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Vastned Belgium NV

Earnings Release Feb 7, 2013

4021_er_2013-02-07_a0a4b1aa-fdab-43c2-a522-6a060db36689.pdf

Earnings Release

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Press release Annual results 2012

Antwerp, 8 February 2013

Gross dividend per share: € 2,62 (+ 3,6 %) Increase in fair value of real estate portfolio of 1,8 % Low debt ratio: 33 %

1. Operating activities of 2012

Despite the increased impact of the economic crisis on consumers and retailers in 2012, it was again a strong year for the property investment fund Intervest Retail. The operating distributable profit per share of the property investment fund is 3,6 % higher than in 2011 and the fair value of the real estate portfolio has increased by 1,8%1.

The quality of the property investment fund's commercial locations, both in the periphery and in the city centre, has also been confirmed in the past year with the addition in the portfolio of a number of new top retailers, such as Desigual, Calzedonia, Rituals and Armani Jeans.

In the top shopping streets of large cities, as well as in the best retail parks, rents continue to increase despite the crisis. Thanks to effective management, Intervest Retail is successful, time and again, in exploiting the potential of its strong locations when entering into new lease contracts.

Retailers are also in 2012 still willing to pay higher rents when renewing LEASE contracts for locations that have proven their quality

Despite the crisis, quite a few retailers remain positive, have sufficient confidence and remain focused on expansion, which supports the commercial real estate market. First and foremost, there are a number of strong Belgian retail organisations that are expanding in a well thought-out manner. However, the unbridled expansion of retailers in cities with less than 50.000 inhabitants is no longer seen. There is a clear demand for top quality, and the decisionmaking is critical.

Furthermore, there is also a clear trend towards the expansion of retail spaces, often for existing commercial locations with under-utilised potential. This phenomenon is especially strong among supermarkets and fashion retailers. For example, Intervest Retail once again saw the expansion of shops owned by Aldi in the past year, namely at the Leysstraat 28-30 - Antwerp Gouden Kruispunt in Tielt-Winge.

1 Based on an unchanged composition of the real estate portfolio compared to 31 December 2011.

Intervest Retail continues to take due care of and optimise the existing retail park portfolio and premises in smaller cities. However, if there is an opportunity to sell these at sufficiently attractive terms, this will certainly be considered. For example, in 2012, Intervest Retail has sold premises for € 11 million with a capital gain of approximately 3 % compared to the fair value at 31 December 2011.

For financial year 2012 Intervest Retail can distribute to its shareholders a gross dividend of € 2,62 per share compared to € 2,53 per share for financial year 2011, which represents an increase of 3,6 %. As a result, the gross dividend yield per share amounts to 5,5 % based on the share price on 31 December 2012.

The gross dividend of Intervest Retail increases by 3,6 % to € 2,62 per share in 2012.

On 31 December 2012, Intervest Retail has a stable balance-sheet position with 80 % long-term credits having well-spread out maturity dates between 2013 and 2017 with average duration of 3,1 years. For 62 % of the credit facilities, interest rates are fixed by interest rate swaps with an average remaining duration of 3,9 years. The debt ratio remains limited and amounts to 33 % on 31 December 2012.

The total fair value

at 31 December 2012

of the investment properties

amounts to € 359 million

Evolution of the real estate portfolio in 2012

Property investment fund Intervest Retail focuses on an investment policy based on commercial real estate, with respect for criteria of risk spread in the real estate portfolio, relating to the type of building as well as to the geographic spread and to the sector of the tenants.

