CPI Europe AG — Earnings Release 2011

Mar 30, 2011

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Ad-hoc | 30 March 2011 07:58

IMMOFINANZ AG: results for the first three quarters of 2010/11 (1 May 2010 to 31 January 2011)

IMMOFINANZ AG / Key word(s): Quarter Results/Miscellaneous

30.03.2011 07:58

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IMMOFINANZ AG: results for the first three quarters of 2010/11
(1 May 2010 to 31 January 2011)

* Revenues: EUR 558.6 million (2009/10: EUR 536.8 million)
* EBITDA: EUR 292.6 million (2009/10: EUR 306.1 million)
* EBIT: EUR 343.3 million (2009/10: EUR 246.7 million)
* EBT: EUR 251.4 million (2009/10: EUR 265.8 million)
* Net profit for the period: EUR 229.3 million (2009/10: EUR 221.1 million)
* Cash flow from net profit: EUR 303.2 million (2009/10: EUR 252.9 million)
* Book value per share: EUR 5.01 (2009/10: EUR 4.63)
* NAV per share (diluted): EUR 5.13 (2009/10: EUR 4.78)
* Earnings per share (diluted): EUR 0.23 (2009/10: EUR 0.20)

The IMMOFINANZ Group confirmed the successful turnaround and the upward
trend of the first and second quarters with an increase in earnings during
the third quarter of 2010/11. The continuous optimisation of the portfolio
and costs as well as an increased focus on cash flow generation should
support a further improvement in operating results during the coming
quarters.

Income from asset management
Rental income amounted to EUR 423.1 million for the first three quarters of
2010/11, for a plus of 5.6% over the comparable prior year period (EUR
400.8 million). This growth was supported above all by the third quarter,
which brought a substantial increase of 6.8% or EUR 9.3 million in rental
income. In comparison with the second quarter of 2010/11, the increase
amounted to 5.5% or EUR 7.6 million.

Rental income increased year-on-year in the retail (+24.0%), residential
(+2.7%) and logistics (+8.6%) segments, but declined in the office segment
(-9.4%). This decrease resulted from the sale of properties and the start
of construction on the previously rented Gerling Quarter in Cologne.

Revenues rose by 4.1% from EUR 536.8 million to EUR 558.6 million for the
first three quarters of 2010/11. The increase of EUR 38.9 million or 55.3%
in real estate expenses reflected higher maintenance and renovation
activities that are intended to improve the marketability of properties,
above all in Austria. Income from asset management therefore fell slightly
to EUR 333.5 million (2009/10: EUR 347.4 million).

Income from property sales
The sale of properties generated income of EU R 19.4 million in the first
nine months of 2010/11 (prior year: EUR 35.4 million). These transactions
focused primarily on residential properties in Austria.

Income from property development
The sale of inventories generated proceeds of EUR 56.0 million and income
of EUR 10.6 million during the reporting period. Proceeds from the sale of
apartments more than tripled over the prior year level (EUR 16.0 million).
The proceeds from the sale of these inventories were recorded above all in
Austria (EUR 45.4 million) and Poland (EUR 6.4 million).

Other operating income
Approximately one-half of the other operating income of EUR 36.7 million
recorded in the third quarter is attributable to the waiver of a receivable
by a financial institution. This receivable was related to a property that
was taken over in connection with the agreements with Constantia Packaging
B.V.

EBITDA, EBIT, EBT, net profit for the period and cash flow
Results of operations (EBITDA) clearly exceeded the comparable prior year
level at EUR 111.2 million for the third quarter of 2010/11. However,
EBITDA was still slightly lower in year-on-year comparison with a 4.4%
decline from EU R 306.1 million to EU R 292.6 million. This decline
resulted primarily from the increase in real estate expenses.

Positive valuation results of EUR 50.7 million (2009/10: EUR -59.4 million)
led to a 39.2% improvement in EBIT, which rose from EUR 246.7 million to
EUR 343.3 million. Financial results declined from EUR 19.1 million to EUR
-91.9 million, solely due to non-cash accounting effects from foreign
exchange fluctuations (EUR -48.4 million versus EUR 92.7 million in
2009/10) that were only offset in part by the positive valuation of
financial instruments (EUR 30.0 million versus EUR -46.9 million in
2009/10). Earnings before tax (EBT) were therefore - still - below the
previous year, with a decline from EUR 265.8 million to EUR 251.4 million.
Net profit for the period rose from EUR 221.1 million to EUR 229.3 million
due to a lower tax rate.

Gross cash flow rose by 19.9% from EUR 252.9 million to EUR 303.2 million.
Cash flow from operating activities increased to EUR 333.1 million, which
reflects an improvement of EUR 62.7 million or 23.2% in comparison with the
first three quarters of 2009/10 (EUR 270.4 million). This development
resulted chiefly from the reduction of receivables (EUR 181.3 million).

Operating cash flow, which comprises cash flow from operating activities
and cash flow from investing activities, more than tripled to EUR 381.3
million for the first three quarters of the reporting year (2009/10: EU R
111.5 million). This development resulted above all from the proceeds on
property sales, which significantly exceeded investment costs.

NAV per share and earnings per share
Diluted net asset value (NAV) per share rose from EUR 4.78 on 30 April 2010
to EUR 5.13 as of 31 January 2011. This increase is attributable to the
sound earnings generated during the first three quarters of 2010/11 as well
as the positive effects of the share buyback programme. Based on the share
price as of 31 January 2011 (EUR 3.22), the IMMOFINANZ share traded at a
discount of 37.2% to the NAV. Diluted earnings per share for the first
three quarters of the reporting year amounted to EUR 0.23, which represents
an increase of more than 15.0% over the comparable prior year period
(2009/10: EUR 0.20).

Gross return and occupancy in the standing investments
The third quarter also brought a significant improvement in property
indicators. The occupancy rate in the IMMOFINANZ properties amounted to
89.0% as of 31 October 2010, but rose to 89.7% by the end of January 2011.
The gross return on the standing investment portfolio, which equaled 6.6%
for the first half-year, increased to 6.9% in the third quarter.

The full report on the first three quarters of 2010/11 is published on the
Group's homepage under www.immofinanz.com.

Contact:
Clemens Eisinger
Head of Corporate Finance & Investor Relations
IMMOFINANZ AG
A-1100 Vienna, Wienerbergstraße 11
Tel.: +43 (0) 5 7111 - 2315
Fax: +43 (0) 5 7111 - 8315

investor@immofinanz.com
www.immofinanz.com

Press-Coordination:
Hieronymus Tupay
ACCEDO Austria GmbH
Tel.: +43 1 533 87 00 - 23
Hieronymus.Tupay@accedogroup.com

30.03.2011 DGAP's Distribution Services include Regulatory Announcements,
Financial/Corporate News and Press Releases.
Media archive at www.dgap-medientreff.de and www.dgap.de

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Language: English
Company: IMMOFINANZ AG
Wienerbergstraße 11
1100 Wien
Österreich
Phone: +43 (0) 5 7111 - 2291
Fax: +43 (0) 5 7111 - 8291
E-mail: investor@immofinanz.com
Internet: http://www.immofinanz.com
ISIN: AT0000809058
WKN: 911064
Listed: Freiverkehr in Berlin, München, Stuttgart; Open Market in
Frankfurt; Wien (Amtlicher Handel / Official Market)

End of Announcement DGAP News-Service

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