Berlin, March 16, 2018 – ACCENTRO Real EstateAG (WKN: A0KFKB, ISIN: DE000A0KFKB3), Berlin, a leader in residential privatization in Germany, looks back on a successful 2017 fiscal year and has exceeded expectations with strong business results. Revenue climbed by 17.8% to EUR 147.3 million (previous year: EUR 125.1 million). EBIT rose by 7.3% to EUR 36.4 million (previous year: EUR 33.9 million), exceeding the earnings forecast of EUR 34 million to EUR 36 million.
Jacopo Mingazzini, CEO of ACCENTRO Real Estate AG:
“The encouraging 2017 financial results confirm our strategy of maintaining a clear focus on residential privatization. During the fiscal year, we secured further growth potential by expanding our privatization portfolio. Our most recent acquisitions and partnerships give us confidence that we will continue on this course in fiscal year 2018.”
Positive Business Performance with Consistent Expansion of the Privatization Business
In total, ACCENTRO sold 992 units from its own portfolio to owner-occupiers, private investors, and institutional investors during the reporting period (previous year: 976). “By selling nearly 1,000 apartments within a year, we have once again demonstrated our sales capabilities. In doing so, we are generating attractive returns: In fiscal year 2017, our EBIT margin was around 25%,” said Jacopo Mingazzini, commenting on the business performance.
The increase in sales revenue is based on the rise in individual privatizations to more than 600 residential units, 488 of which were from the company’s own portfolio (previous year: 271). In addition, rental income from the privatization portfolio rose by 17.8% to EUR 7.8 million. ACCENTRO has expanded its business activities from its home market of Berlin to other German metropolitan regions. ACCENTRO now has a presence in Berlin, Hamburg, Hanover, Leipzig, and Cologne.
Significant Increase in Value Through Expansion of the Privatization Portfolio
During the reporting year, total assets increased by 15.7% to EUR 347.8 million (previous year: EUR 300.5 million). This increase is primarily attributable to the significant expansion of the portfolio of real estate holdings, which rose by 36.0% year-over-year to EUR 304.0 million (previous year: EUR 223.6 million). This privatization portfolio was further strengthened in fiscal year 2017 with the acquisition of 1,339 residential units, primarily in Berlin, Hanover, Cologne, and the Leipzig area. Purchase agreements were concluded during the reporting period for an additional 376 units in Berlin with a purchase price of EUR 63.0 million. The transfer of ownership and responsibility for these properties will take place in 2018. “The successfully placed corporate bond in the amount of EUR 100 million is intended to ensure the rapid implementation of the acquisitions already made and to contribute to a further increase in the pace of expansion,” says Jacopo Mingazzini.
Dividend Increase Planned
Another positive development is the significant increase in equity by 12.3% to EUR 153.7 million (previous year: EUR 136.8 million). ACCENTRO has maintained its equity ratio at a stable level of 44.2% (previous year: 45.5%) despite the increase in total assets. Given the positive business performance, the Executive Board plans to propose to the Annual General Meeting the payment of a dividend for 2017 in the amount of EUR 0.17 per share. This represents an increase of 13.3% compared to the previous year’s dividend of EUR 0.15. Based on the XETRA closing price of EUR 7.92 on March 15, 2018, this corresponds to a dividend yield of approximately 1.9%.
Positive Outlook for 2018
Building on the expansion of its privatization portfolio, ACCENTRO looks forward to the 2018 fiscal year with optimism. The Executive Board expects revenue to grow significantly once again at a double-digit percentage rate, coupled with an increase in EBIT to between EUR 37 million and EUR 40 million. ACCENTRO will thus further strengthen its position as the market-leading publicly traded company for residential privatizations in Germany.
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 sale of apartments to owner-occupiers and private investors at rent-level 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 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
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