On 31 December 2012 the risk spread is as follows:

Sector of tenants

a — 52% Clothing, shoes and accessoiries b — 19% Domestic articles,

  • interior and do-it-yourself
  • c 10% Leisure, luxury articles and
  • personal care d — 9% Specialised food shops and
  • department stores
  • e 5% TV, hifi, electrical articles
  • multimedia and telephone f — 5% Others
REAL
ESTATE
PATRI
MONY
31.12.2012 31.12.2011
Fair value of the portfolio (€ 000) 359.183 362.213
Total leasable space (m²) 151.041 161.573
Occupancy rate (%) 97,3 % 96,6 %

On 31 December 2012, the fair value of the investment properties of Intervest Retail amounts to € 359 million (€ 362 million on 31 December 2011). This decrease of € 3 million compared to 31 December 2011 comes from:

  • ୭ the sale of a retail park in the Walloon Provinces, three non-strategic retail warehouses located in Hasselt, Mons and Beaumont and a small building on a non-strategic location on the chaussée de Wavre in Brussels, for a total carrying amount of € 11 million
  • ୭ an increase in value of the real estate portfolio of € 6 million or 1,8 % through rental indexations, rental renewals and new lease contracts and through the lowering of yields for inner-city shops, resulting from the favourable situation on the Belgian investment market
  • ୭ investments in the existing real estate portfolio of the property investment fund for € 1 million.

In 2012, the fair value of the real estate portfolio increases by 1,8 % (like for like) as a result of the strong demand of qualitative real estate on the investment market

Evolution of the real estate portfolio

Rental activity in 2012

Also in 2012 the quality of the commercial locations of Intervest Retail's real estate portfolio has been confirmed BY the arrival of new top retailers such as Desigual, Calzedonia, Rituals and Armani Jeans

Desigual - Jardin d'Harscamp - Namur

Retailers have displayed a lower urge for expansion in 2012 than in the previous years. They prefer to assume a wait-and-see attitude and set their demands higher. They are withdrawing from locations that are less good or renewing rental contracts at the prevailing terms and conditions.

As the real estate portfolio of Intervest Retail consists mainly of retail real estate on top locations, many of the concluded transactions still result in equal or increasing rental levels. In the second semester of 2012, when letting retail warehouses on the Boomsesteenweg in Wilrijk and at the Gouden Kruispunt in Tielt-Winge, an average rental increase of largely 30 % compared to the current rent has still been realised. The Antwerp city centre remains strong, as demonstrated by a rental contract renewal with an increase in rent of almost 48% as compared to the current rent.

Besides, Intervest Retail could realize in 2012 two important lettings in some key premises of its portfolio in Antwerp, good for an average rental increase of approximately 5 %. In both cases the commercial lease contracts have been concluded for a period of 9 years.

୭ Leysstraat 28-30: Armani Jeans

For the monumental corner building on the Leysstraat 28-30 a new lease contract has been signed with Armani Jeans. The lease contract takes effect on 1 July 2013 and after transformation works, the group Armani will open on this prime location its second shop in Antwerp, after the Emporio Armani-store on Hopland.

Within the Armani group, one of the most important luxury groups worldwide, the Armani Jeans line is a contemporary and relaxed interpretation of the Armani style. It offers a large men's and women's ready-to-wear collection, parallel to the denim segment which constitutes the heart of the collection, as well as a complete range of accessories (bags, shoes, glasses and perfume). The Armani Jeans shop will be spread over two levels, good for a total surface area of 528 m².

୭ Leysstraat 17: Rituals

Crosswise the above mentioned premises, a lease contract taking effect on 1 March 2013 has been concluded with Rituals for the building located Leysstraat 17. Rituals which is situated in the luxury segment "Home and Body Cosmetics", leases 140 m² on the ground floor and will with its arrival further perpetuate its strong presence in the innercity of Antwerp. Simultaneously the Leysstraat welcomes herewith a qualitative retailer perfectly completing the mix. Rituals has currently largely 220 shops worldwide, besides a web shop and shop-in-shops in leading department stores, airports and hotels.

