DGAP-News: WCM Beteiligungs- und Grundbesitz-AG / Key word(s): Quarterly / Interim Statement/Real Estate WCM Beteiligungs- und Grundbesitz-AG: WCM continues strong growth path after 9 months in 2016 and reaffirms FFO forecast 25.11.2016 / 08:34 The issuer is solely responsible for the content of this announcement. --------------------------------------------------------------------------- WCM continues strong growth path after 9 months in 2016 and confirms FFO forecast - Rental income increases to EUR 23.8 million (prev. year: EUR 6.0 million) - FFO I increases to EUR 12.9 million (prev. year: EUR 4.6 million) - EPRA NAV rises to EUR 338.3 million or EUR 2.56 per share (year-end 2015: EUR 290.6 million or EUR 2.38 per share) - Real estate portfolio expansion continues - FFO 2016 forecast confirmed Frankfurt, 25 November 2016 - WCM Beteiligungs- und Grundbesitz-AG (WCM AG, ISIN: DE000A1X3X33) continuous its growth path with its nine month results in 2016. The figures as of 30 September 2016 are not reflecting the contractually signed portfolio expansion with a real estate volume of approx. EUR 190 million that will close within the forthcoming months. Rental income and FFO increased multifold The rental income for the first nine months of 2016 rose to EUR 23.8 million versus EUR 6.0 million for the same period in 2015. WCM's funds from operations (FFO I), not including asset disposals, increased to EUR 12.9 million or EUR 0.10 per share in comparison to EUR 4.6 million or EUR 0.08 per share in the comparable period of the previous year. As of 30 September 2016, the EPRA Net Asset Value (NAV) rose to EUR 338.3 million or EUR 2.56 per share compared to EUR 290.6 million or EUR 2.38 per share at the year-end 2015. In addition, the net loan-to-value (Net-LTV) remained in WCM's lower target corridor at 50.3% compared to 50.0% at 2015 year-end. Portfolio successfully managed and expanded In the first nine months WCM aligned its portfolio with various disposal of several non-strategic assets above book value. WCM continued its acquisition growth with its portfolio focus on top-quality office and retail assets as the acquired retail park in Straubing for a gross purchase price of c. EUR 55 million. The value of WCM's portfolio as of 30 September 2016 amounted to EUR 576.4 million compared to EUR 505.7 million at the end of 2015. Successful leasing activities resulted in an EPRA vacancy decrease of 70 bps from 4.8 % at the end of 2015 to 4.1% at the end of September 2016 with the weighted average lease time (WALT) remaining stable at the high level of 9.3 years, compared to 9.4 years at the end of 2015. The average cost of debt decreased even further from 2.1% at the end of 2015 to 2.0% as of 30 September 2016. FFO I increase and plan to pay out of dividend reconfirmed After the first nine months in 2016, WCM's full-year 2016 target was already significantly exceeded in terms of NAV development. The Management Board reiterates the forecasts for 2016 on the basis of the positive business cycle and the already further contracted transactions. On the back of the published results, the company reaffirms the 2016 forecast with a FFO target range of EUR 18 to 21 million. At the same time, the Management Board and the Supervisory Board continue to seek the payment of a dividend for the current financial year. Significant expansion of portfolio and profit potential after the reporting date In the fourth quarter of 2016, WCM continued its portfolio expansion and acquired a retail portfolio consisting of three properties in Saxony-Anhalt and Baden-Württemberg. In addition, the closing of the acquisition portfolio announced on 27 September 2016 with four retail centers is expected before year end. On a pro forma basis, the portfolio grows to approx. EUR 766 million generating an annualised rental income of EUR 46.0 million, which represents a significant increase compared to the EUR 33.7 million from H1 2016. The annualized FFO I rises to EUR 25.5 