(Oslo, 12 May 2010) Northern Logistic Property ASA reports positive fair value adjustment of properties of NOK 11 million for the first quarter 2010, and net earnings of NOK 16 million. Operational cash flow was NOK 19 million before change in working capital. The company signed new rental agreements in Karlstad and Sundsvall in April 2010.
"The first quarter of 2010 was positive for NLP. The valuation of our properties increased for the first time in two years, and as a result we report positive net earnings for the period. Our focus remains on operations and we plan to strengthen our organisation further to back our property development ambitions", says Per Gunnar Rymer, CEO of Northern Logistic Property ASA.
Highlights:
· Revenue for the first quarter 2010 amounted to NOK 92.3m (NOK 103.7m). The year-over-year decrease of 11.0% was mainly driven by the sale of five properties in November 2009, somewhat increased vacancy, and negative CPI rent adjustments for 2010.
· Annual contractual rent level was NOK 366m at the end of the first quarter, based on currency rates at March 31, 2010.
· First quarter maintenance and other property expenses include NOK 9.5 million in one-off costs related to snow clearing. Adjusted for snow clearing property related expenses amounted to 10.8% (9.4%) of revenue in the first quarter.
· Recurring earnings were NOK 30.4m (NOK 35.9m).
· Fair value adjustments of investment properties were positive, NOK 10.6m. The gross value of NLP's investment properties was NOK 4,754.3m at March 31, 2010.
· Net debt, adjusted for cash and cash equivalents, was NOK 3,541.8 million and corresponded to 74.2% of the total value of the investment properties at 31 March 2010.
· Net operational cash flow before changes in working capital remained strong in the first quarter at NOK 19m (NOK 21m)..Cash and cash equivalents stood at NOK 307.7 million at the end of the quarter.
· Total equity was NOK 1,013.0 million or NOK 29.0 per share at the end of the quarter, and the equity ratio increased slightly from 19.0% at the end of 2009 to 19.5% at the end of the first quarter of 2010.
Subsequent events
· NLP has signed a four year rental contract with Pictura AB for 9,800 sq. meters in Bleket 2, Karlstad, starting February 2011, and signed a 3 year contract for 1,820 sq. meters in Sköns Prästbord 2:4 in Sundsvall.
For further information, please see published report and presentation, or contact:
Per Gunnar Rymer, CEO: +47 907 77 627, email: per.gunnar.rymer@nlpasa.com
About Northern Logistic Property ASA
Northern Logistic Property ASA is a leading pure-play logistic property company based in the Nordic region. The portfolio consists of 19 advanced logistic properties located in larger and regional cities in Sweden and Denmark, with a total lettable area of approximately 704,000 sq. meters. See also www.nlpasa.com.
This information is subject of the disclosure requirements acc. to §5-12 vphl (Norwegian Securities Trading Act)
INTERIM REPORT FIRST QUARTER 2010
PRESENTATION FIRST QUARTER 2010 RESULTS