DGAP-News

Deutsche EuroShop: Third-quarter results broadly as expected

DGAP-News: Deutsche EuroShop AG / Key word(s): 9-month figures/Interim
Report
Deutsche EuroShop: Third-quarter results broadly as expected

12.11.2015 / 18:00

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Deutsche EuroShop: Third-quarter results broadly as expected

- Revenue: EUR151.0 million, EBIT: EUR131.0 million

- EBT before measurement: EUR93.9 million (+3.3%)

- Earnings per share: EUR1.37 (+6.2%)

- FFO: EUR1.68 per share (+2.4%)

- Update for 2015 estimate and small adjustment to 2016 forecast


Hamburg, 12 November 2015 - Business operations for the first nine months
were in line with management expectations at Deutsche EuroShop. The
shopping center investor recorded net operating income of EUR135.9 million
(unchanged) and a 0.9% decrease in EBIT (EUR131.0 million) - primarily
because of one-off costs - on revenues of EUR151.0 million (+0.9% year on
year).

A EUR4.5 million improvement in the financial result meant that earnings
before taxes and measurement (EBT before measurement) rose from EUR90.0
million to EUR93.9 million (+3.3%). "The EUR2 million reduction in interest
expense had a significant positive effect on net finance costs. In
addition, a valuation effect from interest rate hedging contributed to the
increase in earnings," said Wilhelm Wellner, CEO.

Consolidated profit increased by 5.9% year on year to EUR73.6 million.
Earnings per share rose to EUR1.37, while EPRA earnings per share were 3.7%
higher at EUR1.41. Funds from operations (FFO) improved by 2.4%, from
EUR1.64 to EUR1.68 per share.

Our forecast for financial year 2015 was originally based, among other
things, on an expectation that inflation would average 1.0%. The actual
annual inflation rate for 2015 to date (January to September) is only 0.3%.
Nonetheless, the Executive Board maintains its forecast, with the exception
of operating profit before interest and taxes (EBIT), and expects a result
at the lower end of its target range. Because of one-off factors affecting
other operating expenses and slightly higher property costs, we anticipate
an EBIT result that is somewhat below the previous range:

- Revenue: EUR201 to 204 million

- Earnings before interest and taxes (EBIT): EUR175 to 178 million
(previously: EUR177 to 180 million)

- Earnings before taxes (EBT) excluding valuation gains/losses: EUR126 to
129 million

- Funds from operations (FFO) per share: EUR2.24 to EUR2.28

Based on the forecast for the current financial year and in particular
against the backdrop of changes to the baseline data for the inflation