CA Immo reports strong operational first half of 2017

In the first six months of 2017, rental income for CA Immo rose by a significant 8.9% to €88.6m. The positive trend was essentially sustained through the acquisition of Millennium Towers in Budapest and the acquisition of a minority holding from joint venture partner Union Investment, which in turn generated an increase in rent. The result from renting after the first two quarters was €80.1m, up 11.0% on the 2016 value of €72.1m. As a result of the positive operational development, earnings before interest, taxes, depreciation and amortisation (EBITDA) rose by 18.1% to €72.5m (€61.4m in 2016). 

The revaluation result of €40.1m as at key date 30 June 2017 was highly positive (€113.1m in 2016). The largest contributions to the revaluation gain in terms of amount came from investment properties in Berlin and Munich. Negative effects from revaluations were mainly concentrated in the Group’s core regions in Eastern Europe, whereby the current market situation on the office property market in Warsaw in particular has led to devaluations. Earnings before interest and taxes (EBIT) of €148.1m were  -15.6% down on the 2016 figure of €175.6m, largely due to a lower revaluation result in yearly comparison.

The financial result stood at €3.4 m after the first six months (€38.2m in 2016). Thanks to continual optimisation of the financing structure, the Group’s financing costs, a key element in long-term revenue, fell by -15.6% compared to 2016 to stand at €18.5m. Earnings before taxes (EBT) stood at €134.8m, -1.9% below the previous year’s value of €137.4m. Aside from the higher operational result, a significantly improved financial result largely compensated for the lower revaluation result. The result for the period was €105.2m, 6.5% above the 2016 value of €98.9m. Earnings per share amounted to €1.13 on the balance sheet date (€1.03 per share in 2016).