DGAP-News: Deutsche Annington Immobilien SE: Deutsche Annington Immobilien SE
increases operating result in the first half-year 2013
DGAP-News: Deutsche Annington Immobilien SE / Key word(s): Half Year
Deutsche Annington Immobilien SE: Deutsche Annington Immobilien SE
increases operating result in the first half-year 2013
09.08.2013 / 06:56
Deutsche Annington Immobilien SE increases operating result in the first
- Positive development of business in the first half of 2013
- FFO 1 increased by 35.3% to EUR 103.4 million compared with the
- Monthly in-place rents increased by 2.1% and vacancy rate reduced
by 0.6% in a year-on-year comparison
- EPRA net asset value (NAV) rises by 26.4% to EUR 4,358.8 million in
the first half of the year
- Operating result (EBITDA) increased by 1.8% to EUR 241.7 million
compared with the prior-year period
- Investment projects fully on track
- Investments in maintenance in the first half of the year slightly
above the prior-year level
- Implementation of the investment programme for energy-saving
modernisation and senior-friendly housing amounting to a total of
EUR 800 million as planned
- Service offering successfully expanded
- 22,000 housing units provided with fibre-optic technology
- Work performed by the company's own craftsmen's organisation
tripled in a year-on-year comparison
- Successful IPO at the start of the third quarter lays foundation for
flexible financing structure
- Investment grade rating ('BBB') from Standard & Poor's
- Placement of corporate bonds worth EUR 1.3 billion
- Positive outlook for 2013 as a whole
- FFO 1 between EUR 210 and EUR 220 million
- Increase in rents of between 1.8 and 2%
- Dividend of 70% of FFO 1 planned for the year
Bochum, August 9, 2013 - Deutsche Annington Immobilien SE ('DA'), Germany's
largest private-sector residential real estate company in terms of
portfolio value and the number of units owned looks back on a positive
development of business after the first half of 2013. The successful first
six months were driven by higher rental income, a lower vacancy rate and
overall more efficient property management thanks to a consequent
Compared with the first half of 2012, the vacancy rate in the entire
portfolio was reduced by 0.6 percentage points to 3.9%, in the rental
segment portfolio by 0.4 percentage points to 2.9%. The monthly in-place
rent per square meter rose like-for-like, i.e. for all residential units
held in the last 12 months, by 2.1% EUR to 5.35/m² in the entire portfolio,
in the rental only sub-portfolio by 2.3% to EUR 5.46/m². Adjusted EBITDA
rose by 1.8% to EUR 241.7 million despite significant sales of apartments.
Sales in the Privatise portfolio segment increased slightly compared with
the prior-year period from 1,363 to 1,457 apartments. Sales in the Non-Core
portfolio segment amounted to 1,130 units; this segment is generally
characterised by higher volatility of the sales figures. FFO 1 at the end
of the first half of 2013 was EUR 103.4 million. This constitutes an
increase of 35.3% compared with the prior-year figure of EUR 76.4 million.
This significant increase mainly results from lower interest expense owing
to the restructuring of the GRAND refinancing and the total capital
repayments made in the first half of 2013.
The EPRA net asset value (NAV) was EUR 4,358.8 million on June 30, 2013
representing an increase of 26.4% compared with the start of the reporting
period. The loan-to-value (LTV) was 53.2% as of June 30, 2013 and fell
further to around 51% after the IPO.
'Our performance in the first half of the year shows that we are on the
right track with the strategy we have chosen. With efficient property
management, good customer service, a flexible financing structure and high
investments in modernisation and maintenance, we want to ensure that, as
the leading housing company, we continue to benefit from the stable growth
of the attractive German housing market,' says Rolf Buch, CEO of Deutsche
Annington Immobilien SE.
Implementation of the investment programmes on track
As in the previous year, Deutsche Annington also invested a substantial
amount in its housing stocks in the first six months of this financial
year. At roughly EUR 67 million, the maintenance investments alone were
even slightly above the prior-year level (EUR 63 million).
