MAGNAT Real Estate AG: MAGNAT achieves Group net income of EUR 12.9 million in financial year 2011/12 – Results largely impacted by a change in accounting

MAGNAT Real Estate AG  / Key word(s): Final Results

23.08.2012 18:03

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MAGNAT achieves Group net income of EUR 12.9 million in financial year
2011/12 - Results largely impacted by a change in accounting

Frankfurt am Main, August 23, 2012 - MAGNAT Real Estate AG's ('MAGNAT',
ISIN DE000A0XFSF0) results for financial year 2011/12 were largely impacted
by an accounting change. Based on the examination of the accounting as per
March 31, 2010 by the German Financial Reporting Enforcement Panel
(Deutsche Prüfstelle für Rechnungslegung, DPR), the consolidated financial
statements for financial years 2009/2010 and 2010/2011 were adjusted
retrospectively concerning the integration of the R-QUADRAT Group. The
adjustments carried out are described in detail in the notes to the current
annual report.

On this basis, MAGNAT reported a profit for the period of EUR 12.9 million
for financial year 2011/12 (as per March 31, 2012) compared to a loss of
EUR 10.3 million in the previous year. Earnings per share amounted to EUR
0.93 following EUR -0.74 in the prior year. Group equity increased to EUR
20.2 million from EUR 12.6 million due to the positive profit for the
period. The equity ratio rose to 45.7 percent from 18.6 percent in the
previous year. The Net Asset Value as of March 31, 2012 amounted to EUR
1.44 per share.

In addition, financial year 2011/2012 was characterised by a number of
successful disposals of the real estate portfolio, especially the resale of
the residential portfolio in Germany. As a result, the profit on sales of
real estate soared to EUR 15.7 million following EUR 2.3 million in the
previous year. Earnings before interest and taxes (EBIT) amounted to EUR
14.8 million compared to EUR -9.4 million in the prior year. Overall, we
were successful in reducing risk positions. As a result of the disposals
mentioned, total assets declined from EUR 67.6 million in the previous year
to EUR 44.3 million. Correspondingly, liabilities declined EUR 31.0 million
to EUR 24.0 million as compared to the previous year.

In financial year 2011/2012, several measures were initiated and carried
out in order to sustainably improve the Group's earnings situation in the
medium term. At the same time, securing the Group's liquidity remains the
key focus of MAGNAT's financial planning. The measures include cost savings
as well as the consistent focusing of the portfolio on the emerging markets
of the Black Sea region.

The annual report for 2011/2012 will be available shortly on the Company's

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Language:     English
Company:      MAGNAT Real Estate AG
              Lyoner Straße 32
              60528 Frankfurt am Main
Phone:        +49 (0)69  / 719 189 79 0
Fax:          +49 (0)69  / 719 189 79 11
ISIN:         DE000A0XFSF0
WKN:          A0XFSF
Listed:       Regulierter Markt in Frankfurt (General Standard);
              Freiverkehr in Berlin, Stuttgart
End of Announcement                             DGAP News-Service