During the financial year 2012 a total of 8 lease contracts have been signed with new tenants, generating an average rental increase of 21 % compared to previous rent. Besides, 25 rental renewals have been concluded with existing tenants, generating a rental increase of 22 % on average. This gives a global rental increase of 22 % for these rental transactions which represent approximately 15 % of the total rental income of the portfolio. Highlights are the inner-city of Antwerp (+ 19 %) and the retail warehouses at the Gouden Kruispunt in Tielt-Winge (+ 35 %) and on the Boomsesteenweg in Wilrijk (27 %). These transactions will take effect in the coming months.

However, Intervest Retail has experienced that retailers are growing more selective and are no longer prepared to pay higher rents. Spaces from which the tenant has departed are sometimes vacant for spans of time or remain empty for longer times. The occupancy rate of the property investment fund still remains high at 97,3 % as of 31 December 2012. The increase compared to 31 December 2011 is partly due to the letting to Desigual in Namur and a few temporary rentals of empty units. Intervest Retail will continue to make further efforts to limit vacancy in 2013.

Occupancy rate

The renovation of the retail park Roosevelt Centre in the centre of Vilvorde has been completed successfully. Intervest Retail does currently the utmost to let the centre entirely. Presently three units are still available. The redevelopment has led to an increase in value of the premises of largely 10 % (compared to the fair value just before the redevelopment, being 31 March 2011).

Roosevelt Centre - Vilvorde

The situation for Julianus Shopping in Tongeren remains unchanged. The occupancy rate of the centre amounts to approximately 91 % on 31 December 2012. Currently four units are still to be let but Intervest Retail expects some tenants to leave the centre in 2013.

Yields of retail warehouses as well as of inner-city shops have slightly decreased through the positive evolution of rental values and through lowering of yields as a result of the favourable developments on the Belgian investment market for commercial real estate. The average yield of the portfolio of the property investment fund reaches 6,9 % for retail warehouses on 31 December 2012 (6,9 % on 31 December 2011) and 5,4 % for inner-city shops (5,5 % on 31 December 2011). The top yield is reserved to a shop located in the Huidevettersstraat in Antwerp with 4 %. On 31 December 2011 it still reached 4,1 %.

Disinvestments in real estate

Intervest Retail has sold in 2012 three retail warehouses, for a total amount of € 11 millionS, representing approximately 3 % of its real estate portfolio

Within the framework of its strategy to increase in the long term the share of inner-city shops to 65 % of the portfolio, Intervest Retail has sold previous year a total of 3 peripheral retail warehouses (located in Hasselt, Beaumont and Mons) and a retail park in the Walloon Provinces. A small building located on a nonstrategic part of the chaussée de Wavre in Brussels has also been sold in 2012.

The retail park concerns the site in Andenne, located avenue Albert 1st 137-139, which comprises 7 commercial units, let mainly to Red Market, Koodza, Piocheur and Charles Vögele.

The total sales price for this premises amounts to € 11,2 million. The sales price is approximately 3 % above the carrying amount which amounts to € 10,9 million (fair value as determined by the independent property expert of the property investment fund on 31 December 2011). This fair value represents approximately 3 % of the total fair value of the investment properties of the property investment fund on 31 December 2012.

The total annual rental income of the sold retail park and retail warehouses and the building in Brussels represents € 0,9 million or approximately 4 % of the total annual rental income of the property investment fund.

Retailparc - Andenne

2. Financial results2

Consolidated income statement

in thousands € 2012 2011
Rental income 22.245 21.300
Rental-related expenses -133 -54
Property management costs and income 19 13
Property
result
22.131 21.259
Property charges -2.605 -2.066
General costs and other operating costs and income -989 -1.013
Operat
ing result before result on the port
folio
18.537 18.180
Result on disposals of investment properties 918 1.526
Changes in fair value of investment properties 6.406 22.043
Other portfolio result 91 -56
Operat
ing result
25.952 41.693
Financial result (excl. changes in fair value - IAS
39)
-5.166 -5.260
Changes in fair value of financial assets and liabilities
(ineffective hedges - IAS
39)
-2.090 -92
Taxes -32 -33
NET RESULT 18.664 36.308
Note:
Operating distributable result 13.290 12.848
Result on portfolio 7.415 23.513
Changes in fair value of financial assets and liabilities
(ineffective hedges - IAS
39) and other non-distributable elements
-2.041 -53
Result
per shar
e
2012 2011
Number of shares entitled to dividend 5.078.525 5.078.525
Net result (€) 3,68 7,15
Gross dividend (€) 2,62 2,53
Net dividend3 (€) 1,97 2,00

