DGAP-Adhoc: Q1: DIC Asset AG posts a profitable start also to 2008, in a difficult market

DIC Asset AG / Quarter Results

13.05.2008 

Release of a Adhoc News, transmitted by DGAP - a company of EquityStory AG.
The issuer is solely responsible for the content of this announcement.
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DIC Asset AG (German Securities ID 509840 / ISIN DE0005098404) today
presented its interim report for the first quarter of the 2008 financial
year. With consolidated net income of EUR 3.3 million (Q1 2007: EUR 4.9
million) and a higher operating profit (EBDA) of EUR 10.2 million (Q1 2007:
EUR 9.0 million), DIC Asset AG successfully generated an attractive return,
matching its projections in a market environment that continues to be
challenging. The decline in net income compared to the first quarter of
2007 was largely due to higher financing expenses as well as gains on
disposals in the previous year.

At EUR 39.1 million, total revenues for the first quarter of 2008 almost
doubled compared to the same period of the previous year (Q1 2007: EUR 21.8
million). Rental income was up strongly, by 78 per cent, to EUR 33.8
million (Q1 2007: EUR 19.0 million), reflecting the benefit of the
significant expansion in the real estate portfolio to more than 1.3 million
square metres (comprising 64 per cent office space, 13 per cent retail, 4
per cent hotels and restaurants, 16 per cent other commercial use such as
logistics and others, and 3 per cent residential).

At the same time, the increase in total expenses, to EUR 17.2 million (Q1
2007: EUR 9.8 million) was clearly lower than revenue growth. The increase
was due to the expansion in operating activity, and to continued growth in
the real estate portfolio, from EUR 1.1 billion (Q1 2007) to EUR 2.0
billion (Q1 2008). The fact that the increase in expenditure fell short of
earnings growth reflects enhanced profitability, and the successful
realisation of synergy effects.

DIC Asset AG’s total assets slightly increased, to EUR 2.3 billion as at 31
March 2008.

Long-term assets rose from EUR 1.9 billion to EUR 2.1 billion. Long-term
fixed interest rate agreements or hedges are in place for 89 per cent of
financial debt of EUR 1.6 billion, with around 60 per cent having a
maturity of over five years. Maturities in the years 2008 and 2009 only
amount to approx. EUR 16 million and EUR 36 million, respectively.

EBITDA (earnings before interest, income taxes, depreciation and
amortisation) rose by 78 per cent, to EUR 28.8 million (Q1 2007: EUR 16.2
million). Cash flow from operations doubled to EUR 31.9 (Q1 2007: EUR 15.7
million), whilst cash flow from operating activities (after interest and
taxes) rose by 16 per cent, to EUR 10.4 million (Q1 2007: EUR 9.0 million).

FFO (funds from operations, comprising earnings before depreciation, taxes,
profits from disposals and development projects) was up year-on-year, to
EUR 11.0 million (Q1 2007: EUR 10.4 million). Operating profit before
depreciation and amortisation (EBDA) rose by 13 per cent, to EUR 10.2
million, equivalent to operating profit per share of EUR 0.33 (Q1 2007: EUR
0.31). Reflecting the development of consolidated net income, earnings per
share declined to EUR 0.11 (Q1 2007: EUR 0.17).

Looking ahead on the current year 2008, DIC Asset AG plans to further grow
its business from the existing portfolio. This will be supported by active
asset and property management, together with realised profits from sales of
real estate. DIC Asset AG will further expand its nationwide presence with
the opening of a Munich branch office. Approx. 124,000 square metres of
commercial floor space – equivalent to annual rental income of EUR 13.5
million – was let via the DIC ONSITE real estate management platform in
2007. During the first three months of 2008, further new rentals amounting
to around 49,000 square metres (generating EUR 5.8 million in annual rental
income) were contracted via the platform. 

Investor Relations:
Stephan Gramkow
Grünhof Eschersheimer Landstraße 223
60320 Frankfurt am Main
Fon. +49-69-9454858-39
Fax  +49-69-9454858-99
ir@dic-asset.de 


DGAP 13.05.2008 
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Language:     English
Issuer:       DIC Asset AG
              Eschersheimer Landstr. 223
              60320 Frankfurt
              Deutschland
Phone:        +49 69 9454858-0
Fax:          +49 69 9454858-99
E-mail:       info@dic-asset.de
Internet:     www.dic-asset.de
ISIN:         DE0005098404
WKN:          509840
Indices:      S-DAX
Listed:       Regulierter Markt in Frankfurt (Prime Standard); Freiverkehr
              in Berlin, München, Stuttgart, Düsseldorf
End of News                                     DGAP News-Service
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