Earnings Release • Aug 4, 2014
Earnings Release
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Corporate | 4 August 2014 17:40
alstria office REIT-AG: First half 2014 – Business develops according to plan
alstria office REIT-AG / Key word(s): Quarter Results
04.08.2014 / 17:40
Press release
First half 2014
Business develops according to plan
– Revenues at EUR 51.5 m and funds from operations (FFO) at EUR 24.5 m
– Full-year guidance confirmed (revenues EUR 102 m and FFO EUR 47 m)
– Strong leasing performance with 21,700 sqm of new leases signed
Hamburg, August 4, 2014 – alstria office REIT-AG (symbol: AOX, ISIN: DE000A0LD2U1), the leading German office REIT, announces its results for the first six months of 2014.
Revenues of EUR 51.5 m and FFO of EUR 24.5 m
In the first six months of 2014, alstria’s revenues amounted to EUR 51.5 m. The slight decrease by 1.3% compared to the first half of 2013 was due to the disposal of properties and planned expiries of rental contracts. The funds from operations (FFO) reached EUR 24.5 m in the first six months of 2014 and were fully in line with alstria’s FY guidance. The FFO per share stood at EUR 0.31 (EUR 0.32 in H1 2013). alstria’s net profit for the first six months of 2014 amounted to EUR 6.8 m and was impacted by negative non-cash valuation effects on financial derivatives.
Strong balance sheet
As at June 30, 2014, alstria’s investment property totalled EUR 1,640 m and was up by 0.5% compared to December 31, 2013. The slight increase reflected capitalised expenditure, mainly related to development projects (EUR 16.5 m) on the one hand and the disposal of two properties (EUR 9.2 m) on the other hand. Within the first six months of 2014, alstria’s equity decreased by 3.5% to EUR 814.4 m, reflecting the dividend payment to shareholders in the second quarter and the positive net profit contribution of the first six months 2014. As at June 30, 2014, alstria’s G-REIT equity ratio amounted to 48.8% and the Company’s net LTV stood at 52.0%.
Operational performance
In the first half of the year alstria signed new leases of 21,700 sqm, as well as lease extensions of around 25,400 sqm, gaining a strong dynamic in the second quarter of 2014. The EPRA vacancy rate stood at 9.1%, mainly reflecting the disposal of fully let assets in the first quarter of 2014 and the planned lease expiry of Deutsche Rentenversicherung Bund (approx. 21,000 sqm) in Berlin.
Full-year guidance confirmed
‘In the first half of 2014 alstria developed in line with our guidance to the market’ said Olivier Elamine, CEO of alstria. ‘We are still seeing a strong demand for office space in Germany and have been consistently taking advantage of the situation to increase our leasing efforts and successes.’
Key financials at a glance
| H1 2014 | H1 2013 | Change (%) | |
| Revenues (EUR m) | 51.5 | 52.2 | – 1.3 |
| Net result for the period (EUR m) | 6.8 | 29.0 | – 76.4 |
| Funds from operations (FFO) (EUR m) | 24.5 | 25.2 | – 3.0 |
| FFO per share 3 (EUR) | 0.31 | 0.32 | – 3.1 |
| June 30, 2014 | Dec. 31, 2013 | Change (%) | |
| Investment properties (EUR m) | 1,640 | 1,632 | 0.5 |
| Cash at hand (EUR m) | 49.9 | 82.8 | – 39.7 |
| EPRA NAV per share 4 (EUR) | 10.75 | 10.63 | 1.1 |
| G-REIT equity ratio (%) | 48.8 | 50.9 | – 2.1 pp |
| Net LTV ratio (%) | 52.0 | 50.7 | 1.3 pp |
Invitation to the conference call on August 5, 2014
The alstria management board, CEO Olivier Elamine and CFO Alexander Dexne, will present the H1 results during a conference call at 10.00 am (CET).
Please use one of the following dial-in numbers:
Germany: +49 69 2017 44 210
UK: +44 20 7153 9154
PIN: 263068 #
Please note that you can watch the management’s presentation live as a webcast on our website www.alstria.com. As soon as the conference call begins, the presentation will be available for download.
About alstria:
alstria office REIT-AG is an internally managed Real Estate Investment Trust (REIT) focused solely on acquiring, owning and managing office real estate in Germany. alstria was founded in January 2006 and was converted into the first German REIT in October 2007. Its headquarters are in Hamburg. The Company owns a diversified portfolio of properties across attractive German office real estate markets. As of June 30, 2014 its portfolio comprised 74 properties with an aggregate lettable space of 881,300 sqm and is valued at approximately EUR 1.6 bn. The alstria office REIT-AG strategy is based on active asset and portfolio management as well as on establishing and maintaining good relationships with key customers and decision makers. alstria focuses on long-term real estate value creation.
For further information, please contact:
Ralf Dibbern, IR/PR
Phone: +49 40 226 341329
Email: [email protected]
Disclaimer:
This release constitutes neither an offer to sell n or a solicitation of an offer to buy any shares. As far as this press release contains forward-looking statements with respect to the business, financial condition and results of operations of alstria office REIT-AG (alstria), these statements are based on current expectations or beliefs of alstria’s management. These forward-looking statements are subject to a number of risks and uncertainties that could cause actual results or performance of the Company to differ materially from those reflected in such forward-looking statements. Apart from other factors not mentioned here, differences could occur as a result of changes in the overall economic situation and the competitive environment – especially in the core business segments and markets of alstria. Also, the development of the financial markets and changes in national as well as international provisions particularly in the field of tax legislation and financial reporting standards could have an effect. Terrorist attacks and their consequences could increase the likelihood and the extent of differences. alstria undertakes no obligation to publicly release any revisions or updates to these forward-looking statements to reflect events or circumstances after the date hereof or to reflect the occurrence of unanticipated events.
04.08.2014 Dissemination of a Corporate News, transmitted by DGAP – a service of EQS Group AG.
The issuer is solely responsible for the content of this announcement.
The DGAP Distribution Services include Regulatory Announcements, Financial/Corporate News and Press Releases.
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| Language: | English |
| Company: | alstria office REIT-AG |
| Bäckerbreitergang 75 | |
| 20355 Hamburg | |
| Germany | |
| Phone: | 040-226 341 300 |
| Fax: | 040-226 341 310 |
| E-mail: | [email protected] |
| Internet: | http://www.alstria.de |
| ISIN: | DE000A0LD2U1 |
| WKN: | A0LD2U |
| Indices: | SDAX, EPRA, German REIT Index |
| Listed: | Regulierter Markt in Frankfurt (Prime Standard); Freiverkehr in Berlin, Hamburg, München, Stuttgart |
| End of News | DGAP News-Service |
| - - - |
| 280660 04.08.2014 |
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