2 Between brackets comparable figures of financial year 2011.

3 Pursuant to the Finance Act of 27 December 2012 (Belgian Official Gazette 31 December 2012) withholding tax on dividends of public property investments funds increases as from taxation year 2013 from 21 % to 25 % (subject to certain exemptions).

The property result of Intervest Retail increases in 2012 by € 0,8 million to € 22,1 million (€ 21,3 million). This rise results from the increase of rental income through the acquisition of the commercial complex Jardin d'Harscamp in Namur in October 2011, the letting to Desigual in Jardin d'Harscamp and indexations and rental renewals of existing lease contracts.

The property charges of the property investment fund which amount to € 2,6 million, increase in 2012 by € 0,5 million compared to previous financial year (€ 2,1 million). This increase is due to higher maintenance and repair costs as well as the increase of vacancy costs and other property charges for Jardin d'Harscamp in Namur and Julianus Shopping in Tongeren.

The general costs and other operating costs and income amount to € 1,0 million in 2012 and remain at the same level as previous year (€ 1,0 million).

Through the increase in rental income, partly compensated by the rise of the property charges, the operating result before result on portfolio increases in 2012 by € 0,3 million to € 18,5 million (€ 18,2 million).

The result on disposals of investment properties amounts to € 0,9 million in 2012 and comprises the second part of the additional compensation of € 0,5 million received from the buyer of Shopping Park Olen for earlier made project costs, according the agreement of December 2009 on the sale of the project4. Furthermore, the property investment fund has sold in 2012 some non-strategic premises in Andenne, Mons, Beaumont and Hasselt for a total sales price of € 11,2 million and a gain of approximately € 0,3 million.

The positive changes in fair value of investment properties for the financial year 2012 amount to € 6,4 million (€ 22,0 million) or approximately 1,8 % on the fair value of the real estate portfolio5. This positive effect comes from the lowering of yields of some inner-city shops as a result of the favourable situation on the Belgian investment market, of rental renewals and indexations (mainly the letting to Desigual in Namur, whereby the fair value of this shopping complex has increased by 13 %).

The positive changes in fair value of the investment properties amount to 1,8 % in 2012 compared to 6,6 % in 2011.

The financial result (excl. changes in fair value of financial assets and liabilities (ineffective hedges - IAS 39)) amounts for the financial year 2012 to - € 5,2 million (- € 5,3 million). Through further decrease of the interest rates on the financial market the financing costs of the property investment fund have decreased in 2012, even after the acquisition of Jardin d'Harscamp in Namur for an amount of € 10,3 million since mid-October 2011.

For financial year 2012, the average interest rate of the credit facilities of the property investment fund amounts to 4,0 % including bank margins (4,3 %)

4 See press release dd. 8 December 2009: Property investment fund Intervest Retail, listed on NYSE Euronext Brussels, disinvests its site

"Shopping Park Olen".

5 Based on an unchanged composition of the real estate portfolio.

The changes in fair value of financial assets and liabilities (ineffective hedges - IAS 39) include in 2012 the change in the market value of interest rate swaps that, in line with IAS 39, cannot be classified as cash flow hedging instruments, for an amount of - € 2,1 million (- € 0,1 million). This devaluation comes from the further decrease of interest rates on the financial market.