million and the pro forma EPRA / NAV per share to at least EUR 2.85. Stavros Efremidis, CEO of WCM AG: "We are very satisfied with the development of the first nine months of 2016. We were able to further expand WCM into one of the most effective listed companies in the German commercial real estate sector. Our portfolio and our earnings power developed positively and we have again carried out several value-enhancing transactions. We will continue this growth path consequently." The complete quarterly report as well as the company presentation is available at www.wcm.de in the Investor Relations section. WCM Key IFRS Figures Earnings position 1 January - 1 January - Absolute Change in (in kEUR) 30 September 30 September Change % 2016 2015 Rental income 23,849 5,999 17,850 >100 Net operating 22,261 5,691 16,570 >100 income Net income 16,928 17,586 -659 -3.7 FFO I 12,888 4,602 8.286 >100 FFO I per share 0.10 0.08 0.02 26.2 (in EUR) FFO II 13,687 4,602 9,085 >100 FFO II per share 0.11 0.08 0.03 37.4 (in EUR) EPRA Earnings 4,612 n/a n/a n/a Earnings per 0.12 0.29 -0.17 -58.2 share, undiluted (in EUR) Earnings per 0.12 0.29 -0.17 -58.4 share, diluted (in EUR) WCM Key Balance 30 September 31 December Absolute Change in Sheet Ratios 2016 2015 Change % (in kEUR) Investment 576,379 505,731 70,648 14.0 properties Total assets 660,332 550,924 109,408 19.9 Shareholder's 313,533 269,582 43,951 16.3 equity (incl. minorities) Long term debt 324,203 264,131 60,072 22.7 Net Loan-to-Value 50.3 50.0 0.3 0.5 (LTV) % EPRA NAV 338,326 290,608 47,718 16.4 EPRA NAV per 2.56 2.38 0.18 7.7 share (in EUR) EPRA NNNAV per 2.38 2.22 0.16 7.0 share (in EUR) Key Portfolio Figures 30 September 2016 31 December 2015 Number of assets 49 49 Lettable area 271,056 m² 293,986 m² Annualised rental income 33,661 31,533 in kEUR EPRA net initial yield 5.3 5.6 (NIY) in % EPRA vacancy rate in % 4.1 4.8 Weighted Average 9.3 9.4 remaining lease time (WALT) Average cost of debt in 2.0 2.1 % Divided by Segments Office Retail Number of assets 12 37 Lettable area 113,985 m² 157,071 m² Annualised rental income 18,099 15,563 in kEUR EPRA net initial yield 6.9 0.8 (NIY) in % Weighted Average 8.3 10.4 remaining lease time (WALT) About WCM AG WCM Beteiligungs- und Grundbesitz-AG (WCM AG), is a specialised commercial real estate company. As a real estate proprietor, the focus is on long-term rental of high-quality office and retail properties in the major office locations in Germany. Since the operational restart in 2014, WCM AG has focused on an extensive network for the acquisition of properties as well as on value-creating asset management, in order to generate attractive long-term rental income and a steady cash flow. The pro forma portfolio has a gross asset value of more than EUR 700 M. The company has extensive loss carry forwards in corporate and commercial tax. Shares of WCM AG are listed in the SDAX of Deutsche Boerse since 21 December 2015. Investor Relations: Gunnar Janssen Investor Relations WCM Beteiligungs- und Grundbesitz-AG +49 69 963 7319 10 [email protected] www.wcm.de Press contact: edicto GmbH Axel Mühlhaus/ Dr. Sönke Knop Eschersheimer Landstraße 42 60322 Frankfurt am Main +49 (0) 69-905505-51 [email protected] --------------------------------------------------------------------------- 25.11.2016 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. Archive at www.dgap.de --------------------------------------------------------------------------- Language: English Company: WCM Beteiligungsund Grundbesitz-AG Bleichstr. 64-66 60313 Frankfurt am Main Germany Phone: +49 (0)30 8870 476-10 Fax: +49 (0)30 8870 476-20 E-mail: [email protected] Internet: www.wcm.de ISIN: DE000A1X3X33 WKN: A1X3X33 Listed: Regulated Market in Frankfurt (Prime Standard), Hamburg, Stuttgart; Regulated Unofficial Market in Berlin, Dusseldorf, Hanover, Munich, Tradegate Exchange End of News DGAP News Service --------------------------------------------------------------------------- 524105 25.11.2016