Deutsche Wohnen SE — Earnings Release 2006

Nov 28, 2006

News Details

Corporate | 28 November 2006 07:49

Deutsche Wohnen: Interim results as at 30 September 2006 – business development further on positive

Corporate News transmitted by DGAP – a company of EquityStory AG. The issuer is solely responsible for the content of this announcement. —————————————————————————— Today, on 28 November 2006, Deutsche Wohnen publishes key figures as at 30 September 2006. For the Deutsche Wohnen Group, 2006 consists of two short fiscal years, as at 30 June and as at 31 December 2006. In spite of that the statements made in this interim report relate to the nine-month period from 1 January 1 to 30 September 2006, i.e. including the first short fiscal year 1 January to 30 June 2006. This allows comparisons to be made with the nine-month results for the previous year and earlier fiscal years. Essential information regarding the reporting period are as follows: – Profit before and after tax of EUR 7.0 million and EUR 5.5 million respectively, representing a sharp year-on-year rise (67% and 90 % respectively) after adjustment for one-time tax factors. – EBIT up approximately 5 % year-on-year at EUR 24.6 million (EBITDA down a slight 3 % as against 2005). – At EUR 35.4 million, residential property management generates an almost constant segment result year-on-year; drop in rental income of approximately 4 % due to privatization. – Housing privatization improves substantially year-on-year. Segment result up approximately 91% as against the previous year to EUR 6.1 million. – Net finance costs reduced by a substantial EUR 2.2 million year-on-year to EUR 17.1 million, due to optimized loan management. – Increased administrative and employee expenses due to the deconsolidation of Deutsche Wohnen from Deutsche Bank Group and to preparations for growth. From an operational perspective, for the Group profit before tax of approximately EUR 20 million and profit after tax of approximately EUR 17 million are forecast for the 12-month period ending at the end of 2006. As reported, in the course of the current fiscal year 2006, Deutsche Wohnen acquired approximately 1,000 residential units in Hanau, Mannheim and Kandel (transfer of title by the end of 2006). These units, which are located in the area covered by the core Rhein-Main/Rhineland-Palatinate portfolio, will be integrated with Deutsche Wohnen‘s existing property management and privatization strategies. The stocks offer potentials for enhancement, which can be leveraged over relatively limited periods of time given reasonable purchase prices. The maxim for the Management Board of Deutsche Wohnen is: Profitability before quantity. Overhasty and too expensive acquisitions would bring, that the expectations of the capital market to Deutsche Wohnen regarding Net Asset Value and an internal rate of return between 8% and 15% (after tax on basis of a 75 % leverage) could not be fulfilled. Today at 4.00 PM CET a conference-call takes place, wherein the results as at 30 September 2006 will be explained. A live-streaming of the conference-call is available in the internet (http://www.deutsche-wohnen.de). Hubert Bonn Head of Investor & Public Relations Telefon: +49 6131 6397 116 email: hubert.bonn@deuwo.com (c)DGAP 28.11.2006 ————————————————————————— Language: English Issuer: Deutsche Wohnen AG Pfaffenwiese 300 65929 Frankfurt am Main Deutschland Phone: +49 (0)6131-6397-116 Fax: +49 (0)6131-6397-199 E-mail: hubert.bonn@deuwo.com WWW: www.deutsche-wohnen.de ISIN: DE000A0HN5C6, DE0006283302 WKN: A0HN5C, 628330 Indices: SDAX Listed: Amtlicher Markt in Frankfurt (Prime Standard); Freiverkehr in Stuttgart, Düsseldorf End of News DGAP News-Service —————————————————————————