The EUR 800 million investment programme announced for energy-efficiency
modernisation and the senior-friendly conversion of apartments is now in
the implementation phase and will become apparent in the annual financial
statements at the end of the year.
Systematic further development of service offering
The introduction of an additional service offering has already been well
received by the customers in the first six months. The focus here is mainly
on more efficient and effective property management as well as the
continuous improvement of customer satisfaction overall. Through regular
on-site service hours at all locations, DA has further expanded customer
care by its Local Customer Service. At the same time, the development of
its own craftsmen's and caretaker organisation was also successfully
completed in the first six months. In total, more than 330 own caretakers
and some 740 own craftsmen are now present at all DA locations throughout
Germany. In terms of the sales of the company's own craftsmen's
organisation, the work performed by its own craftsmen has tripled compared
with the previous year.
At the end of 2011, Deutsche Annington entered into a strategic partnership
with Deutsche Telekom in order to equip its housing stocks throughout
Germany with modern fibre-optic technology and provide the tenants with a
TV signal through the subsidiary Deutsche Multimedia Service GmbH. By the
end of the reporting period, Deutsche Multimedia Service GmbH had provided
the first 22,000 units with a TV signal.
Successful IPO enables implementation of innovative financing structure
Furthermore, the first half of the year was marked by the preparations for
the IPO: On July 11, 2013, Deutsche Annington was successfully listed on
the stock exchange. The share price developed well from the start of
trading on the Frankfurt Stock Exchange from the issue price of EUR 16.50
to the initial listing price of EUR 17.10 Euro with a gain of 10% (closing
price on July 31, 2013). The IPO has opened up far-reaching strategic
options for the company, in particular the implementation of a
comprehensive, flexible financing strategy.
This was driven forward on July 17, 2013, with the successful initial
placement of two corporate bonds amounting to a total of EUR 1.3 billion.
In addition, DA's liabilities from the GRAND securitisation were repaid in
full on July 22, 2013. DA now has a BBB investment grade rating and
therefore a financing structure unique in the market.
Outlook for 2013
The investments in modernisation and maintenance in this financial year
will remain at the level of the previous year of around EUR 211 million. In
the years to come, DA will be investing, under its investment programme,
some EUR 800 million in the energy-saving modernisation of buildings and
the upgrading of apartments, primarily in low-barrier and senior-friendly
conversions as well as in high-quality housing in selected rental markets.
If the present conditions remain unchanged in the months to come, the
company is expecting, for the year as a whole, growth in rental income of
between 1.8 and 2.0%, an improvement in the EBITDA margin of 1% compared
with the previous year and a FFO 1 of between EUR 210 and 220 million
(2012: EUR 162 million). Deutsche Annington intends to pay out a dividend
of 70% of FFO 1 assuming business conditions remain stable during the rest
of the year.
The complete interim financial report for the first half of 2013 is
available from today to read and download at www.deutsche-annington.com.
About Deutsche Annington
Deutsche Annington is Germany's largest private-sector residential real
estate company both in terms of portfolio value and the number of units
owned. As at June 30, 2013, Deutsche Annington owned roughly 179,000
residential units worth a total of EUR 10.4 billion. The company is
represented throughout Germany; most of its portfolio is located in the old
West Germany and Berlin. Deutsche Annington has its headquarters in Bochum
and employs some 2,400 people.
Stock exchange: Regulated market / Prime Standard, Frankfurt Stock Exchange
Common code: 094567408
Registered office of Deutsche Annington: Vogelsanger Weg 80, 40472
Business address of Deutsche Annington: Philippstrasse 3, 44803 Bochum,
Investor Relations contact:
+49 234 314 1761
+49 234 314 1926
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Company: Deutsche Annington Immobilien SE
Vogelsanger Weg 80
Phone: +49 234 314 1761
Fax: +49 234 314 888 1761
Listed: Regulierter Markt in Frankfurt (Prime Standard);
Freiverkehr in Berlin, Düsseldorf, Hamburg, München,
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