Colonia Real Estate AG / Interim Report
14.05.2009
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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Colonia Real Estate AG reports positive quarterly figures
* Consolidated earnings of 7.7 million Euros
* Increase in rental income and strongly reduced costs in Q1
* NAV of 11.92 Euros also improved over Q4 2008
Cologne, 14 May 2009 - Colonia Real Estate AG (ISIN: DE0006338007; WKN:
633800) posted a profit of 7.7 million Euros for the first quarter of 2009.
This compares to a loss of 10.1 million Euros for the same period of the
previous year. In comparison to the previous year EBIT increased from 3.9
to 7.6 million Euros, EBITDA grew to 7.7 million Euros (2008: 4.1 million
Euros).
In absence of rental income of the hotel portfolio sold in 2008, net rental
income (NRI) increased in annual comparison from 21.6 to 22.2 million
Euros. Net operating income (NOI) rose disproportionately from 10.1 to 10.6
million Euros. As a visible result from the comprehensive cost reduction
program the general administrative costs declined by 54 percent from 6.3 to
2.9 million Euros. This figure includes restructuring costs totaling EUR
0.3 million. The positive developments of rental income, a tight cost
management and the extraordinary revenues from refinancing the north German
real estate portfolio of 8.7 million Euros mainly led to the first quarter
profit. Without any necessary revaluation and due to the positive result
NAV per share grew to 11.92, up from 11.65 Euros as of the end of 2008.
Besides the positive rental development the vacancy rate fell from 15.3
percent in the first quarter of 2008 to 13.2 percent. Average rent per
square meter increased by 2 percent to 4.62 Euros year on year.
Although the Asset Management business boosted revenues by 12 percent to
1.4 million Euros (Q1 2008: 1.2 million Euros), the contribution to
earnings was negative at 0.3 million Euros due to a traditionally weak
first quarter, as compared to -0.4 million Euros for the same period last
year. The cost reduction measures implemented in this segment in the past
three months will likely appear in the following quarters.
CEO Stephan Rind expressed cautious optimism about the outlook for the rest
of 2009. 'The good result of the first quarter 2009 is a signal for the
turnaround of the company. The German residential real estate market shows
first signs of stabilization. From a historical point of view rents are
relatively independent from economic cycles and crisis-proofed. Our active
local letting management and extensive capital expenditures in prior years
are the basis for further earnings improvements. Based on strong cost
reductions and before any sales revenues and revaluations we expect a
positive operative result for 2009.'
However, sales will be a topic for fiscal 2009. 'We adjusted our sales
activities to the current market situation. The increasing interest of
investors for defensive German residential real estate and the good
financing conditions for smaller investments in good city locations were
triggers to focus on single apartment buildings and apartments,' says Rind.
'With already sealed contracts for the second quarter we expect revenues
for the whole year of about 30 million Euros. Rising fear of inflation may
even further increase this number.'
A conference call with analysts will take place today, May 14, 2009, at
2:00 pm CET. Anyone wishing to can follow it live online at
http://cre140509-live.cyber-presentation.de. The complete quarterly report
will be available for downloading starting at 12:00 pm at
www.cre.ag/31/Investor_Relations/Finanzberichte.htm.
About Colonia Real Estate AG
With around 20,000 residential units and total assets of approximately 900
million Euros, Colonia Real Estate is Germany's third largest listed
residential property company. The asset management of the CRE Group has
more than 2.1 billion Euros real estate assets under management.
Contact:
Thomas Busch
Head of Investor Relations, Communication and Marketing
Colonia Real Estate AG
Zeppelinstr. 4-8
50667 Cologne, Germany
Phone +49 (0)221 71 60 71 0
Fax +49 (0) 221 71 60 71 99
E-Mail: pr@cre.ag
DGAP 14.05.2009
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Language: English
Issuer: Colonia Real Estate AG
Zeppelinstr. 4 - 8
50667 Köln
Deutschland
Phone: +49 221-716071-0
Fax: +49 221-716071-99
E-mail: info@cre.ag
Internet: www.cre.ag
ISIN: DE0006338007
WKN: 633800
Indices: SDAX, GPR 250, MSCI Germany Small Cap Index, FTSE EPRA/
NAREIT, E&G DIMAX
Listed: Regulierter Markt in Frankfurt (Prime Standard); Freiverkehr
in Berlin, Hannover, München, Hamburg, Düsseldorf, Stuttgart
End of News DGAP News-Service
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DGAP-News: Colonia Real Estate AG reports positive quarterly figures
| Source: EQS Group AG