DGAP-News

Deutsche Wohnen AG: Annual result as at 31 December 2014 - Portfolio strategy is paying off

DGAP-News: Deutsche Wohnen AG / Key word(s): Final Results
Deutsche Wohnen AG: Annual result as at 31 December 2014 - Portfolio
strategy is paying off

26.03.2015 / 07:04

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Annual result as at 31 December 2014

Deutsche Wohnen: Portfolio strategy is paying off

- Market dynamics in Core+ regions lead to portfolio appreciation by EUR
953 million
- FFO I up by 90% to EUR 217.6 million; FFO II improved by 96% to EUR 270
million
- EPRA NAV per share up by 25% to EUR 18.10
- Dividend raised by 29% to EUR 0.44 per share
- FFO I forecast of at least EUR 250 million for 2015

Frankfurt/Main and Berlin, 26 March 2015. In the financial year 2014,
Deutsche Wohnen achieved a significant leap in earnings with a Group profit
of EUR 889.3 million (previous year: EUR 212.7 million). "In operational
terms, the increase is mainly attributable to the fact that GSW was
consolidated for the entire year. Furthermore, with our focus on Core+
regions, we are benefitting to an above-average extent from lower
anticipated returns and the associated appreciation in the value of our
properties in 2014," explains Lars Wittan, Chief Investment Officer (CIO)
of the company.

In the reporting year Funds from Operations (FFO I) increased by 90% to EUR
217.6 million (previous year: EUR 114.5 million). Calculated per share, FFO
I rose by approximately 17% to EUR 0.76. Taking disposals into
consideration, FFO II improved by 96% to EUR 270 million (previous year:
EUR 137.5 million), and per share by approximately 21% to EUR 0.94. The
Loan-to-Value Ratio fell to 51.0% as at the reporting date (31 December
2013: 57.4%). EPRA NAV (undiluted) rose significantly in comparison to the
previous year to EUR 18.10 per share (31 December 2013: EUR 14.51 per
share).

Significant increase in operating results

As at 31 December 2014, the portfolio of Deutsche Wohnen comprised 149,168
residential and commercial units with a fair value of approximately EUR
10.0 billion. The in-place rent across the whole portfolio was EUR 5.69 per
sqm as at the reporting date, with a vacancy rate of 2.2%.

In the reporting year, it was possible to increase the gross rental income
to EUR 626.3 million (previous year: EUR 372.9 million), with an operating