DGAP-News: TAG Immobilien AG / Key word(s): Quarter Results
TAG Immobilien AG reports EBT of EUR 12 million for Q1 2011
23.05.2011 / 08:00
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- Net rental profit doubled to EUR 19 million
- Group's earnings before taxes (EBT)came to EUR 12 million
- Integration and restructuring of Colonia Real Estate AG proceeding at
full throttle
Hamburg (23 May 2011) - For TAG Immobilien AG ('TAG' in the following), the
first quarter of 2011 revolved around the takeover and first-time
consolidation of Colonia Real Estate AG ('Colonia' in the following). This
resulted in an entirely new balance sheet for TAG at the reporting date.
The integration of Colonia has taken the Group to a new dimension in terms
of both size and market importance. Its property volume has increased to
approx. EUR 1.8 billion, and as of the end of March, the TAG Group manages
26,517 residential units. The first-quarter figures reflect the success of
TAG's expansionist strategy:
Total revenue increased from EUR 21.1 million in Q1/2010 to EUR 36.0
million in the first three months of 2011. First-quarter rental revenues
rose from EUR 12.0 million in Q1/2010 to EUR 24.4 million in 2011,
leading to consolidated net rental profit of EUR 19.1 million (TAG and
Colonia) alone was able to improve its first-quarter net rental profit by
nearly 30 percent to EUR 12.5 million (Q1/2010: EUR 9.7 million) thanks to
successful vacancy reduction. TAG's net rental profit after interest paid
on property financing came to EUR 4.6 million in Q1/2011, after EUR 3.3
million for the comparable period in 2010. This shows that TAG's growth
does actually help to increase the operating result.
The Group's Earnings before taxes (EBT) including Colonia came to EUR 12.0
million at the end of the first quarter 2011. The biggest contributor, in
the amount of EUR 12.4 million, was the first-time consolidation of
Colonia. The Colonia acquisition resulted in higher interest costs; the
interest paid on the convertible bonds issued by TAG last year and higher
interest on property loans resulting from acquisitions also impacted the
result. Net interest income for the first quarter of 2011 was EUR -14.2
million after EUR -6.7 million in Q1/2010. TAG generated Group net income
of EUR 11.1 million in Q1/2011, after EUR 4.3 million in Q1/2010.
The Colonia takeover increased the Group's total assets from EUR 1.2
billion to EUR 1.9 billion. Its equity ratio before minorities is 19.3
percent and the LTV (Loan to Value) ratio is around 60 percent.
TAG is sticking to the forecast issued at year-end 2010 and expects pre-tax
earnings (EBT) of between EUR 50 million and EUR 60 million.
'The months ahead will contain great challenges arising from the
integration of Colonia in TAG and the necessary restructuring measures. We
are, however, making much faster and better progress on this than planned.
At the same time we will pursue the expansion of our portfolio and continue
growing based on the position we've now achieved,' says Rolf Elgeti, CEO of
TAG.
For details, please refer to the interim report for the quarter ended on 31
Mar 2011, which was published today.
Press enquiries:
TAG Immobilien AG
Investor & Public Relations
Britta Lackenbauer / Dominique Mann
Tel. +49 40 380 32 300
Fax +49 40 380 32 390
pr@tag-ag.com
End of Corporate News
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Language: English
Company: TAG Immobilien AG
Steckelhörn 5
20457 Hamburg
Deutschland
Phone: 040 380 32 300
Fax: 040 380 32 390
E-mail: ir@tag-ag.com
Internet: http://www.tag-ag.com
ISIN: DE0008303504
WKN: 830350
Listed: Regulierter Markt in Frankfurt (Prime Standard), München;
Freiverkehr in Berlin, Düsseldorf, Hamburg, Hannover,
Stuttgart
End of News DGAP News-Service
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125693 23.05.2011
DGAP-News: TAG Immobilien AG reports EBT of EUR 12 million for Q1 2011
| Source: EQS Group AG