutsche Wohnen is raising its guidance for the entire year. In consideration of acquisitions and disposals the recurring FFO (without disposals) will rise to a range of between EUR 60 million and EUR 65 million - an increase in comparison to the previous year of between EUR 12.5 million and EUR 17.5 million. In Disposals an increase in earnings by around EUR 10 million to around 20 million in 2012 is expected. Going forward, after the successful integration of the BauBeCon holdings and full realisation of the potential synergies, the company anticipates a pre-tax FFO (without disposals) of around EUR 100 million (based on today's portfolio). Further potential in an amount of around EUR 10 million is expected through the realisation of further acquisitions.
Lars Wittan, previously Member of the Management Board, became the Chief Financial Officer with effect from 1 August 2012. The previous Chief Financial Officer Helmut Ullrich will continue as Member of the Management Board with responsibility for capital markets and investor relations until the end of the year and will then leave the company.
Deutsche Wohnen
Deutsche Wohnen is one of the largest publicly listed residential property companies in Germany with a business focus on managing and developing its residential property portfolio. On 30 June 2012 the portfolio comprises 49,564 units in total, of which 49,099 are residential units and 465 are commercial units. The Company has 146,142,858 million shares listed in the Deutsche Börse's MDAX and is also included in the leading indices EPRA/NAREIT and GPR 250.
Contact:
+49 (0)30 / 89786 - 551
End of Corporate News
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13.08.2012 Dissemination of a Corporate News, transmitted by DGAP - a company of EquityStory AG.
The issuer is solely responsible for the content of this announcement.
DGAP's Distribution Services include Regulatory Announcements, Financial/Corporate News and Press Releases.
Media archive at www.dgap-medientreff.de and www.dgap.de
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Language: English Company: Deutsche Wohnen AG Pfaffenwiese 300 65929 Frankfurt Germany Phone: +49 (0)30 89786-0 Fax: +49 (0)30 89786-507 E-mail: ir@deutsche-wohnen.com Internet: http://www.deutsche-wohnen.com ISIN: DE000A0HN5C6, DE0006283302 WKN: A0HN5C, 628330 Indices: MDAX Listed: Regulierter Markt in Frankfurt (Prime Standard); Freiverkehr in Berlin, Düsseldorf, Hamburg, München, Stuttgart
End of News DGAP News-Service
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Deutsche Wohnen AG / Key word(s): Quarter Results
13.08.2012 / 07:02
---------------------------------------------------------------------
- Increase in FFO in comparison with previous year by 15% to EUR 32.8 million
- Acquisition of around 25,000 residential units since beginning of year - FFO guidance raised to between EUR 60 million and EUR 65 million
Frankfurt/Main and Berlin, 13 August 2012. Deutsche Wohnen has completed the first half-year of 2012 with a clear improvement in earnings. Consolidated group profit rose in comparison to the equivalent period of the previous year (EUR 16.9 million) by EUR 20.0 million to EUR 36.9 million. Adjusted earnings before taxes increased by around 39 % to EUR 37.3 million (previous year: EUR 26.9 million). The key earnings figure Funds from Operations (FFO, without disposals) rose in comparison to the previous year by around 15 % to EUR 32.8 million. This was due to operational improvements and acquisitions.
Clear growth in residential holdings
Since the beginning of the year Deutsche Wohnen has acquired around 25,000 residential units with a transaction volume of around EUR 1.32 billion. The BauBeCon Group which was purchased from Barclays Bank PLC on 27 May 2012 is expected to be taken over in August 2012. In addition, 1,500 further units were purchased in Berlin and Potsdam.
'Once again we have been able to raise our full-year guidance because, as we integrate the newly acquired units, we will strengthen our earnings power significantly. In doing so, we will also further reinforce the attractiveness of our share,' explains Michael Zahn, Chief Executive Officer of Deutsche Wohnen AG. Further portfolios of around 10,000 units in size and with a transaction volume of around EUR 485 million are currently the subject of exclusive negotiations.
Rising demand is strengthening lettings and privatisation
Rising demand in the core markets of Deutsche Wohnen is beneficial to both the letting and the privatisation business. Thus, the in-place rent in the continuously managed letting portfolio of the core regions (like-for-like comparison) rose in a year-on-year comparison by 4.0 % to EUR 5.75 per sqm (previous year: EUR 5.53 per sqm). Despite the compelling growth of in-place rents the new-letting rents have risen to an average of EUR 6.98 per sqm - and thereby stronger than in-place rents. The rent potential of the portfolio is now 22 %. As at 30 June 2012 privatisations had already achieved a contribution to earnings of EUR 9.7 million - with a gross margin of 35 %. Therefore, the earnings target for privatisations in our plan for 2012 has already been reached after six months.
Full-year guidance increased
Based on the positive development in the first half-year of 2012 Deutsche Wohnen is raising its guidance for the entire year. In consideration of acquisitions and disposals the recurring FFO (without disposals) will rise to a range of between EUR 60 million and EUR 65 million - an increase in comparison to the previous year of between EUR 12.5 million and EUR 17.5 million. In Disposals an increase in earnings by around EUR 10 million to around 20 million in 2012 is expected. Going forward, after the successful integration of the BauBeCon holdings and full realisation of the potential synergies, the company anticipates a pre-tax FFO (without disposals) of around EUR 100 million (based on today's portfolio). Further potential in an amount of around EUR 10 million is expected through the realisation of further acquisitions.
Lars Wittan, previously Member of the Management Board, became the Chief Financial Officer with effect from 1 August 2012. The previous Chief Financial Officer Helmut Ullrich will continue as Member of the Management Board with responsibility for capital markets and investor relations until the end of the year and will then leave the company.
Deutsche Wohnen
Deutsche Wohnen is one of the largest publicly listed residential property companies in Germany with a business focus on managing and developing its residential property portfolio. On 30 June 2012 the portfolio comprises 49,564 units in total, of which 49,099 are residential units and 465 are commercial units. The Company has 146,142,858 million shares listed in the Deutsche Börse's MDAX and is also included in the leading indices EPRA/NAREIT and GPR 250.
Contact:
+49 (0)30 / 89786 - 551
End of Corporate News
---------------------------------------------------------------------
13.08.2012 Dissemination of a Corporate News, transmitted by DGAP - a company of EquityStory AG.
The issuer is solely responsible for the content of this announcement.
DGAP's Distribution Services include Regulatory Announcements, Financial/Corporate News and Press Releases.
Media archive at www.dgap-medientreff.de and www.dgap.de
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Language: English Company: Deutsche Wohnen AG Pfaffenwiese 300 65929 Frankfurt Germany Phone: +49 (0)30 89786-0 Fax: +49 (0)30 89786-507 E-mail: ir@deutsche-wohnen.com Internet: http://www.deutsche-wohnen.com ISIN: DE000A0HN5C6, DE0006283302 WKN: A0HN5C, 628330 Indices: MDAX Listed: Regulierter Markt in Frankfurt (Prime Standard); Freiverkehr in Berlin, Düsseldorf, Hamburg, München, Stuttgart
End of News DGAP News-Service
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