DGAP-News: Godewind Immobilien AG
/ Key word(s): Annual Results/Real Estate
Strong operating performance leads to significant increase of all key performance indicators in 2019
24.03.2020 / 10:25
The issuer is solely responsible for the content of this announcement.
Strong operating performance leads to significant increase of all key performance indicators in 2019 - Value of the office property portfolio increases by EUR 795 million to EUR 1,096 million by the end of 2019
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EPRA Net Asset Value (EPRA NAV) reaches EUR 6.10 per share at year-end
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FFO increases significantly to EUR 8.9 million
Frankfurt am Main, 24 March 2020 - Godewind Immobilien AG (ISIN: DE000A2G8XX3, trading symbol: GWD, Godewind), a company specializing in German office properties, continued to successfully implement its business model, which is designed for earnings-enhancing expansion, in financial year 2019. This is reflected in the current annual financial report as of 31 December 2019.
Expansion of the profitable office portfolio
In the 2019 financial year, Godewind concluded six purchase agreements for office properties with a gross acquisition value of around EUR 557 million, compared with EUR 278 million in the previous year, and set a new transaction record. The portfolio as of 31 December 2019 thus increased to a total of ten office property complexes. The value of the total portfolio as of 31 December 2019 was around EUR 1,096 million. The goal of using the proceeds from the IPO in 2018 to build up a profitable and substantial portfolio with significant growth potential has thus been achieved. Godewind has thus come much closer to its medium-term intention of expanding its office property portfolio to around EUR 3 billion.
The EPRA Net Asset Value (EPRA NAV) at the end of the 2019 financial year was EUR 654.7 million or EUR 6.10 per share, compared to EUR 396.4 million or EUR 3.65 per share at the end of the 2018 financial year, and the net LTV was 44.4 percent as of 31 December 2019.
Consolidated net income reached around EUR 187.8 million at the end of the 2019 financial year. Income from letting acticities for the past financial year amounted to around EUR 40.8 million, compared with EUR 0.7 million in 2018. Funds from operations (FFO) amounted to approximately EUR 8.9 million compared to EUR -3.8 million as of 31 December 2018. It should be noted that, on the one hand, some newly concluded rental agreements have not yet been recognised as income and, on the other hand, the income from the six properties acquired in the course of 2019 has only been included in the current business figures on a pro rata basis. The goal of significantly reducing vacancies at attractive rents and extending rental periods was also achieved. At the same time, the annualised net rental income increased significantly from EUR 10.0 million as of 31 December 2018 to EUR 32.1 million at the end of 2019. The pro-forma office vacancy rate - including rental agreements not yet recognised in the income statement - was reduced from originally more than 26 percent to less than 10 percent and the average pro-forma lease term (WALT) was extended from 4.2 to 7.3 years.
Takeover offer from Covivio X-Tend AG and planning for 2020
In an adhoc release dated 13 February 2020, the conclusion of a business combination agreement between Godewind and Covivio X-Tend AG, an indirect subsidiary of Covivio S.A. Metz (Covivio) was announced. Covivio intends to make a voluntary public takeover offer to the shareholders of Godewind Immobilien AG for 100% of the share capital of Godewind. According to the announced terms of the takeover offer, each shareholder will receive EUR 6.40 per share in cash. The takeover bid is to be submitted as a delisting offer. Due to the business combination agreement, the current planning for the financial year 2020 is therefore based exclusively on the existing portfolio. FFO I earnings should be in a range of EUR 17 million to EUR 21 million by the end of 2020. A further increase in EPRA NAV is expected by the end of the 2020 financial year compared to the previous year. The annualized net rental income is expected to increase to EUR 33.5 million to EUR 35.5 million. An increase in WALT is also expected as a result of extensions to existing rental agreements and long-term new contracts for vacant space. Due to the planned takeover by Covivio, no additional personnel will be hired. If the underlying assumptions do not materialise or other extraordinary developments occur, the forecast may differ substantially from the actual results. Deviations from planning can arise in particular as a result of changes in the property portfolio (purchases or sales) or expenses exceeding the planned level, such as loss of rent, management costs or interest. In addition, decisions by the new parent company that are relevant to forecasting could lead to deviations.
