UBM Development AG

On record course with 30% earnings increase - Seite 2

Successful optimisation of financial indicators
Net debt totalled only EUR 329.7m as of 30 September 2018 and was EUR 148.1m lower than at the beginning of the year. This reduction was supported by the high level of sales during the reporting period as well as the cash inflow from the issue of a hybrid bond which is attributable to equity (net effect of EUR 50m after the repayment of EUR 50m in mezzanine capital to PORR). Equity totalled EUR 420.5m as of 30 September 2018, and the equity ratio equalled 37.3%. With EUR 178.3m of liquid funds, UBM has a comfortable cash position which - combined with the very low level of debt - will allow for future investments in new projects that will already be reflected in fourth quarter figures.

Outlook on 2018: record year
Based on the development of business in the first three quarters of 2018, UBM expects Total Output and earnings will exceed 2015, the previous record year in the company's history. The Management Board confirms the guidance for 2018 with Total Output of over EUR 750m, profit before tax (EBT) of over EUR 50m and net profit of more than EUR 5 per share.

Key performance indicators:

Key earnings figures (in EURm)	Q1-3 2018	Q1-3 2017	Change
Total Output*	670.1	529.7	26.5%
Revenue	446.9	296.9	50.5%
EBT	35.4	30.5	15.8%
Net profit	27.8	21.7	27.9%

Key asset and financial figures (in EURm)	30.9.2018	31.12.2017	Change
Total assets	1,128.4	1,130.9	-0.2%
Equity	420.5	355.4	18.3%
Equity ratio (in %)	37.3%	31.4%	5.9 PP
Net debt	329.7	477.9	-31.0%

Key share data and staff	30.9.2018	30.9.2017	Change
Earnings per share (in EUR)	3.66	2.81	30.0%
Share price	40.30	38.64	4.3%
Market capitalisation (in EURm)	301.1	288.7	4.3%
Staff**	678	773	-12.3%

*Total Output corresponds to the revenue generated by fully consolidated companies and companies consolidated at equity as well as the sale proceeds from share deals in proportion to the stake held by UBM.