Ad hoc Mitteilung
Real estate group DEMIRE AG closes abbreviated fiscal year ended December 31, 2014 with a jump in earnings
Ad hoc announcement according to section 15 WpHG
- EBIT increases by EUR 64 million to EUR 58.4 million
- Net profit for the period: EUR 45.7 million (previous year: EUR -6.0 million)
- Basic earnings per share: EUR 3.03 (previous year: EUR -0.43)
- Total assets rise to EUR 373.0 million (previous year: EUR 48.4 million)
- Portfolio with more than 350,000 m² (December 31, 2014) of rentable space expected to significantly expand in 2015
- Today’s total portfolio space with more than 610,000 m²
- Annual rental income to be main revenue source in 2015
Frankfurt/Main, 05. June 2015 – DEMIRE Deutsche Mittelstand Real Estate AG’s (“DEMIRE”, ISIN DE000A0XFSF0) consolidated financial statements for the 2014 abbreviated fiscal year (1 April to 31 December 2014) (according to IFRS) published today were greatly impacted by strong growth resulting from the creation of a large commercial real estate portfolio in Germany. In 2014, DEMIRE created a commercial real estate portfolio with total rentable space of more than 350,000 m², clearly exceeding its internal targets. Annual net rental income excluding utilities of the properties held as at December 31, 2014 amounted to approximately EUR 25.4 million. The Group’s key financial ratios for the abbreviated fiscal year from 1 April to 31 December 2014 show a corresponding development compared to the previous balance sheet date of 31 March 2014.
The EBIT of EUR 58.4 million (previous year: EUR -5.6 million) was largely the result of rental income and, especially, fair value adjustments of investment properties. Accordingly, net profit for the period as at 31 December 2014 improved by EUR 51.7 million to EUR 45.7 million (previous year: EUR -6.0 million). Basic and diluted earnings per share as at the balance sheet date amounted to EUR 3.03 after EUR -0.43 as at 31 March 2014 and EUR 1.74 after EUR -0.43, respectively.
DEMIRE AG’s total assets rose strongly to EUR 373.0 million as at 31 December 2014 (31 March 2014: EUR 48.4 million). The increase was mainly the result of the Group’s acquisition related growth. The equity ratio stood at 14.6 percent after 15.9 percent as at 31 March 2014.
Diluted NAV according to EPRA per share amounted to EUR 4.21 as at 31 December 2014 after EUR 0.65 as at 31 March 2014.
In the current fiscal year, rental income from real estate holdings acquired in 2014 will make a contribution to our earnings for a full calendar year for the first time. Moreover, newly acquired properties such as Gutenberg Galerie and Logistik Park Leipzig as well as additional planned purchases will lead to a strong rise in rental income compared to 31 December 2014.
DEMIRE plans to further expand its real estate portfolio in the coming months of the current 2015 fiscal year and to double the portfolio’s size by the end of the year. Following the acquisition concluded in 2015, rentable space currently totals more than 610,000 m² with contractual annual net rental income excluding utilities of around EUR 32.8 million.
The Company’s 2014 financial statements and the 2014 consolidated financial statements, both approved by the Supervisory Board, are available for download on the Company’s website under www.demire.ag within the 2014 separate financial statements and the 2014 Annual Report.
The Executive Board
The information in this release contains forward-looking statements that are subject to various risks and uncertainties. Such forward-looking statements are based on current forecasts, expectations and estimates of DEMIRE’s Executive Board at the time of their publication. Such statements constitute neither promises nor guarantees and are subject to various known and unknown risks and uncertainties, some of which are beyond DEMIRE’s influence. These risks and uncertainties may lead to actual results differing materially from statements that are mentioned herein. DEMIRE accepts no obligation to update or adjust the forward-looking statements contained in this release to reflect events or circumstances after the date of this release.