The net result of the property investment fund Intervest Retail amounts to € 18,7 million (€ 36,3 million) for the financial year 2012 and can be divided in:

  • ୭ the operating distributable result of € 13,3 million compared to € 12,8 million in 2011. This increase of 3,4 % results mainly from the increase in rental income, the decrease of the financing costs, partly compensated by higher property charges.
  • ୭ the result on portfolio of € 7,4 million (€ 23,5 million), mainly through the result on disposals of investment properties and the positive changes in fair value of investment properties through the lowering of yields for some inner-city shops as a result of the favourable situation on the Belgian investment market for commercial real estate.
  • ୭ the changes in the fair value of financial assets and liabilities (ineffective hedges - IAS 39) and other non-distributable elements for an amount of - € 2,0 million (- € 0,1 million).

For financial year 2012, the operating distributable result of Intervest Retail increases thus to € 13,3 million (€ 12,8 million). With 5.078.525 shares being issued, this represents a gross dividend of € 2,62 per share for financial year 2012 compared to € 2,53 for 2011. This means an increase of the dividend by 3,6 % per share. Herewith the gross dividend yield per share amounts to 5,5 % based on the share price on 31 December 2012.

Leysstraat 17 - Antwerp

Consolidated balance sheet

in thousands € 31.12.2012 31.12.2011
Non-current assets 359.792 362.406
Current assets 3.142 1.866
ASSETS 362.934 364.272
Shareholders' equity 235.080 228.739
Share capital 97.213 97.213
Share premium 4.183 4.183
Reserves 115.020 91.035
Net result of financial year 18.664 36.308
Liabilities 127.854 135.533
Non-current liabilities 94.648 94.244
Current liabilities 33.206 41.289
TOTAL SHAREHO
LDERS' EQUITY AND LIABILITIES
362.934 364.272
Debt ratio (max. 65 %) (%) 33 % 36 %

On 31 December 2012, the fair value of the real estate portfolio amounts to € 359 million

In 2012, non-current assets decrease by € 3 million. This decrease is mainly the effect of (i) the sale of a retail park in the Walloon Provinces, three non-strategic retail warehouses located in Hasselt, Mons and Beaumont and a small building in Brussels, with a total carrying amount of € 11 million, (ii) an increase in value of the real estate portfolio by € 6 million or 1,8 % through indexations, rental renewals and new lease contracts and through the lowering of yields for inner-city shops as a result of the favourable situation on the Belgian investment market and (iii) investments in the existing real estate portfolio of the property investment fund for € 1 million.

Thanks to a strict credit control the number of days of outstanding customers' credit is only 3 days

Current assets amount to € 3 million (€ 2 million) and consist mainly of € 2 million of assets held for sale, namely the retail warehouse in Hasselt.

Shareholders' equity of the property investment fund amounts to € 235 million. The share capital (€ 97 million) and the share premium (€ 4 million) remain unchanged. The number of shares entitled to dividend amounts to 5.078.525 on 31 December 2012.

In 2012 the free float of the share increases from 27,6 % to 34,5 %

The reserves of the company amount to € 115 million (€ 91 million) and consist mainly of a reserve for the positive balance of the changes in fair value of the investment properties for € 128 million (€ 103 million), a reserve for the negative impact on the fair value of the estimated transaction rights and costs resulting from the hypothetical disposal of investment properties for - € 9 million (- € 8 million) and a reserve for the negative balance of the changes in fair value of hedging instruments for - € 5 million (- € 5 million).

Compared to 2011, non-current liabilities slightly increase to € 95 million (€ 94 million) and consist mainly of € 90 million long-term bank financings as well as the negative market value of € 5 million of non-current hedging instruments.

Current liabilities amount to € 33 million (€ 41 million) and consist mainly of € 27 million (€ 38 million) current financial debts (short-term financings progressing each time and a credit facility of € 10 million which expire within the year and has to be repaid or prolonged). The decrease of € 11 million results mainly from the sales of investment properties realized in 2012. Further, the current liabilities consist of € 2 million in the negative value of the current hedging instruments and of € 3 million in trade debts and other current debt.

