PATRIZIA SE
DGAP-News: PATRIZIA AG
/ Key word(s): Annual Results/Share Buyback
PATRIZIA Annual Report 2019 published - Second increase in dividend per share in a row - DPS to rise 7.4% to EUR 0.29 per share - Continued strong balance sheet and increased available liquidity allow for strategic and financial flexibility - share buy-back programme with a volume of up to EUR 50.0m - Full financial results for FY 2019 confirm preliminary results published mid-February 2020 - Operating income of EUR 134.5m exceeds guidance range of EUR 120.0m to 130.0m - New equity entrusted to PATRIZIA by existing and new investors increased 24.6% y-o-y to EUR 3.2bn with multiple new domestic and international clients - Record level in transaction volume (signed) of EUR 9.0bn (+32.6% y-o-y) and transaction volume (closed) of EUR 7.6bn (+45.8% y-o-y) in numerous thematic investment strategies - Assets under Management (AUM) increased to EUR 44.5bn, up 8.4% y-o-y - Operating income guidance for 2020 of EUR 120.0m to 140.0m implies further growth in recurring management fees - final impact assessment of Covid-19 not possible at this stage - Despite the volatile environment due to Covid-19, PATRIZIA is well positioned strategically and operationally - business continuity is ensured Augsburg, 18 March 2020. PATRIZIA AG, the global partner for pan-European real estate investment, recorded an operating income of EUR 134.5m in 2019, exceeding the FY 2019 guidance of EUR 120.0m to 130.0m. Based on the solid increase in management fees by 8.8% to EUR 190.9m, and continued growth in AUM to EUR 44.5bn, the Management Board proposes its shareholders a dividend of EUR 0.29 per share for FY 2019. This is the second increase in dividends in a row and implies 7.4% growth y-o-y. Further to the continued rise in management fees, transaction fees were up 24.8% to EUR 65.3m while performance fees remained on continued high levels (down 0.7% y-o-y to EUR 91.8m). Cost growth (up 8.1% y-o-y to EUR 227.2m, adjusted for non-capitalised technology expenses up 4.5% y-o-y) remained below the growth of total service fee income (up 8.7% y-o-y to EUR 348.0m). Karim Bohn, CFO of PATRIZIA AG, said: "PATRIZIA has a strong and resilient business model with a rock-solid balance sheet and predictable earnings. The strong cash generation in 2019 increased PATRIZIA's financial flexibility to over EUR 600m. Accompanied by a net equity ratio of 75.7%, we are well prepared for the changed economic environment and will use this strength to add further value to our clients and shareholders." Wolfgang Egger, CEO of PATRIZIA AG, says: "Over the last 35 years we have built up a leading position in the European investment management market. Our diversified and long-term committed AUM base gives us a solid and resilient position in these times of uncertainty. Real assets investment management is more than ever a structural growth market. Leading our clients through long-term structural changes such as digitalisation and technology, but also through the extraordinary situation that we are currently experiencing is at the heart of our corporate strategy." Outlook for 2020 confirmed In 2020 PATRIZIA expects a significantly lower revenue contribution from phase-out sale of principal investments and co-investment income - fully in line with strategy. The guidance therefore implies continued organic growth in total service fee income - especially management fees - and lower net operating expenses, further improving the quality of earnings. Further details on FY 2019: Strong position in European transaction market In total, PATRIZIA signed EUR 5.5bn of acquisitions in 2019, an increase of 60.5% on the prior year (2018: EUR 3.4bn) and EUR 3.5bn of disposals, up 4.1% (2018: EUR 3.3bn). Total transaction volume in Europe declined slightly by 2.4% y-o-y from EUR 315.2bn in 2018 to EUR 307.7bn in 2019, confirming market share gains for PATRIZIA. Equity entrusted to PATRIZIA and number of institutional clients increased PATRIZIA added more than 20 new institutional domestic and international investors to its client base during 2019, bringing the total to over 400. At the same time 73.1% of equity entrusted to PATRIZIA during 2019 came from investors with multiple fund investments on PATRIZIA's platform. Share buy-back programme: The treasury shares to be acquired as a result of the share buyback programme may be used for all legally permitted purposes, in particular also as (partial) consideration within the scope of business combinations or for the acquisition of companies, interests in companies or parts of companies. The share buyback programme is financed from available liquidity, which has again increased significantly compared to the previous year (EUR 506.9m) to EUR 607.0m as at 31 December 2019.
1) FY 2019 includes non-capitalised technology expenses of EUR 7.6m, net operating expenses guidance for FY 2020 adjusted for non-capitalised technology expenses of EUR 11.6m
PATRIZIA AG:
18.03.2020 Dissemination of a Corporate News, transmitted by DGAP - a service of EQS Group AG. | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Language: | English |
| Company: | PATRIZIA AG |
| Fuggerstraße 26 | |
| 86150 Augsburg | |
| Germany | |
| Phone: | +49 (0)821 - 509 10-000 |
| Fax: | +49 (0)821 - 509 10-999 |
| E-mail: | investor.relations@patrizia.ag |
| Internet: | www.patrizia.ag |
| ISIN: | DE000PAT1AG3 |
| WKN: | PAT1AG |
| Indices: | SDAX |
| Listed: | Regulated Market in Frankfurt (Prime Standard); Regulated Unofficial Market in Berlin, Dusseldorf, Hamburg, Hanover, Munich, Stuttgart, Tradegate Exchange |
| EQS News ID: | 1001193 |
| End of News | DGAP News Service |
1001193 18.03.2020
