DGAP-News: Accentro Real Estate AG / Key word(s): Real Estate/Final Results Accentro Real Estate AG: Annual Report 30.03.2015 / 13:31 --------------------------------------------------------------------- PRESS RELEASE ACCENTRO REAL ESTATE AG Reports Best FFO Performance in the Company's Annals - Net income during 2014 short financial year: EUR 7.07 million - Earnings per share jump to EUR 0.28 - Focus on privatisation business line pays off - Fivefold increase in earnings before interest and taxes - NAV per share EUR 3.51 (end of 2013/2014 FY: EUR 3.28) Berlin, 30 March 2015 - The Berlin-based public limited company ACCENTRO Real Estate AG (ISIN: DE000A0KFKB3) concluded its 2014 short financial year with its best-ever funds from operations performance. ACCENTRO, one of Germany's market leaders in housing privatisation, recorded EUR 19.35 million in funds from operations (EBIT) at the end of the 2014 short financial year of six months, which is five times the EBIT of EUR 3.8 million that had been posted by the end of the prior-year period (second semester 2013). At EUR 7.07 million, the post tax profits achieved their highest value since 2007. Earnings per share rose to EUR 0.29 (diluted: EUR 0.28). The company, which has been listed in the Prime Standard since 2006, and whose financial year used to end on 30 June, began a short financial year ending on 31 December 2014 in order to adjust its financial year with that of its parent company, the Frankfurt-based ADLER Real Estate AG, which coincides with the calendar year. ACCENTRO thus accomplished a significant turnaround in the course of the short financial year, which is remarkable insofar as the previous financial year of 2013/2014 had still been concluded at a loss that was essentially caused by tax effects in connection with the company's takeover by ADLER Real Estate AG. Focus on Residential Real Estate "Behind us lies a time of very hard work," said Jacopo Mingazzini, who took over the job of representing the company as its sole Board Member on 01 September 2014. "The effort is now paying off in two ways: The pinpoint changes to the portfolio have brought us a big step closer to our target structure, and helped us achieve a robust result." An important prerequisite was the acquisition of 4,300 residential units in October 2014, which represented the largest portfolio acquisition in the history of ACCENTRO AG. Around 900 residential units out of this portfolio are earmarked for privatisation, whereas around 3,400 are intended for long-term ownership by the ADLER Group. In conjunction with the acquisition, a sizeable share of the housing stock was refinanced in order to exploit the favourable market conditions. In line with the shift in focus toward privatisations, ACCENTRO divested itself entirely from its commercial real estate stock in December. Mingazzini is convinced that "concentrating on our core competence will translate into substantial cost savings in the future." Privatisation Business as Revenue Driver Between July and December 2014, ACCENTRO realised revenues in the amount of EUR 21.5 million (prior-year period: EUR 12.5 million). The bulk of it reflects sales of inventory properties (EUR 12.8 million), with lettings accounting for another major share (EUR 8.0 million) and investment property sales for a smaller share (EUR 0.7 million). The gross profit rose to EUR 27.9 million (prior-year period: EUR 7.3 million), and was essentially paced by the appreciation of investment properties. The impact from the financial results increased to EUR -7.1 million (EUR -3.2 million) due to the substantially expanded share in debt-finances assets. Both segments, "Trading" and "Portfolio," made positive contributions to the funds from operations. In the "Trading" segment, the inflow of funds from business lines devoted to the wind-up of former property development and listed property activities has visibly declined. Mingazzini: Clear-Cut Growth Outlook "The great result is fuelled by two components," said Mingazzini, "one being the elimination of debts from the wind-up of the former business lines, the other being the significant progress made in the company's realignment." Accordingly, his outlook for the 2015 financial year is upbeat: "We are strategically and operationally so well positioned that the upward trend in consolidated income is likely to harden during the ongoing year. We are reinforcing our strengths, meaning any new investments will go toward the housing portfolio earmarked for privatisation. This translates into a clear-cut growth outlook." Key ratios for the 2014 short financial year (01 July - 31 December 2014) Compared to the figures of the prior year period (01/07/2013 - 31/12/2013) and the 2013/2014 financial year (01/07/2013 - 30/06/2014), respectively 6M FY 2014 6M 31/12/13 12M FY 2013/14 - Revenue, million EUR 21.5 12.5 22.0 - gross profit, million EUR 27.9 7.3 20.7 - EBIT, million EUR 19.4 3.8 7.6 - Consol. income, million EUR 7.1 0.1 -3.2 - Earnings per share, EUR 0.28 0.00 -0.14 - Total assets, million EUR 402.2 212.4 240.1 The complete annual report for the 2014 short financial year will be available for download as of 30 March 2015 at http://www.accentro.ag/investor-relations/finanzberichte in English and German. About ACCENTRO Real Estate AG ACCENTRO Real Estate AG is a listed residential property company. Its core business consists of socially responsible housing privatisations. Through its subsidiary ACCENTRO GmbH, the company is Germany's market leader in apartment retailing as a third-party service. ACCENTRO Real Estate AG is also active in the proprietary trading of residential units it acquires expressly for the purpose. ACCENTRO Real Estate AG has its registered office in Berlin and is listed on the Prime Standard of the Frankfurt Stock Exchange (German Securities Code Number [WKN]: A0KFKB). Media and Public Relations Contact: Andy Dietrich Media and Communication Consulting Dr. ZitelmannPB. GmbH Rankestrasse 17 D-10789 Berlin E-mail: [email protected] Tel.: +49 30 - 72 62 76 153 Fax: +49 30 - 83 62 76 1793 Contact: ACCENTRO Real Estate AG - Investor & Public Relations - Tel: + 49 30 887 181 799 - E-Mail: [email protected] --------------------------------------------------------------------- 30.03.2015 Dissemination of a Corporate News, transmitted by DGAP - a service of EQS Group AG. The issuer is solely responsible for the content of this announcement. The DGAP Distribution Services include Regulatory Announcements, Financial/Corporate News and Press Releases. Media archive at www.dgap-medientreff.de and www.dgap.de --------------------------------------------------------------------- Language: English Company: Accentro Real Estate AG Uhlandstr. 165 10719 Berlin Germany Phone: +49 (0)30 - 887 181 - 0 Fax: +49 (0)30 - 887 181 - 11 E-mail: [email protected] Internet: www.accentro.ag ISIN: DE000A0KFKB3 WKN: A0KFKB Listed: Regulated Market in Frankfurt (Prime Standard); Regulated Unofficial Market in Berlin, Dusseldorf, Hamburg, Munich, Stuttgart End of News DGAP News-Service --------------------------------------------------------------------- 339207 30.03.2015