A relatively low debt ratio of 33 % on 31 December 2012 (36 % on 31 December 2011) and financings with well-spread expiry dates offer Intervest Retail a stable balance-sheet position

DATA
PER
SHARE
31.12.2012 31.12.2011
Number of shares entitled to dividend 5.078.525 5.078.525
Net asset value (fair value) (€) 46,29 45,04
Net asset value (investment value) (€) 48,07 46,66
Net asset value EPRA
(€)
47,61 46,06
Share price on closing date (€) 47,60 44,98
Premium to net asset value (fair value) (%) 3 % 0 %

On 31 December 2012, the net asset value (fair value) of the share is € 46,29 (€ 45,04). Given that the share price on 31 December 2012 is € 47,60, the share of Intervest Retail is quoted with a premium of

approximately 3 % compared to this net asset value (fair value).

Financial structure

On 31 December 2012, Intervest Retail has a conservative financial structure allowing it to continue to carry out its activities in 2013.

The most important characteristics of the financial structure on 31 December 2012 are:

  • ୭ amount of withdrawn financial debts: € 117 million
  • ୭ 80 % of the credit lines are long-term financings with an average remaining duration of 3,1 years
  • ୭ well-spread expiry dates of the credit facilities between 2013 and 2017
  • ୭ € 21 million of available non-withdrawn credit lines
  • ୭ spread of credit facilities over 5 European financial institutions
  • ୭ 62 % of the withdrawn credit facilities have a fixed interest rate, 38 % have a variable interest rate
  • ୭ fixed interest rates are fixed for a remaining period of 3,9 years in average
  • ୭ average interest rate for 2012: 4,0 % including bank margins (4,3 % for 2011)
  • ୭ value of financial derivatives: € 6,7 million in negative
  • ୭ limited debt ratio of 33 % (legal maximum: 65 %) (36 % on 31 December 2011)

On 31 December 2012, 80 % of the credit lines of Intervest Retail are long-term financings. 20 % of the credit lines are short-term financings, of which 13 % consists of financings with an unlimited duration progressing each time for 364 days) (€ 17,4 million) and 7 % of a bilateral credit facility which has to be prolonged or repaid in 2013 (€ 10 million).

Duration of the financings

Expiry calendar of credit lines

For the protection of its operating results against future interest rate fluctuations, Intervest Retail covers partially the interest rate fluctuations with interest rate swaps. On 31 December 2012 the property investment fund has a notional amount of € 80 million active interest rate swaps at an average interest rate of 3,8 %.

In 2011 the property investment fund already bought forward interest rate swaps for a total notional amount of € 45 million. These interest swaps will start gradually in 2013, each time the current interest rate swaps expire. The forward interest rate swaps have subsequently a duration of 5 years. The average interest rate at which this interest rate hedging was concluded, is 2,5 % which is substantially lower than the current active interest rate swaps.

Through this interest rate hedging the interest rate of approximately 66 % of the credit lines on 31 December 2012 is fixed for a remaining period of 3,9 years in average.

3. Forecast

Although the disaster scenarios for the Eurozone seem to be under control at present, it is clear that the economic crisis will continue for some time. There is also a lot of concern among consumers. Major factory closures, such as that of Ford in Genk, have a significant impact on consumer confidence.

The retail market, and hence also commercial real estate, are facing a number of important challenges. The growing importance of internet sales is forcing retailers to adapt their business model. Furthermore, the consumer is becoming increasingly better informed, critical and less predictable.

When shopping, consumers are more often choosing destinations that offer a pleasant experience, and they also want to vary these destinations. On one occasion, this destination may be a large shopping centre, while at another time it may be a popular and easily accessible retail park or the city.

