Immofinanz Group generated sound growth in rental income and earnings in the first quarter of 2024. Rental income rose by 11.5% year-on-year to €143.2 million. After an adjustment for new acquisitions, completions and sales, the like-for-like rental income recorded by Immofinanz (excluding S Immo) rose by 6.4%. The results of asset management increased by 14.3% over the previous year to €120.0 million and the results of operations improved by a strong 26.4% to €104.3 million. FFO 1 after tax was 23.5% higher at €69.7 million (Q1 2023: €56.4 million).
“Our start into 2024 was very successful with substantial growth in all relevant indicators and a more than twofold increase in Group net profit. This strong development was supported by the expansion of our portfolio in the previous year to include higher yield retail properties and higher like-for-like rental income that resulted from our asset management. Our strategy has once again proven to be resilient and value-creating in this still challenging environment and we intend to continue this course consequently“, commented Radka Doehring, member of the Executive Board of Immofinanz, on the development of business.
Revaluations (including property development and property sales) totalled €-9.9 million, compared with €-9.1 million in the first quarter of 2023 and continue to reflect the challenging market environment. Financial results were at €-22.3 million (Q1 2023: €-48.5 million). Net profit more than doubled to €49.7 million and earnings per share rose to €0.35 (Q1 2023: €0.16).
High occupancy rate and portfolio optimisation
Immofinanz Group’s property portfolio included 505 properties as of 31 March 2024 with a combined value of €8.1 billion. Of this total, €7.8 billion represents standing investments with combined rentable space of 3.5 million sqm and a gross return of 7.2%. The occupancy rate remained high at 92.1%.
Immofinanz Group continued its strategic property sales during the first quarter of 2024 with a volume that totalled €91.8 million (including S Immo). Other portfolio optimising transactions were completed after the reporting period: S Immo acquired a €463 million portfolio in the Czech Republic from the CPI Property Group, and Immofinanz sold the City Tower Vienna (Justizzentrum Wien Mitte) office building to a German investor in May 2024. This latter transaction is the largest to date this year on the Vienna office market with a sale price of more than €150 million.
