DGAP-News

IMMOFINANZ confirms results: First quarter 2014/15 with solid operational performance, but negatively affected by FX-related revaluations - Seite 2

volatility in our income statement from time to time. However, it is
important to note that these are non-cash positions", explained Eduard
Zehetner, CEO of IMMOFINANZ Group.

Excluding the negative non-cash effects from exchange rates and
derivatives, Group net profit for the first quarter of 2014/15 equals EUR
47.6 million. This represents a 3.7% increase over the first quarter of
2013/14 (EUR 45.9 million).

Recurring free cash flow (FFO) amounted to EUR 47.7 million for the
reporting period, which represents an annualised FFO yield after tax of
11.4%.*

An additional factor is that the proportional share of quarterly results
for the BUWOG Group, in which IMMOFINANZ holds an investment of 49%, are
not included in first quarter earnings because BUWOG announces its
quarterly results after IMMOFINANZ Group. This timing difference in the
preparation of financial statements will lead to a one quarter shift in the
inclusion of BUWOG's quarterly results in IMMOFINANZ Group's earnings.
Therefore, the initial inclusion will take place in the second quarter of
2014/15, when the proportional share of BUWOG results for the first quarter
of 2014/15 is taken into account.

Rental income declined to EUR 117.6 million during the first quarter of
2014/15 (Q1 2013/14: EUR 126.1 million) following the sale of properties.
The results of property sales improved from EUR -0.9 million in the
previous year to EUR 7.3 million. The results of property development
declined from EUR 3.3 million to EUR -2.0 million. Accordingly, the results
of operations fell by 6.5% to EUR 90.9 million (Q1 2013/14: EUR 97.2
million).

Despite the negative results recorded for the first quarter, net asset
value per share rose slightly to EUR 4.57 as of 31 July 2014 (30 April
2014: EUR 4.56). The book value per share equalled EUR 4.21 as of 31 July
2014 (30 April 2014: EUR 4.19).


OUTLOOK:

"Our plans for 2014/15 include the repayment of the financing with treasury
shares (approx. EUR 150.0 million) as well as the so-called equity bridge
(EUR 260.0 million), which represents the financing we concluded for the
full subscription of the BUWOG convertible bond", indicated Eduard
Zehetner, CEO of IMMOFINANZ. "That will lead to a substantial reduction in
financing costs. The repayment of the financing that involved the use of
treasury shares as collateral will also allow for the cancellation of these
shares." With respect to the BUWOG convertible bond that was subscribed by
IMMOFINANZ, BUWOG is entitled to call and repay the bond in full by the end
of January 2015. BUWOG management has already announced that it will most
probably exercise this option.