DGAP-News: Colonia Real Estate AG: non-recurring effects have negative impact on consolidated result for 2010
(firmenpresse) - DGAP-News: Colonia Real Estate AG / Key word(s): Final Results
Colonia Real Estate AG: non-recurring effects have negative impact on
consolidated result for 2010
21.04.2011 / 07:00
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Colonia Real Estate AG: non-recurring effects have negative impact on
consolidated result for 2010
- Reduced net operating income and extraordinary tax expenses (EUR -12.8
million) lead to a consolidated loss of EUR 27.2 million
- Consolidated result before taxes of EUR -14.4 million burdened by
higher investment in real estate
- Effective vacancy rate drops from 13.6% to 12.9% during 2010
Cologne, April 21, 2011 - Colonia Real Estate AG (ISIN: DE0006338007; WKN:
633800) recorded a consolidated loss of EUR 27.2 million in fiscal 2010. In
particular, this consolidated loss was due to a much lower net operating
income owing to high investment and to extraordinary tax expenses.
Net operating income
One of the most important goals in fiscal 2010 was to reduce the vacancy
rate. To achieve this goal, Colonia made a substantial investment of around
EUR 14.0 million in the modernization of its portfolio and cut the vacancy
rate from 13.6% to 12.9%. The average rent per square meter also rose from
EUR 4.59 to EUR 4.69 at the end of the 2010 reporting year. As a result of
these measures, the net rental income grew on a like-for-like basis from
EUR 55.4 million to EUR 56.7 million.
The development of net operating income, which saw a significant drop of
26.0% to EUR 24.3 million (previous year: EUR 32.9 million) was less
pleasing. In particular, higher investment totaling around EUR 14.0 million
in our real estate was responsible for this reduction. Furthermore,
expenses for investment measures to increase value were reported in full
under property operating expenses for the first time in fiscal 2010.
Key profit figures
Despite a positive result of EUR 0.5 million in Asset Management, EBITDA
for fiscal 2010 fell significantly to EUR 14.1 million (previous year: EUR
23.6 million). In particular, the reduction of EUR 8.5 million in the net
operating income and non-recurring effects in administrative costs in
connection with the takeover by TAG Immobilien AG led to this slump in
EBITDA. Accordingly, earnings before interest and tax (EBIT) also fell
year-on-year from EUR 33.4 million to EUR 16.9 million. The drop in EBIT is
based, among other things, on a lower income from fair valuation of EUR 5.2
million (previous year: EUR 10.2 million) and a write-down on equity
interests of EUR 1.3 million.
Taking into account tax expenses of EUR 12.8 million, this results in a
consolidated loss after taxes of EUR 27.2 million. Owing to the acquisition
of more than 50% of the share capital of Colonia by TAG Immobilien AG, the
unused tax losses of Colonia can no longer be used. This has resulted in a
reduction in deferred tax assets by a corresponding amount and a burden on
income taxes, which has had no impact on liquidity.
As at December 31, 2010, the real estate assets of the Colonia Group
totaled EUR 827.5 million, of which EUR 817.7 million was investment
properties. Despite a capital increase with gross issue proceeds of EUR
10.8 million, Colonia's equity was reduced to EUR 227.2 million owing to
the consolidated loss for fiscal 2010. The equity ratio also dropped
slightly from28.0% at the end of 2009 to 26.2% at the end of 2010.
Outlook:
Together with our new majority shareholder, TAG Immobilien AG, our goal for
the next few months is a continuous increase in our net rental income
through a targeted reduction in the vacancy rate and the use of existing
potential for optimizing rents. In particular, the focus in the coming
months will be on improving the rental situation in our Salzgitter
portfolio. Moreover, our aim is to make the best possible use of synergies
in cooperation and to achieve economies of scale by merging the two asset
management companies of the TAG Group. Our goal is to expand this unit
further in a profit-oriented way. Overall, we expect to achieve a
turnaround in terms of operations and the balance sheet in fiscal 2011.
The Board of Management
Cologne, April 21, 2011
Colonia Real Estate AG
Zeppelinstraße 4-8
D-50667 Cologne
Listing: regulated market of the Frankfurt Stock Exchange (Prime Standard)
ISIN: DE0006338007
WKN: 633800
About Colonia Real Estate AG
Colonia Real Estate AG is one of the leading listed real estate investment
and management groups in Germany with round about 19,000 residential units
and EUR 2.1 bn Assets under Management.
The Colonia business model is based on two columns. The investment segment
concentrates on high-yield residential property portfolios held for the
company's account and co-investments in commercial and residential
properties together with institutional partners. Second column of the
Colonia business model is the service segment. Here Colonia Real Estate
Solutions GmbH provides all services along the life cycle of a property in
a modular manner.
Contact:
Colonia Real Estate AG
Zeppelinstr. 4-8
50667 Cologne, Germany
Phone +49 (0)221 71 60 71 0
Fax +49 (0) 221 71 60 71 99
E-Mail: pr(at)colonia.ag
End of Corporate News
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Language: English
Company: Colonia Real Estate AG
Zeppelinstr. 4 - 8
50667 Köln
Deutschland
Phone: +49 221-716071-0
Fax: +49 221-716071-99
E-mail: ir(at)colonia.ag
Internet: www.colonia.ag
ISIN: DE0006338007
WKN: 633800
Listed: Regulierter Markt in Frankfurt (Prime Standard);
Freiverkehr in Berlin, Düsseldorf, Hamburg, Hannover,
München, Stuttgart; Luxembourg
End of News DGAP News-Service
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120992 21.04.2011
Datum: 21.04.2011 - 07:00 Uhr
Sprache: Deutsch
News-ID 33854
Anzahl Zeichen: 0
contact information:
Kategorie:
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