ADO PROPERTIES S.A. (FRA:LU125015) ADO Properties S.A. reports successful kick-off of the financial year 2017

Directive transparence : information réglementée

17/05/2017 07:00

DGAP-News: ADO Properties S.A. / Key word(s): Quarterly / Interim Statement
ADO Properties S.A. reports successful kick-off of the financial year 2017

17.05.2017 / 07:00
The issuer is solely responsible for the content of this announcement.

ADO Properties S.A. reports successful kick-off of the financial year 2017
  • Strong increase of income from rental activities (+24.3%) driven by new acquisitions and like-for-like growth
  • EBITDA from rental activities +25.1% and FFO1 +39.6%
  • Significant annual like-for-like rental growth of 6.1%
  • Net Asset Value per share at EUR 36.31 as of 31 March 2017 (31 December 2016: EUR 36.08)
  • Management board confirms positive outlook for the 2017 financial year and expected FFO 1 run rate in 2017 around EUR 60 million after deploying the current cash position by the end of the year

Berlin, 17 May 2017 - ADO Properties S.A., the only Prime Standard listed residential real estate company solely focused on the city of Berlin, reports a successful kick-off of the financial year 2017. This shows the three-months financial report published today.

Operational key figures reflecting the company's ongoing strong development
The income from rental activities of ADO Properties increased in the first three months of the financial year 2017 by 24.3% to EUR 25.3 million (Q1 2016: EUR 20.4 million) driven by new acquisitions and the strong 6.1% like-for-like rental growth. The EBITDA from rental activities rose by 25.1% from EUR 14.4 million in the first quarter 2016 to EUR 18.0 million.

The FFO1 (without profit from disposals) increased by 39.6% up to EUR 13.1 million (Q1 2016: EUR 9.4 million) equivalent to an FFO1 of EUR 0.30 per share (Q1 2016: EUR 0.27 per share) due to the strong operational performance and the relative improvement of interest expenses.

The average in-place rent of the residential portfolio rose to EUR 6.17 per sqm per month at the end of the first quarter 2017 (31 December 2016: EUR 6.11). The vacancy rate for the residential portfolio remains low at 2.7% as of 31 March 2017 (31 December 2016: 2.5%).

Further portfolio expansion and conservative financial strategy
ADO Properties' portfolio is valued at EUR 2,349 million as of 31 March 2017 and is comprised of 18,801 units at the end of the reporting period, of which are 17,776 residential units. The Net Asset Value of the portfolio amounted to EUR 1,601 million or EUR 36.31 per share as of 31 March 2017. ADO Properties' financial structure remains conservative with an LTV of 33.8% by the end of the reporting period and an average interest rate of the loan portfolio of 2.1%. Nearly all loans have a fixed interest rate or are hedged. The average maturity of the loans is approximately 5 years. ADO Properties will continue with this conservative strategy targets and LTV of around 45% after executing further acquisitions.

Positive Outlook for 2017 confirmed
In consideration of the company's ongoing strong development the management board confirmed its positive outlook for the financial year 2017. "We are positive that ADO Properties will continue to increase the value of its assets, its NAV and NAV per share by generating significant rental growth in the future", says Rabin Savion, CEO of ADO Properties. "We anticipate our like-for-like rental growth for 2017 to be approximately 5% and our 2017 year-end FFO 1 run rate to be at least EUR 60 million after deploying our cash position by the end of the year. This positive outlook is based on the very positive macroeconomic outlook for residential investments in Berlin, first of all the above-average economic growth, the increasing household incomes, the lower unemployment and the rising rent index especially in the inner-city-areas favoured by young urban professionals."


Key Figures
01.01.17-31.03.17 01.01.16-31.03.16 Difference absolute Difference percentage
Income from rental activities, in MEUR 25.3 20.4 4.9 24.3%
EBITDA from rental activities, in MEUR 18.0 14.4 3.6 25.1%
EBITDA, in MEUR 18.8 15.1 3.7 24.2%
FFO 1 from rental activities
13.1 9.4 3.7 39.6%
FFO 1 per share, EUR 0.30 0.27 0.03 11.1%
FFO 2 (incl. disposal results),
13.9 10.1 3.8 37.4%
  31.03.17 31.12.16    
EPRA NAV, in MEUR 1,601 1,591 10 0.6%
EPRA NAV per share, EUR 36.31 36.08    
LTV, percent 33.8% 31.4%    
Residential units 17,776 17,701 75 0.4%
Portfolio value, MEUR 2,349 2,326 23 2.0%
In-place-rent residential EUR/sqm/month 6.17 6.11    
Vacancy rate residential percent 2.7% 2.5%    
Maintenance and CAPEX, EUR per sqm 25.4 28.1    

Definitions of our alternative performance measures like FFO1 or EPRA NAV are available in our latest financial report http://investors.ado.immo/websites/ado/English/4010/reports.html in the Financial Performance Indicators section.

About ADO Properties

ADO Properties is a pure-play, Berlin-based residential real estate company with 18,800 units. The Company has a fully integrated, scalable in-house platform with its own property management. Along with the responsibility for the condition of its apartments and buildings, ADO Properties also assumes responsibility towards people, employees, and neighborhoods. ADO Properties' portfolio is focused on central locations in Berlin and attractive suburban districts.

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The issuer is solely responsible for the content of this announcement.

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Language: English
Company: ADO Properties S.A.
1B Heienhaff
L-1736 Senningerberg
Phone: +352 26 493 412
Fax: +352 27 860 722
E-mail: ir@ado.properties
Internet: www.ado.immo
ISIN: LU1250154413
WKN: A14U78
Indices: SDAX, FTSE EPRA/NAREIT Global Index, FTSE EPRA/NAREIT Developed Europe Index, FTSE EPRA/NAREIT Germany Index
Listed: Regulated Market in Frankfurt (Prime Standard); Regulated Unofficial Market in Dusseldorf, Stuttgart, Tradegate Exchange

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