In the meantime, as the only Belgian property investment fund, Intervest Retail has developed a high-quality position at prime city locations. This makes Intervest Retail a unique investment and the property investment fund aims to strengthen its position at these city centre locations, with a clear focus on high-quality locations in larger cities. At year end 2012, 50 % of the portfolio consists of retail warehouses and 50 % of inner-city shops, of which some top locations in larger cities. Given the limited debt ratio of 33 %, the fund is in a very comfortable position to respond quickly to new opportunities.

Intervest Retail wishes in term to have 65 % of its investments on top locations in the inner-city of larger cities. Intervest Retail believes that these top locations guarantee the most authentic and unique experience and also provide most certainty as investment object on the long run. However, Intervest Retail operates in a scarce market and top quality has its price. The market knowledge of the property investment fund should enable it to assess its future potential.

Intervest Retail continues to take due care of and optimise the existing retail park portfolio and premises in smaller cities. However, if there is an opportunity to sell these at sufficiently attractive terms, this will certainly be considered. Despite rental growth resulting from rental increases for existing buildings in the portfolio, rental income of the property investment fund will herewith be temporary under pressure.

During financial year 2013 the interest rate swaps, bought by Intervest Retail in 2011, will take effect for a notional amount of € 45 million. These interest rate swaps replace the existing interest rate swaps which expire in 2013. The average interest rate of these new interest rate hedging is 2,5 % which is substantially lower than the average interest rate of the current interest rate hedging which amounts to 3,8 %. These new interest rate swaps will, at unchanged market rate, lower the financing charges of the property investment fund for the future.

4. Financial calendar

  • ୭ Announcement of annual results as at 31 December 2012: Friday 8 February 2013
  • ୭ General meeting of shareholders: Wednesday 24 April 2013 at 2:30 pm
  • ୭ Dividend payable:
  • Ex-date dividend 2012 Tuesday 30 April 2013 - Record date dividend 2012 Thursday 2 May 2013
  • Dividend payment 2012 as from Friday 3 May 2013

  • ୭ Interim statement on the results as at 31 March 2013: Tuesday 7 May 2013

  • ୭ Half-yearly financial statement as at 30 June 2013: Tuesday 30 July 2013
  • ୭ Interim statement on the results as at 30 September 2013: Friday 25 October 2013

The annual report for financial year 2012 will be available as from 25 March 2013 on the website of the company (www.intervestretail.be).

Note to the editors: for more information, please contact:

INTERVEST RETAIL SA, public property investment fund under Belgian law, Jean-Paul Sols - CEO or Inge Tas - CFO, T + 32 3 287 67 87, www.intervestretail.be

Financial statements6

Consolidated income statement

in thousands € 2012 2011
Rental income 22.245 21.300
Rental-related expenses -133 -54
NET RENTAL INCOME 22.112 21.246
Recovery of rental charges and taxes normally payable by tenants on let properties 1.459 1.467
Rental charges and taxes normally payable by tenants on let properties -1.459 -1.467
Other rental-related income and expenses 19 13
PROPERTY RESULT 22.131 21.259
Technical costs -837 -717
Commercial costs -229 -182
Charges and taxes on unlet properties -83 29
Property management costs -1.227 -1.149
Other property charges -229 -47
PROPERTY CHARGES -2.605 -2.066
OPERATING
PROPERTY RESULT
19.526 19.193
General costs -1.049 -1.063
Other operating income and costs 60 50
OPERATING
RESULT BEFO
RE RESULT ON PORTFOLIO
18.537 18.180

6 The statutory auditor has confirmed that his full audit, which has been substantially completed, has not revealed material adjustments which would have to be made to the accounting information disclosed in this press release and that an unqualified auditor's report will be issued.

