DGAP-News 435 0 Kommentare WCM Beteiligungs- und Grundbesitz-AG: WCM increases results in Q1 2017 and continues with portfolio expansion

DGAP-News: WCM Beteiligungs- und Grundbesitz-AG / Key word(s): Quarter Results/Real Estate

WCM Beteiligungs- und Grundbesitz-AG: WCM increases results in Q1 2017 and continues with portfolio expansion

15.05.2017 / 20:15

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

WCM increases results in Q1 2017 and continues with portfolio expansion

- Rental income rises to EUR10.8m (prev. year: EUR7.7m)

- GAV amounts to EUR796.3m

- Projections for business year 2017 confirmed

Frankfurt, 15 Mai 2017 - WCM Beteiligungs- und Grundbesitz-AG (WCM, ISIN: DE000A1X3X33) has started successfully into business year 2017. All important financial figures and portfolio KPIs continued to improve.

Rental income and NAV were increased significantly

The rental income for the first three months of 2017 rose by 41 per cent to EUR10.8m versus EUR7.7m in Q1 2016. The funds from operations (FFO I) were also significantly higher at EUR5.8m in comparison to the EUR4.4m in the comparable period of the previous year. The EPRA Net Asset Value (NAV) was raised to EUR371.8m or EUR2.75 per share compared to EUR345.4m or EUR2.62 per share at the 31 December 2016.

Positive development of the portfolio continues

In the first three months WCM successfully closed two sizeable transactions, already. Effective 1 February 2017 in Jena, Thuringia a retail centre was acquired. The retail centre comprises a total rental space of around.12,300 square metres for a purchase price of EUR21.0m. The acquisition is financed through a mandatory convertible, subscribed by the vendor, under which 2.1 million new shares will be issued. The remaining amount was settled with EUR 1.6 million in cash and by taking over an already existing EUR 13.0 million loan.

In addition the EUR98.2m acquisition of three retail centres in the federal states of Baden-Wuertemberg and Saxony-Anhalt with a total rental space of approximately 88,330 square metres was closed successfully at the end of March.

Accordingly the total value of WCM's portfolio as of 31 March 2017 amounted to EUR796.3m compared to EUR662.1m on the 31 December 2016.

The EPRA vacancy rate reached a low 4.9 per cent as per 31 March 2017 and the weighted average lease time (WALT) with 8.1 years remained on a high level. The average cost of debt decreased even further from 2.0 per cent at the end of 2016 to 1.9 per cent as of 31 March 2017.

Guidance confirmed, exceptional perspectives due to envisaged transaction with TLG

In combination with the release of the positive Q1 report the Management Board reiterates the forecasts regarding FFO and rental income for 2017.

On the back of the published results, the company expects the 2017 FFO to range between EUR23m to EUR24m. Rental income is expected to rise to EUR42m and EUR44m.

The Management Board and the Supervisory Board will also seek to propose to the shareholders at the 2018 AGM the payment of an attractive dividend for the current financial year, again.

In addition, on 10 May 2017, TLG Immobilien AG has submitted a takeover bid to the shareholders of WCM. Combined, both companies will emerge as the leading stock listed commercial real estate specialist in Germany. Together the group will exploit the opportunities of the German office-, retail- and hotel-property market even more efficiently and transform these into profitable growth.

Stavros Efremidis, CEO of WCM AG: "The start into the new business year has been very positive for us. We were able to increase the gross asset value and the financial results already in the first three months significantly. Our several inhouse asset management activities as well as the accretive acquisitions in Q1 have contributed to this. Through the proposed transaction of WCM and TLG we want to lay the foundation for further successful growth."

The complete quarterly report as well as the company presentation is available at www.wcm.de in the Investor Relations section.

WCM Key IFRS Figures

Earnings position (in kEUR)	1 January - 31 March 2017	1 January - 31 March 2016	Absolute Change	Change in %

Rental income	10,849	7,764	3,175	41.4
Net operating income	9,966	7,156	2,810	39.3
Net income	14,970	1,730	13,240	>100
FFO I	5,782	4,381	1,401	32.0
FFO I per share (in EUR)	0.04	0.04	0	0
FFO II	5,782	4,864	918	18.9
FFO II per share (in EUR)	0.04	0.04	0	0
EPRA Earnings	4,576	2,116	2,460	>100
Earnings per share, undiluted (in EUR)	0.09	0.01	0.08	>100
Earnings per share, diluted (in EUR)	0.08	0.01	0.07	>100


WCM Key Balance Sheet Ratios (in kEUR)	31 March 2017	31 December 2016	Absolute Change	Change in %

Investment properties	796,303	662,073	134,230	20.3
Total assets	869,682	710,273	159,409	22.4
Shareholder's equity (incl. minorities)	337,647	315,933	21,714	6.9
Financial liabilities	482,743	361,864	120,879	33.4
EPRA NAV	371,800	345,366	26,434	7.7
EPRA NAV per share (in EUR)	2.75	2.62	0.14	5.3
EPRA NNNAV per share (in EUR)	2.50	2.39	0.11	4.5

Key Portfolio Figures	31 March 2017	31 December 2016
Number of assets	57	53
Lettable area	426,357m²	324,031m²
Annualised rental income in kEUR	47,500	38,300
EPRA net initial yield (NIY) in %	5.1	5.1
EPRA vacancy rate in %	4.9	3.8
Net loan-to-value in %	56.6	53.1
Weighted Average remaining lease time (WALT)	8.1	8.9
Average cost of debt	1.9	2.0

Divided by Segments	Office	Retail
Number of assets	12	45
Lettable area	113,985 m²	312.372 m²
Annualised rental income in kEUR	18,209	29,243
EPRA vacancy rate in %	7.8	3.1
Weighted Average remaining lease time (WALT)	8.0	8.1

About WCM AG

WCM Beteiligungs- und Grundbesitz-AG (WCM AG), with headquarters in Frankfurt am Main, is a specialised commercial real estate company. As a real estate proprietor, the focus is on long-term rental of high-quality office and retail properties in the major office locations in Germany. Since the operational restart in 2014, WCM AG has focused on an extensive network for the acquisition of properties as well as on value-creating asset management, in order to generate attractive long-term rental income and a steady cash flow. The portfolio has a gross asset value of around EUR800m. Shares of WCM AG are listed in the Prime Standard of Deutsche Boerse AG and are included in the SDAX index since 21 December 2015.

Investor Relations:

Gunnar Janssen

Investor Relations

WCM Beteiligungs- und Grundbesitz-AG

+49 69 963 7319 10
g.janssen@wcm.de
www.wcm.de

Press contact:

edicto GmbH

Axel Mühlhaus/ Dr. Sönke Knop

Eschersheimer Landstraße 42

60322 Frankfurt am Main

+49 (0) 69-905505-51
wcm@edicto.de

15.05.2017 Dissemination of a Corporate News, transmitted by DGAP - a service of EQS Group AG.
The issuer is solely responsible for the content of this announcement.

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Language:	English
Company:	WCM Beteiligungs- und Grundbesitz-AG
	Bleichstr. 64-66
	60313 Frankfurt am Main
	Germany
Phone:	+49 (0)69 963 7319-10
Fax:	+49 (0)69 963 7319-20
E-mail:	g.janssen@wcm.de
Internet:	www.wcm.de
ISIN:	DE000A1X3X33
WKN:	A1X3X33
Listed:	Regulated Market in Frankfurt (Prime Standard), Hamburg, Stuttgart; Regulated Unofficial Market in Munich, Tradegate Exchange