Regulated Information
23 August 2019, 7:00am, Antwerp (Berchem), Belgium: VGP NV (‘VGP’ or ‘the Group’), a leading European provider of high-quality logistics and semi-industrial real estate, today announces the results for half-year ended 30 June 2019:
VGP’s Chief Executive Officer, Jan van Geet, said: “The last few months have been very exciting as we have presented two milestone projects in Germany on which VGP has worked intensively over the past few years: a new Munich business park for around 40 hectares and a new land site in Laatzen near the Hannover fair for the construction of a 28 hectare industrial park. Both parks together are already for 88% pre-let.”
Jan Van Geet added: “In addition to these two parks we have acquired highly attractive land positions across Europe and a record amount of new lease contracts secured thereby setting our course for continued future growth. Last but not least, our ability to finance our growth has been significantly enhanced through the announced second 50/50 joint venture with Allianz Real Estate. This proven partnership will help us to grow further in already developed markets such as Spain and Italy but also in fast growing markets such as Romania.”
Jan van Geet concluded: “Driven by structural demand drivers like urbanization and supply chain reconfigurations as well as rising ecommerce adoption rates we see continued momentum for European Logistics real estate into the second half of 2019. We are very positive about our immediate and medium term outlook driven by our significant and mostly pre-let construction pipeline with multiple large projects kicking-off over the next 12 months.”
FINANCIAL AND OPERATING HIGHLIGHTS
Record new signed leases
Healthy level of construction activity
Land bank has continued to expand
Announcement of two new milestone projects in Germany
Strengthened and diversified board
Expansion of partnership with Allianz Real Estate through launch of second joint venture
Balance sheet strengthened by a successful joint venture closing, with another closing just after the end of the reporting period and third closing envisaged before the end of the year
KEY FINANCIAL METRICS
Operations and results | H1 2019 | H1 2018 | Change (%) |
Signed committed annualised rental income (€mm) | 27.0 | 18.5 | 45.9% |
IFRS Operating profit (€mm) | 96.1 | 91.1 | 5.6% |
IFRS net profit (€mm) | 75.0 | 74.8 | 0.3% |
IFRS earnings per share (€ per share) | 4.04 | 4.02 | 0.5% |
Portfolio and balance sheet | 30 Jun 19 | 31 Dec 18 | Change (%) |
Portfolio value, including joint venture at 100% (€mm) | 2,249 | 1,936 | 16.2% |
Portfolio value, including joint venture at share (€mm) | 1,560 | 1,355 | 15.1% |
EPRA NAV per share (€ per share) | 32.51 | 30.94 | 5.1% |
IFRS NAV per share (€ per share) | 30.63 | 29.25 | 4.7% |
Net financial debt (€mm) | 510.9 | 419.3 | 21.8% |
Gearing1 (%) | 39.8 | 34.6 | - |
CONFERENCE CALL FOR INVESTORS AND ANALYSTS
VGP will host a conference call at 10:30 (CEST) on 23 August 2019
The conference call will be available on:
A presentation is available on VGP website:
http://www.vgpparks.eu/investors/en/reports-and-presentations/presentations
CONTACT DETAILS FOR INVESTORS AND MEDIA ENQUIRIES
Martijn Vlutters (VP – Business Development & Investor Relations) | Tel: +32 (0)3 289 1433 |
Petra Vanclova (External Communications) | Tel: +42 0 602 262 107 |
Anette Nachbar Brunswick Group | Tel: +49 152 288 10363 |
ABOUT VGP
VGP is a leading pan-European developer, manager and owner of high-quality logistics and semi-industrial real estate. VGP operates a fully integrated business model with capabilities and longstanding expertise across the value chain. The company has a well-advanced development land bank of 8.1 million m² and the strategic focus is on the development of business parks. Founded in 1998 as a family-owned real estate developer in the Czech Republic, VGP with a staff of 190 employees today owns and operates assets in 12 European countries directly and through VGP European Logistics, a joint venture with Allianz Real Estate. As of June 2019, the Gross Asset Value of VGP, including the joint venture at 100%, amounted to €2.2 billion and the company had a Net Asset Value (EPRA NAV) of €604 million. VGP is listed on Euronext Brussels and on the Prague Stock Exchange (ISIN: BE0003878957).
For more information, please visit: http://www.vgpparks.eu
Forward-looking statements: This press release may contain forward-looking statements. Such statements reflect the current views of management regarding future events, and involve known and unknown risks, uncertainties and other factors that may cause actual results to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements. VGP is providing the information in this press release as of this date and does not undertake any obligation to update any forward-looking statements contained in this press release considering new information, future events or otherwise. The information in this announcement does not constitute an offer to sell or an invitation to buy securities in VGP or an invitation or inducement to engage in any other investment activities. VGP disclaims any liability for statements made or published by third parties and does not undertake any obligation to correct inaccurate data, information, conclusions or opinions published by third parties in relation to this or any other press release issued by VGP.
1 Compared to 31 December 2018 inclusive of Joint Venture at 100%
2 First 50:50 JV (VGP European Logistics) covers the markets of Germany, Slovakia, Czech Republic and Hungary
3 Of which 287,000 m² (€ 23.5 million) related to the own portfolio
4 Of which 19,000 m² (€ 1.0 million) related to the VGP European Logistics portfolio
5 For Joint Venture at 100%
6 Calculated as Net debt / Total equity and liabilities
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