DGAP-News: TLG IMMOBILIEN AG / Key word(s): Quarter Results/Real Estate
TLG IMMOBILIEN AG continues growth in successful Q1 2016
- Funds from operations increased by 8.8% year on year to EUR 17.1 m
- Rental income up 7.0% to EUR 32.5 m
- Portfolio value increases by 5.6% after assumption of nine new assets
- Purchase agreements for two additional properties signed in Q1 (total investment volume of EUR 107.8 m)
- EPRA Net Asset Value rises by 1.6% to EUR 17.64 per share as at 31 March 2016
- FFO forecast of between EUR 72 m and EUR 74 m, including made acquisitions, confirmed for 2016
In the first quarter of the year, the EPRA Vacancy Rate declined by 0.4 percentage points to 3.3%. The weighted average lease term (WALT) in TLG IMMOBILIEN AG's portfolio is currently 6.5 years. As at 31 March 2016, the EPRA Net Asset Value (EPRA NAV) amounted to EUR 1,190 m, or EUR 17.64 per share, representing an increase of 1.6% as compared to the end of 2015.
In addition to the successful development of its operating business, TLG IMMOBILIEN AG continued to have a conservative financing structure. The Net Loan to Value (Net LVT) as at the reporting date was 36.2% (31 December 2015: 33.6%) and the Company's average cost of debt amounted to 2.91%. Existing loans have an average remaining term of 4.7 years as at 31 March 2016. At present, the Company's costs for new long-term financing are significantly lower than 2.0%.
As at 31 March 2016, TLG IMMOBILIEN AG's portfolio includes a total of 414 properties (31 December 2015: 418) whose value under IFRS totals approx. EUR 1.865 bn (31 December 2015: EUR 1.766 bn). This corresponds to a 5.6% increase in the value of the properties in Q1 2016, which was due primarily to new acquisitions made in line with the portfolio strategy. This includes the seven office properties and two hotel properties in Leipzig and Dresden that were purchased at the end of 2015 and included in the portfolio in Q1 2016. The transaction costs for these properties totalled approx. EUR 112.8 m. Furthermore, purchase agreements were signed in Q1 2016 for two additional office properties in Berlin and Leipzig with a total investment volume of EUR 107.8 m.
"In the first quarter of the current financial year we not only further increased our consolidated net profit and improved our operating KPIs, but also acquired additional properties, thereby making great strides in reaching a portfolio value of EUR 2 bn that was initially targeted for 2017", says Peter Finkbeiner, Management Board member of TLG IMMOBILIEN AG.
In light of the ongoing excellent business performance, the Management Board of TLG IMMOBILIEN AG expects that the Company will continue to perform well in the full year 2016 and confirms its forecast that the Company will close out 2016 with FFO of between EUR 72 m and EUR 74 m, taking into account the acquisitions made thus far.
www.tlg.eu > Investor Relations > Financial Reports & Presentations > 2016
1 Total number of shares as at 31 March 2015: 61.3 m; as at 31 March 2016: 67.4 m. Due to the capital increase in November 2015, the weighted average number of shares in the first quarter 2015 was 61.3 m and 62.0 m in the first quarter 2016.
2 Calculation: Net debt divided by property value
3 Pursuant to the values reported in the financial statements in accordance with IAS 40, IAS 2, IAS 16, IFRS 5
4 Net rent for the year excluding utilities is calculated on the basis of the agreed annualised rent as at the reporting date and does not take into account any rent-free periods.
About TLG IMMOBILIEN AG
|Company:||TLG IMMOBILIEN AG|
|Phone:||030 - 2470 - 50|
|Fax:||030 - 2470 - 7337|
|Listed:||Regulated Market in Frankfurt (Prime Standard); Regulated Unofficial Market in Berlin, Dusseldorf, Hamburg, Hanover, Stuttgart|
|End of News||DGAP News Service|