IFRS consolidated key figures | |
| 1.1. - 31.12.2019 | 1.1. - 31.12.2018 |
EARNINGS INDICATORS |
|
|
| | Income from letting activities |
in TEUR |
40,766 |
712 | | Net operating income from letting activities |
in TEUR |
22,998 |
577 | | Gains/losses from property valuation |
in TEUR |
214,321 |
10,756 | | EBITDA |
in TEUR |
12,444 |
-6,838 | | Consolidated net income |
in TEUR |
187,762 |
10,128 | | FFO I |
in TEUR |
8,903 |
-3,769 | | FFO I per share |
in EUR |
0.08 |
-0.04 | | EPRA earnings |
in TEUR |
46,073 |
2,205 | | EPRA earnings per share |
in EUR |
0.43 |
0.03 | | Earnings per share, basic |
in EUR |
1.73 |
0.11 | | Earnings per share, diluted |
in EUR |
1.70 |
0.11 |
KEY BALANCE SHEET METRICS (FIGURES) |
|
31.12.2019 |
31.12.2018 | | Investment property |
in TEUR |
1,096,037 |
300,905 | | Cash and cash equivalents |
in TEUR |
24,769 |
157,745 | | Balance sheet total |
in TEUR |
1,132,443 |
503,054 | | Equity (incl. non-controlling interests) |
in TEUR |
582,931 |
397,251 | | Equity ratio |
in % |
51.48 |
78.97 | | Net debt |
in TEUR |
486,440 |
-59,390 | | Net Loan-to-Value (Net LTV) |
in % |
44.4 |
-19.7 | | EPRA NAV |
in TEUR |
654,705 |
396,394 | | EPRA NAV per share |
in EUR |
6.10 |
3.65 | | EPRA NNNAV per share |
in EUR |
5.38 |
3.62 |
SELECTED PORTFOLIO KEY PERFORMANCE INDICATORS |
|
31.12.2019 |
31.12.2018
| | Property value pursuant to IAS 40 |
in TEUR |
1,096,037 |
300,905 | | Number of properties |
|
10 |
4 | | Lettable area |
in m² |
293,406 |
96,655 | | Annualised 'topped-up' rental income |
in TEUR |
41,576 |
13,657 | | Gross initial yield |
in % |
3.79 |
4.54 | | EPRA vacancy rate |
in % |
21.1 |
32.3 | | Loan-to-Value (LTV) of portfolio |
in % |
46.6 |
29.1 | | WALT |
in years |
5.2 |
4.2 | | Average rent |
in EUR/m² |
15.27 |
15.98 |
About Godewind Immobilien AG
Godewind Immobilien AG, headquartered in Frankfurt am Main, is a company specialising in German office real estate. The company focuses on building and extending an attractive real estate portfolio in the growth areas of Germany. As an active portfolio and asset manager, Godewind strives for sustainable increases in earnings and income, which are supplemented by the regular realisation of added value potential. Godewind currently has an office property portfolio of around 1.1 billion euros. In the medium term, the aim is to build a commercial real estate portfolio of around three billion euros with the help of the company's wide-ranging network and by means of value-added acquisitions.
Based on internal portfolio and asset management, Godewind Immobilien AG will manage commercial real estate cost-efficiently, conclude long-term rental agreements and thus increase the value of the company. The company has loss carryforwards for corporation and trade tax purposes and a tax deposit account. The Godewind Immobilien AG shares are listed in the SDAX and in the highest transparency level of Deutsche Börse AG, Prime Standard, and are traded in the XETRA market segment of the Frankfurt Stock Exchange (FWB), among others.
For further information please visit https://www.godewind-ag.com.
Contact Details
Investor Relations Contact
Gunnar Janssen
Godewind Immobilien AG
Phone +49 69 27 13 97 32 13
E-mail g.janssen@godewind-ag.com
Press Contact
Jan Hutterer
Kirchhoff Consult AG
Phone +49 40 60 91 86 65
E-mail godewind-ag@kirchhoff.de
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