Oslo, 5 November 2009
Northern Logistic Property ASA reports stable development in net operating income and fair value of properties in the third quarter of 2009. After the close of the quarter, the company has strengthened its financial position. "Following a yet again stable quarter with strong operational cash flow, NLP has significantly strengthened the company's financial flexibility and basis for future value creation. We have reduced the asset base through sale of five properties and streamlined our portfolio, and we have secured loan agreement amendments. In addition the Board has proposed a NOK 100 million fully underwritten rights issue. We can now look forward to a period with increased focus on the business opportunities in our portfolio and the market in general", says Per Gunnar Rymer, CEO of Northern Logistic Property ASA. Highlights for the quarter:
- Revenue for the third quarter 2009 amounted to NOK 104.8 mill (NOK 91.2 mill) and net operating income for the quarter was NOK 93.9 mill (NOK 84.2 mill). The increase was mainly driven by property acquisitions in the fourth quarter of 2008, extension of one property in 2009, and CPI adjustments of rents.
- The company had an annual contractual rent level of NOK 397 mill at the end of the third quarter, based on currency rates at September 30, 2009
- Earnings before fair value adjustments and taxes (EBVAT) for the quarter were NOK 34.1 mill (NOK 27.7 mill). The quarterly year-over-year earnings increase was driven by improvements in underlying operations and acquisitions.
- Fair value adjustments of investment properties were a negative NOK 31.3 mill in the third quarter. The gross value of the NLP's investment properties was NOK 5,220.6 mill at September 30, 2009.
- Net debt, adjusted for cash and cash equivalents was NOK 4,122.1 mill at the end of the quarter. Net debt corresponded to 79.0% of the total value of the investment properties at the end of the third quarter 2009, compared to 79.3% at the end of 2008.
- Net cash generated from operating activities was NOK 24.2 mill for the third quarter of 2009 (NOK 12.8 mill), or NOK 0.91 per share (NOK 0.48).
- Cash and cash equivalents stood at NOK 146.1 mill at the end of the third quarter.
- Total equity was NOK 925.9 mill at the end of the third quarter. Equity ratio remained unchanged quarter-on-quarter at 16.6%.
After the close of the quarter:
- NLP closed a transaction with Kungsleden on November 2, 2009 to sell five properties with lettable area of approximately 109,000 sqm for a market value of SEK 525 million.
- In October, NLP entered into agreements related to two of its loan facilities, which imply that the valuation of the properties under the loan agreements will be held unchanged until third quarter 2010. The company thereby removes any uncertainty with regards to compliance with LTV (Loan to value) covenants.
- October 19, 2009, the Board of Directors proposed a fully guaranteed NOK 100 million pre-emptive rights issue.
For further information, reference is made to related announcements that can be found on the company's web page and on www.newsweb.no. For further information: 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 705,000 sq m. See also www.nlpasa.com.
Press release
Interim Report Third Quarter 2009
Presentation Third Quarter Results 2009