FRANKFURT (dpa-AFX) - Real estate group Dic Asset narrowly achieved its earnings targets last year. For 2023, however, the management expects a decline in earnings. Dic Asset justified this with the more difficult conditions in the market for real estate investments. In view of the changed interest rate environment and the still unclear effects of a weaker economy on real estate demand in Germany, especially in the first half of the year, delays in purchases and sales are to be expected, as the commercial real estate specialist announced on Wednesday evening after trading hours in Frankfurt. In the dividend policy, however, Dic wants to rely on continuity and continue to distribute at least 50 percent of the operating profit.

Baader Bank analyst Andre Remke considers this dividend level too high in view of the debt level. In addition, the refinancing of the bridge loan for the purchase of VIB has not yet been addressed. Dic had secured a majority stake in VIB Vermögen last year. Dic's shares, which are listed on the SDax, rose by two and a half percent on Thursday morning, thus maintaining the level of the previous days.

In the new year, the operating profit measured by the Funds from Operations (FFO) indicator established in the real estate sector is expected to fall to between 90 and 97 million euros, which is significantly below the previous year. According to analyst Remke, this is one fifth below the experts' estimate. He continues to see the real estate transaction market in difficult waters. According to Dic, 2023 will probably see a decline primarily in transaction-related management fees in the institutional business.

Last year, operating profit FFO rose by around seven percent to 114.2 million euros. This was at the lower end of the range of 114 million to 117 million euros, which was revised downward in November. Assets under management reportedly rose to a record 14.7 billion euros. Dic Assets plans to pay its shareholders a dividend at the previous year's level of 0.75 euros per share. Based on the current share price level of just under nine euros, this corresponds to a dividend yield of more than eight percent./nas/lew/mis/stk