Atrium European Real Estate, one of the leading real estate companies focused on shopping center investment, management and development in Central and Eastern Europe, announces its results for the half-year and second quarter ended June 30, 2010.
Highlights:
- Profit before tax of 104.4 million (H1 2009: loss of 324.6 million; FY 2009: loss of 486.6 million)
- EBITDA excluding revaluation and exceptional items up 25% to 49.8 million (H1 2009: 39.7 million; FY2009: 90.9 million)
- Net cash from operating activities increased by 65% to 46.6 million compared to 28.2 million for the corresponding period last year (FY 2009: 64.7 million)
- EPRA Net asset value per ordinary share up 4.5% to 6.04 compared to 5.78 at December 31, 2009
- Value of standing investments increased by 4.2% to 1.537 billion compared to 1.475 billion at December 31, 2009
- Weighted average occupancy increased to 94.7% (H1 2009: 93.6%; FY2009: 94.0%)
- Margin increased to 88% compared to 79% in H1 2009 (FY 2009: 81%)
- Net rental income grew by 11.1% to 65.3 million (H1 2009: 58.8 million; FY2009: 121.3 million)
- Like-for-like net rental income increased by 7.8% to 59.4 million (H1 2009: 55.1 million)
- Gross rental income remained stable at 74.4 million (H1 2009: 74.6 million; FY2009: 148.8 million)
- Like-for-like gross rental income down by 3.4% to 65.9 million (H1 2009: 68.2 million), reflecting temporary rental discounts given since Q2 2009
- Borrowings decreased from 658.8 million, as at December 31, 2009, to 426.1 million as at June 30, 2010, following the repurchase of all remaining 2006 Medium Term Notes (234 million nominal value)
- Cash balance decreased to 386.4 million at June 30, 2010 (December 31, 2009: 610.7 million), reflecting the bond acquisition
- 0.03 dividend paid on June 30, 2010, with a further 0.03 quarterly dividend to be paid on September 30, 2010 with an ex date of September 22, 2010 and a record date of September 24, 2010.
Commenting on the results, Rachel Lavine, CEO of Atrium European Real Estate, said: "Today's results reflect the continued improvements in the markets in which we operate and the solid progress being made across all areas of the business. While the revaluation of our properties helped to deliver a profit before tax of 104 million, we are pleased that, excluding the positive effect of the portfolio revaluation and other exceptional items, EBITDA improved 25% to 50 million.
"We have worked incredibly hard to improve operational efficiency and protect the income from our assets, which is reflected in the continued positive trend on occupancy, which now stands at 94.7%. We are also pleased that in some cases we have been able to increase previously discounted rents, particularly in Russia.
"The operational and financial achievements we have made to date have created a business which is well positioned for growth. Our real priority now is to ensure that we can make our cash and our low leverage work to our best advantage. We are in a strong position and are being diligent in our pursuit of acquisitions, whilst ensuring that we create maximum value from our standing assets and our development pipeline."
A full version of the first half 2010 results can be found on the Atrium page of the Vienna Börse website at http://en.wienerborse.at/ and on the Company's page of the Euronext Amsterdam website, www.euronext.com or on the company's website at www.aere.com.
Source: FD
