CPI Europe AG — Earnings Release 2008

Aug 29, 2008

News Details

Ad-hoc | 29 August 2008 07:24

IMMOFINANZ AG:IMMOFINANZ boosts operating result 31.5%

IMMOFINANZ AG / Final Results

Release of an Ad hoc announcement, transmitted by DGAP - a company of
EquityStory AG.
The issuer is solely responsible for the content of this announcement.

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Results for IMMOFINANZ AG for the 2007/08 business year

IMMOFINANZ boosts operating result 31.5%

Net asset value increases to EUR 11.55

Revenues: + 29.3 % from EUR 518.8 m to EUR 670.8 m
EBITDA: + 31.5 % from EUR 229.1 m to EUR 301.4 m
Cash Flow: + 46.7 % from EUR 169.6 m to EUR 248.8 m
EBIT: - 42.0 % from EUR 887.7 m to EUR 514.5 m
EBT: - 39.2 % from EUR 913.6 m to EUR 555.3 m
NAV per share: + 6.5 % from EUR 10.85 to EUR 11.55
Book value per share: + 6.5 % from EUR 8.89 to EUR 9.47
Profit per share: - 35.9 % from EUR 1.03 to EUR 0.66
Current P/E ratio: 8.9 (11.6 in 2006/07)
Dividend: + 21.2% from 33 cents to 40 cents

IMMOFINANZ AG achieved significant improvements in operations in the
2007/08 business year.

EBITDA rose 31.5% from EUR 229.1 million to EUR 301.4 million compared to
the year before. Revenues increased 29.3% from EUR 518.9 million to EUR
670.8 million and cash flow grew 46.7% from EUR 169.6 million to EUR 248.8
million.

Net asset value (NAV) and book value per share rose considerably. The
improvement resulted in the first place from the substantial increases in
the rental business. Like-for-like, revenues from rent increased 5.1%
year-on-year. This is attributed to the rising rents in markets relevant
for IMMOFINANZ and to the company’s active asset management.

Revenues from revaluations reached EUR 370 million in 2007/08. The increase
in market yields in several submarkets led to a considerably smaller
revaluation profit than the year before. This is reflected in a decline of
42% to EUR 514.5 million in EBIT and of 39.2% to EUR 555.3 million in EBT.

Significant increase in value at BUWOG
There was an especially strong rise in fair value at the residential
subsidiary BUWOG/ESG. Market yields in the residential business are
generally very stable and substantial increases in value were generated
through numerous active asset management measures aimed at the improvement
of profitability and optimisation of the real estate portfolio. A
significant improvement in the valuation results at IMMOWEST made a
considerable contribution to the stabilisation of the overall result.

Focal points of growth: Russia, shopping centres, BUWOG and German
logistics real estate
During the reporting period the focal points of growth were on the one hand
the subsidiary IMMOEAST, particularly Russia and in Central and Eastern
Europe the shopping centre chain STOP.SHOP. At IMMOAUSTRIA the residential
subsidiary BUWOG launched a development campaign and will commence projects
for a total of 640 flats in business year 2008/09. At IMMOWEST the
subsidiary Deutsche Lagerhaus expanded its logistics portfolio and had 32
properties totalling 900,000 sqm at the end of 2007/08.

Additional gains from selective sales
In the scope of active asset management at IMMOFINANZ 32 properties were
sold from IMMOEAST and IMMOAUSTRIA at the amount of about EUR 430 million.
The sales profit was on average 10% above the appraisal values. IMMOEAST
sold five properties or stakes in properties for a total of EUR 250
million; the prices were 8.5% on average above estimated value.

IMMOAUSTRIA completed a sales programme for 17 residential buildings in
summer 2007. In winter 2008 an office and retail portfolio was sold. In
total, revenues of EUR 182 million were generated in this segment – 16%
above the assessed values and 44% above the original purchase price. BUWOG
sold 175 apartments from its portfolio. The average price generated of EUR
1653 per sqm was 72% above the averaged appraisal values of the portfolio.

Dividend yield of 6.8%
IMMOFINANZ will increase its dividend from 33 cents to 40 cents per share
for the 2007/08 business year. This means an increase of 21.2% compared to
the previous year. Based on the current share price of EUR 5.89 this is a
dividend yield of 6.8%. The total payout will be EUR 183.6 million, up from
EUR 151.5 million the year before.

Outlook
In the 2007/08 business year the IMMOFINANZ Group’s operations showed very
positive development. For the current 2008/09 business year we also
anticipate continued positive overall development at the group. The
Austrian market should continue to offer stable conditions. For Germany, as
well, we are optimistic that the demand for rental space and rent levels
will continue to develop positively. Selective investment in niche areas
such as city centre development projects and specialised logistics
continues to promise high demand and stable yields. In Central and Eastern
Europe sound economic development should also continue to provide high
growth rates.

Nonetheless, it cannot be overlooked that the changed market environment,
rising yields and more difficult financing options entail challenges for
the future. IMMOFINANZ is meeting these challenges by means of strategic
portfolio optimisation, taking full advantage of the potential in the
existing portfolio and selective growth through the recognition of good
investment opportunities.

Margit Hermentin
Head of Investor Relations
investor@immofinanz.com
+43 1 532 06 39 - 0

29.08.2008 Financial News transmitted by DGAP

Language: English
Issuer: IMMOFINANZ AG
Bankgasse 2
A-1010 Wien
Österreich
Phone: 0043 /1/ 536 16 - 461
Fax: 0043 /1/ 536 16 - 491
E-mail: investor@immfinanz.com
Internet: http://www.immofinanz.com
ISIN: AT0000809058
WKN: 911064
Listed: Freiverkehr in Berlin, München, Stuttgart; Open Market in
Frankfurt; Foreign Exchange(s) Wien

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