Consolidated income statement (continued)

in thousands € 2012 2011
OPERATING
RESULT BEFO
RE RESULT ON PORTFOLIO
18.537 18.180
Result on disposals of investment properties 918 1.526
Changes in fair value of investment properties 6.406 22.043
Other portfolio result 91 -56
OPERATING
RESULT
25.952 41.693
Financial income 50 15
Net interest charges -5.209 -5.252
Other financial charges -7 -23
Changes in fair value of financial assets and liabilities
(ineffective hedges - IAS
39)
-2.090 -92
FIN
ANCIAL RESULT
-7.256 -5.352
RESULT BEFO
RE TAXES
18.696 36.341
Taxes -32 -33
NET RESULT 18.664 36.308
Note:
Operating distributable result 13.290 12.848
Result on portfolio 7.415 23.513
Changes in fair value of financial assets and liabilities (ineffective hedges - IAS
39)
and other non-distributable elements -2.041 -53
Attributable to:
Equity holders of the parent company 18.664 36.308
Minority interests 0 0
RESULT
PER
SHARE
2012 2011
Number of shares entitled to dividend 5.078.525 5.078.525
Net result (€) 3,68 7,15
Diluted net result (€) 3,68 7,15
Operating distributable result (€) 2,62 2,53

Consolidated statement of comprehensive income

in thousands € 2012 2011
NET RESULT 18.664 36.308
Changes in the effective part of fair value of allowed hedging instruments
that are subject to hedge accounting
525 -78
COMPREHEN
SIVE INCOME
19.189 36.230
Attributable to:
Equity holders of the parent company 19.189 36.230
Minority interests 0 0

Consolidated balance sheet

ASSETS
in thousands €
31.12.2012 31.12.2011
Non-current assets 359.792 362.406
Intangible assets 4 13
Investment properties 359.183 362.213
Other tangible assets 602 162
Trade receivables and other non-current assets 3 18
Current assets 3.142 1.866
Assets held for sale 1.999 333
Trade receivables 245 275
Tax receivables and other current assets 161 218
Cash and cash equivalents 216 379
Deferred charges and accrued income 521 661

Consolidated balance sheet (continued)

SHAREHOLDERS
' EQUIT
Y AND
LIABILITIES
in thousands €
31.12.2012 31.12.2011
Shareholders' equity 235.080 228.739
Shareholders' equity attributable to the shareholders of the parent company 235.080 228.739
Share capital 97.213 97.213
Share premium 4.183 4.183
Reserves 115.020 91.035
Net result of financial year 18.664 36.308
Minority interests 0 0
Liabilities 127.854 135.533
Non-current liabilities 94.648 94.244
Non-current financial debts 89.517 89.022
Credit institutions 89.500 89.000
Financial lease 17 22
Other non-current financial liabilities 4.998 5.129
Other non-current liabilities 118 51
Deferred taxes - liabilities 15 42
Current liabilities 33.206 41.289
Current financial debts 27.399 37.619
Credit institutions 27.394 37.614
Financial lease 5 5
Other current financial liabilities 1.697 0
Trade debts and other current debts 2.971 2.573
Other current liabilities 210 211
Accrued charges and deferred income 929 886

TOTAL SHAREHOLDERS' EQUITY AND LIABILITIES 362.934 364.272

Statement of changes in consolidated equity

17.632
36.308
-5.026
126
-36
-12.696
36.308
18.664
-23.513
92
-38
86.178
-78
5.026
-126
36
91.036
525
23.513
-92
38
4.183
4.183
97.213
97.213
Transfer of changes in fair value of financial assets
Transfer of changes in fair value of financial assets
Transfer through the allocation of the result 2010:
Transfer through the allocation of the result 2011:
Transfer from result on portfolio to reserves
Transfer from result on portfolio to reserves
Comprehensive income of 2012
Comprehensive income of 2011
Balance at 31 December 2010
Balance at 31 December 2011
Dividends financial year 2010
Other mutations
Other mutations
and liabilities
and liabilities
in thousands € capital premium Reserves financial year shareholders' equity
205.206
36.230
0
0
0
-12.696
228.739
19.189
0
0
0
Dividends financial year 2011 -12.849 -12.849

Press release

Net result of

Balance at 31 December 2012 97.213 4.183 115.020 18.664 235.080

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