IMMOFINANZ recorded net profit of 163 million Euro in first half of 2022
Petre Barac
Posted On August 25, 2022
IMMOFINANZ closed the first half of 2022 with a net profit of 162.7 million Euro. Rental income reached a high level of 144.2 million Euro, the results of asset management improved by 3.0 percent to 110.0 million Euro.
“The good development of earnings in the first half of 2022 underscores IMMOFINANZ’s strong position in its core markets. Rental income – after an adjustment for non-recurring effects – increased despite the challenging environment and FFO 1 rose by more than 6 percent. Although several one-off effects were reflected in earnings and on the balance sheet, we have a very solid financial base to continue our value-enhancing growth course in the future. We plan to expand with our strong myhive, STOP SHOP und VIVO! brands and further improve our leading position in innovative office and retail solutions. We are optimally positioned to create value for our tenants, employees and shareholders“, explained Radka Doehring of the Executive Board of IMMOFINANZ.
The IMMOFINANZ property portfolio covered 227 properties as of 30 June 2022 with a combined value of 5.4 billion Euro. Standing investments represented the largest component at 4.8 billion Euro and 2.0 million sqm of rentable space. At 94.3 percent (31 December 2021: 95.1 percent), the occupancy rate remained high. The retail properties were practically fully rented at 98.5 percent. The gross return on the standing investment portfolio equalled 6.1 percent based on IFRS rental income and 6.4 percent based on invoiced rents.
IMMOFINANZ intends to continue its growth course, as indicated in the strategy update which was approved after the majority takeover by the CPI Property Group in June of this year. The focus will remain on retail properties and myhive office solutions. Active portfolio management will also include the sale of properties with a combined value of roughly EUR 1 billion. IMMOFINANZ plans to reinvest the proceeds in real estate to strengthen its brands or use the funds to repay debt.
