Berlin, November 3, 2017 – ACCENTRO Real Estate AG (WKN: A0KFKB, ISIN: DE000A0KFKB3) is continuing the positive business performance it has demonstrated in recent years. The company reaffirms its full-year forecast of EBIT of approximately 34 million euros. Subject to further developments in fiscal year 2017, a dividend of at least the same amount as the previous year is to be proposed to the Annual General Meeting.
Expansion Strategy Is Successful and Will Be Expanded
“Our strategy of expanding into other cities and cooperating with developers on new construction projects has paid off,” explains Jacopo Mingazzini, CEO of ACCENTRO Real Estate AG. The first development project on Berlin’s Flughafenstraße is nearly sold out—with the exception of just a few apartments—six months after the sales launch and eight months before the contractually agreed completion date. “A follow-up project in Berlin-Neukölln is scheduled to go on sale in early 2018. Additional projects in other cities and the Berlin metropolitan area are set to follow,” adds Mingazzini.
The expansion into markets outside Berlin is beginning to bear fruit. For example, the first properties in Bonn have already been resold, and the response to properties in the Leipzig area is significantly exceeding expectations.
Further Growth Potential
Despite sales revenue of 82 million euros during the reporting period, inventory assets increased by more than 53 million euros compared to December 31, 2016. These figures do not yet include the recently announced sale of a residential real estate portfolio comprising a total of eight properties for 43.78 million euros. “We are operating successfully in a highly competitive residential real estate market. We will continue to use the proceeds from these sales primarily to fund further expansion,” says Mingazzini.
Significant Increase in Sales Volume Expected in the Last Quarter of 2017
Consolidated revenue for the first nine months of fiscal year 2017 amounted to 89.0 million euros, remaining below the level of the same period last year. ACCENTRO anticipates a strong fourth quarter of 2017. Several large-scale transactions are expected to significantly boost revenue by year-end, enabling the company to meet its full-year forecast with revenue well above the previous year’s level (125.1 million EUR). Consolidated net income for the nine-month period, at 12.3 million EUR (comparative period: 18.8 million EUR), is also in line with plans and forecasts.
Consistent Reduction of Financial Liabilities
The balance sheet structure has improved significantly compared to the end of 2016. Through the repurchase of the bond in the first half of 2017 and the disproportionately large reduction of financial liabilities using proceeds from sales, the LTV (Loan-to-Value) ratio was lowered from 51.6 percent to 47.2 percent as of September 30, 2017. On October 20, 2017, ADLER Real Estate AG announced the sale of a majority stake in ACCENTRO. The buyer of the shares is a partnership advised by Vestigo Capital Advisors LLP. The transaction is expected to close by the end of November. This will trigger the obligation to make a takeover offer. ACCENTRO will comment on the matter as soon as the details of the takeover offer are published.
About ACCENTRO Real Estate AG
ACCENTRO Real Estate AG is a residential real estate investor and the market leader in residential privatization in Germany. As of December 31, 2020, its real estate portfolio comprised approximately 5,200 units. In addition to Berlin, its regional focus includes major cities and metropolitan areas in eastern Germany, as well as the Rhine-Ruhr metropolitan region and Bavaria. ACCENTRO’s business activities encompass four core areas. These include the tenant-oriented sale of apartments to owner-occupiers and private investors, the sale of real estate portfolios to institutional investors, the development and management of its own real estate portfolio, and the marketing of apartments for property owners, investors, and project developers. The shares of ACCENTRO Real Estate AG are listed on the Prime Standard of the Frankfurt Stock Exchange (WKN: A0KFKB, ISIN: DE000A0KFKB3). investors.accentro.de
Contact for Press and Public Relations
Karl-Philipp Jann
PB3C GmbH
Rankestrasse 17
10789 Berlin
jann@pb3c.com
+49 (0)30 - 72 62 76 1612
Investor Relations Contact:
Thomas Eisenlohr
ACCENTRO Real Estate AG
Kantstraße 44/45
10625 Berlin
Email: eisenlohr@accentro.de
Phone: +49 (0)30 88 71 81 272