Berlin, May 13, 2016 – ACCENTRO Real Estate AG (ISIN: DE000A0KFKB3) is building on the success of the previous year and has gotten off to an exceptionally strong start in fiscal year 2016. ACCENTRO’s strong performance was driven in particular by its consistent focus on the residential privatization sector. Revenue rose to 24.1 million euros compared with the same period last year (Q1 2015: 9.0 million euros). The main driver of growth was revenue from real estate trading, which more than quadrupled compared with the same period last year to 20.5 million euros (Q1 2015: 4.4 million euros). Earnings before interest and taxes (EBIT), excluding valuation effects, rose sharply year-over-year to 7.5 million euros (Q1 2015: 2.9 million euros). “We are seeing a sharp increase in demand for apartments for investment and owner-occupancy. The excellent market conditions and our focus on the privatization business are also reflected in the strong quarterly results. We will consistently pursue this strategy to further increase ACCENTRO’s profitability,” explains Jacopo Mingazzini, CEO of ACCENTRO Real Estate AG.
Profitable Privatization Business
Net sales proceeds from the residential privatization business rose significantly from 0.4 million euros in Q1 2015 to 5.4 million euros in the reporting period. This sharp increase demonstrates that ACCENTRO’s focus on the privatization business is making the company significantly more profitable. In Q1 2016, the company generated cash proceeds of 9.3 million euros from sales (Q1 2015: 2.2 million euros). A key component of the strategy is reinvesting the freed-up funds into the expansion of the privatization portfolio. “Given the price increases of recent years and our already high market share in Berlin, we are increasingly expanding our activities into metropolitan regions outside Berlin,” explains Mingazzini. During the current fiscal year, ACCENTRO has acquired attractive properties in Berlin (76 residential units), Hamburg (46 residential units), Hanover (26 residential units), and Bonn (106 residential units), thereby successfully embarking on the planned nationwide expansion of its owned portfolio.
Significant Potential in NAV
The EPRA NAV of 4.77 euros has increased by 0.09 euros compared to December 31, 2015. Especially given that ACCENTRO’s privatization portfolio is primarily carried at cost, there is significant upside potential for the stock. Taking into account the hidden reserves in the market valuation of the privatization portfolio, the NAV would amount to 6.55 euros. With consistent development of its real estate portfolio, ACCENTRO expects to generate further value potential in the future.
Forecast for Fiscal Year 2016 Confirmed
ACCENTRO will continue to focus in the reporting year on the privatization of apartments from its own portfolio as well as on behalf of third parties. “We confirm our forecast for a significantly positive earnings trend in the current fiscal year,” says Mingazzini. “We expect a positive earnings trend, particularly in the retail sector.” For the current fiscal year, the Executive Board expects consolidated net income of approximately 10 million euros.
About ACCENTRO Real Estate AG
ACCENTRO Real Estate AG is a residential real estate investor and the market leader in apartment 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 sale of apartments to owner-occupiers and private investors at near-rental prices, 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 portfolio holders, 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
Jan Hutterer
Kirchhoff Consult AG
Borselstraße 20
22765 Hamburg
Email: accentro@kirchhoff.de
+49 (0)40 – 609 186 65
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