DGAP-News: BUWOG AG / Key word(s): Quarter Results
2015-09-29 / 08:31

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- Improved operating result reaches EUR 42.5 million - Recurring FFO increases to EUR 23.5 million
- Cash-interest-expenses decrease to EUR -10.3 million - Average interest rate on financial liabilities reduced to 2.12 percent - EPRA Net Asset Value per share increases to EUR 18.64 - Recurring-FFO forecast of EUR 98-100 million for 2015/16 financial year confirmed

BUWOG AG has had a very successful start into the 2015/16 financial year, significantly increasing its first quarter operating result by around 16 percent year on year. From 1 May 2015 to 31 July 2015, the company reached or surpassed its target results across all important earnings indicators. By the reporting day on 31 July, the group's portfolio remained almost unchanged at a total of 51,440 units, representing an lettable area of around 3.6 million square metres and a fair value of around EUR 3.6 billion. Net cold rent (excluding utilities) earned in the first quarter of 2015/16 amounted to EUR 49.4 million, compared with EUR 36.2 million in the first quarter of the previous financial year. Annualised net in-place rent as per 31 July 2015 was unchanged at around EUR 198 million.
The key earnings figures prove that, in this reporting period, the BUWOG Group managed to seamlessly continue the successful growth of the previous financial year. The operating result in the reporting period increased significantly to EUR 42.5 million compared with EUR 36.7 million year on year. Likewise, Recurring FFO improved to EUR 23.5 million (Q1 2014/15: EUR 21.9 million). Given the extremely positive operating business development, the Executive Board confirmed its forecast for Recurring FFO for the entire financial year 2015/16 of between EUR 98 million and EUR 100 million.
The Asset Management division, which forms the core of the BUWOG Group's business model, contributed some EUR 35.5 million to earnings, and was thus significantly higher than the EUR 26.1 million of the same period in the previous financial year. The Property Sales division increased its contribution to earnings from EUR 8.4 million in the same period of the previous year to EUR 9.6 million. Property Development, which accounting-wise shows less continuity throughout the financial year, contributed EUR 1.7 million to the group's operating result in the first quarter.

In total, the BUWOG Group achieved an adjusted EBITDA of EUR 41.7 million in the first three months of 2015/16, which represents an increase of 12.4 percent year on year. The financial result of the reporting period amounts to EUR 63.0 million, and next to interest expenditure, was mainly influenced by positive non-cash effects of around EUR 74 million. Consistent use of the market situation and successful refinancing enabled the average interest rate on financial liabilities to once again decrease to a mere 2.12 percent, thus respectively reducing the cash interest payments also for subsequent periods.

Earnings before taxes (EBT) reached EUR 123.1 million in the first three months of 2015/16; the Group net income amounted to EUR 96.6 million. The successful performance is also reflected in the development of the EPRA-NAV/share, which increased to EUR 18.64 by 31 July 2015 (30 April 2015: EUR 17.79).

"The first quarter fiscal results show that we were able to seamlessly carry on the successful development of our first financial year as a publicly listed company. Sound business operations combined with sustainable growth are the key attributes of BUWOG AG. With the figures we've presented today, we've created a stable foundation for the entire financial year 2015/16," said Daniel Riedl, CEO of BUWOG AG.
"The positive development draws on all three pillars of our business model, and thus confirms the strength of our strategy. In the Asset Management division, we were able to increase our earnings by 36 percent compared to the previous year, while Property Sales achieved a more than 15 percent higher earnings contribution," Dr. Ronald Roos, CFO of BUWOG AG added. "In the Property Development division, the earnings contribution was relatively lower due to cyclical factors. But because of our dynamic project pipeline, we feel confident that subsequent quarters will more than compensate the earnings development of the first quarter. Overall, the total investment volume of our development pipeline with a focus on Vienna and Berlin amounts to around EUR 1.5 billion."

 
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Key Property Portfolio Data




Detailed information is provided in the Report on the 1st Quarter of 2015/16, which is available for download under
http://www.buwog.com/en/investor-relations/financial-reports
About BUWOG Group
The BUWOG Group has grown over a 65-year history to become the leading German-Austrian full-service provider in the residential property sector. The company's high-quality property portfolio comprises roughly 51,500 units, equally distributed between Austria and Germany. The entire value chain in the residential sector is covered by BUWOG's activities in the areas of Asset Management (sustainable portfolio management and administration), Property Sales (profitable sale of individual apartments and portfolios) and Property Development (planning and construction of new buildings with a focus on Vienna and Berlin). Since the end of April 2014, the shares of BUWOG AG have traded on the stock exchanges of Frankfurt, Vienna and Warsaw.

For additional information contact:

Media Inquiries Germany: Investor Relations:
Peter Dietze-Felberg Holger Lueth RUECKERCONSULT GmbH                   BUWOG AG
T: +49 (0)30 2844 987 - 62 T +43 (0) 1 87828 1203 dietze@rueckerconsult.de investor@buwog.com
Media Inquiries Austria:

Thomas Brey
LUSTIG+BREY
T +43 (0) 1 233 01 23 15
M +43 676 542 39 09
brey@lustigbrey



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Language: English Company: BUWOG AG Hietzinger Kai 131 1130 Wien Austria Phone: +43 1 87 8281130 Fax: +43 1 87 8285299 E-mail: investor@buwog.com Internet: www.buwog.com ISIN: AT00BUWOG001 WKN: A1XDYU Listed: Regulated Market in Frankfurt (Prime Standard); Regulated Unofficial Market in Dusseldorf, Munich, Stuttgart, Tradegate Exchange; Wien (Amtlicher Handel / Official Market)  
 
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