IFM Immobilien AG / Quarter Results
26.11.2008
Release of a Corporate News, transmitted by DGAP - a company of EquityStory AG.
The issuer is solely responsible for the content of this announcement.
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IFM Immobilien AG Performs Well Again in Q3 2008 Equipped for Demanding
Market Environment Consolidated revenues up 71% to EUR 10.6 million Consolidated pre-tax profit EUR 2.0 million, after-tax profit EUR
1.0 million 'Zeilgalerie' shopping mall in Frankfurt acquired Group well positioned to meet new challenges
Frankfurt am Main, November 26, 2008: IFM Immobilien AG, an investor and
project developer in commercial real estate, with an emphasis on office and
retail uses, continued its positive record during the first nine months of
2008, thus demonstrating that it is well equipped to handle the current
demanding market environment. Revenues increased about 71%. Although
deferred taxes and the noncash revaluation of derivatives had an impact on
earnings, the profit after taxes and minority interests still came to EUR
1.0 million.
IFM Immobilien AG released its third-quarter report for 2008 on the
Internet today (www.ifm.ag)
Said Georg Glatzel, CEO of IFM Immobilien AG: 'IFM is very well equipped
for todays more demanding market environment. We are pursuing new paths
with our business model, and have set ourselves aside from the rest of the
industry by concentrating on high-quality properties in prime locations,
which are still in demand in this market. And we are also well positioned
to respond flexibly to new challenges. The acquisition of the 'Zeilgalerie'
in Frankfurt is one example of IFMs success. The transaction shows the
level of trust and good repute that we enjoy among investors and the
financing banks; its also an example of our expertise and experience in
selecting outstanding properties. In the months to come, we will put a
particular emphasis on further developing the properties we already have in
our portfolio a systematic continuation of our business strategy.'
'Zeilgalerie' acquired
On July 17, 2008, IFM Immobilien AG acquired the 'Zeilgalerie' in Frankfurt
am Main. This property is one of Germanys most famous shopping malls, and
is located in one of the countrys most heavily trafficked shopping
districts. The total investment of about EUR 59 million includes planned
revitalization work for about EUR 8 million. The property was purchased
from the Signature Capital investment company. With an occupancy of about
90% at present, the 'Zeilgalerie' generates a rental yield of about 6%. The
transaction was consummated as of August 15.
The 'Zeilgalerie' acquisition has expanded IFMs portfolio of
prime-location retail properties.
Group revenue and earnings performance
Consolidated revenue, which comes primarily from rental income, rose 71%
in the first nine months of 2008, to EUR 10.6 million (Q1-Q3 2007: 6.2
million). The increase derived from rental income from the 'Zeilgalerie' in
Frankfurt am Main, acquired in July, and from several properties acquired
in 2007 'Maxxon' in Eschborn, 'Kureck' in Wiesbaden, and the 'Office
Tower' in Darmstadt. A further contribution to revenue growth came from the
growth of occupancy at the 'GutenbergPark' property in Mainz.
The operating profit was EUR 2.0 million, compared to EUR 2.4 million for
the first nine months of 2007. While still firmly in the black, this years
net figure reflects one-time expenses for the change to the regulated
market (Prime Standard segment) of the Frankfurt Stock Exchange, and a
charge against profits resulting from the fair valuation of derivatives
used to hedge interest rates. Without those expenses, the pre-tax profit
would have been EUR 3.0 million.
The consolidated profit after taxes and minority interests came to EUR
1.0 million (last year: EUR 3.6 million). This figure includes a tax charge
of EUR 0.9 million that comes primarily from deferred taxes on the
appreciation of several properties. For last years period, the effects of
the German corporate tax reform yielded tax income of EUR 1.3 million for
the Group.
Earnings per share were EUR 0.11 (last year: EUR 0.42).
Consolidated balance sheet performance
The acquisition of the 'Zeilgalerie' in particular had a substantial
influence on the IFM Groups asset and capital structure as of September
30, 2008, compared to December 31, 2007. The Groups total assets increased
about EUR 80 million, to EUR 339.4 million (December 31, 2007: EUR 260.7
million).
Non-current assets at the end of the third quarter came to EUR 315.7
million (December 31, 2007: EUR 233.6 million). The value for investment
property rose a substantial 49.7%, to EUR 207.8 million (December 31, 2007:
EUR 138.8 million). The primary reasons were the acquisition of the
'Zeilgalerie,' the reclassification of the 'Office Tower' property in
Darmstadt as an investment property, and the appreciation of the
'GutenbergPark' and 'Kureck' properties. The value recognized for
properties under development rose to EUR 87.7 million (December 31, 2007:
EUR 80.6 million, + 8.8%). The reclassification of the 'Office Tower,'
which was formerly recognized as a property under development, was more
than offset by the progress of construction at the 'Romeo & Julia'
property.
The substantial increase in total assets decreased the Groups equity
ratio to 31%, still a solid level (December 31, 2007: 36%).
Outlook
The Executive Board believes IFM Immobilien AG is well equipped for
success, even in todays more demanding market environment. Thanks to its
focus on high-quality properties in prime locations, and its skilled,
experienced team, the Group is ideally positioned to continue its
successful growth.
IFM Immobilien AGs project development business in particular is to expand
further in the medium term. Additionally, the current project development
business has been making good progress. The 'Romeo & Julia' high-rise
project is within budget and on schedule. Development of the master plan
for the 'Kureck' project in Wiesbaden is advancing briskly. The two phases
of construction originally planned for the 'Maxxon' business park in
Eschborn have now been combined into one, which will allow the company to
complete construction and position the property on the market a year ahead
of the previous schedule. This will give the project a crucial competitive
advantage in the market.
The Executive Board continues to assume that consolidated revenue for 2008
will still be well above last years figure.
About IFM Immobilien AG:
IFM Immobilien AG is an investor and project developer particularly engaged
in commercial real estate, with an emphasis on office and downtown retail
uses. In addition to conventional project development, its business also
includes redeveloping, restructuring and repositioning commercial
properties. The properties that IFM acquires generally stand out for what
IFM sees as an attractive risk-opportunity profile, extensive potential for
development and appreciation, and preferred locations. Applying this
strategy in combination with its core competences in redevelopment,
restructuring and repositioning, IFM Immobilien AG helps revitalize
properties, and thus generates what it believes will be sustainable
property values.
Contact:
For inquiries, please contact:
Frank Elsner
Frank Elsner Kommunikation für Unternehmen GmbH
Phone: +49 (0) 5404 91 92 0
Fax: +49 (0) 5404 91 92 29
office@elsner-kommunikation.de
Company contact:
Karl-Ludwig-Straße 2
69117 Heidelberg
T. +49 (0) 6221 434098-0
F. +49 (0) 6221 434098-66
info@ifm.ag, www.ifm.ag
Ulmenstraße 22
60325 Frankfurt
+49 (0) 69 7040386-0
+49 (0) 69 7040386-25
DGAP 26.11.2008
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Language: English
Issuer: IFM Immobilien AG
Karl-Ludwig-Straße 2
69117 Heidelberg
Deutschland
Phone: +49 (0)6221-434 098 0
Fax: +49 (0)6221-434 098 66
E-mail: info@ifm.ag
Internet: www.ifm.ag
ISIN: DE000A0JDU97
WKN: A0JDU9
Listed: Regulierter Markt in Frankfurt (Prime Standard); Freiverkehr
in Berlin, Düsseldorf, Hamburg, Stuttgart
End of News DGAP News-Service
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DGAP-News: IFM Immobilien AG Performs Well Again in Q3 2008 Equipped for Demanding Market Environment
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