DGAP-News: PREOS Real Estate AG with profitable growth in the first half of 2019
DGAP-News: PREOS Real Estate AG
/ Key word(s): Half Year Results/Real Estate
PREOS Real Estate AG with profitable growth in the first half of 2019
22.10.2019 / 14:30
The issuer is solely responsible for the content of this announcement.
Press Release
PREOS Real Estate AG with profitable growth in the first half of 2019
Leipzig, 22 October 2019 - PREOS Real Estate AG ("PREOS", ISIN DE000A2LQ850) grew profitably in the first half of 2019. The currently expanding real estate portfolio was further enlarged by the acquisition of an office building in Oberhausen. The rental income of the entire portfolio already amounted to around EUR 2.7 million in the reporting period. Almost no rental income was generated in the same period of the previous year, as the company did not begin the dynamic expansion of its real estate portfolio until the second half of 2018. Earnings before interest and taxes, EBIT, amounted to EUR 3.0 million in the first half of 2019, compared with EUR -0.7 million in the pro forma prior-year period. Consolidated earnings after taxes in the first half of 2019 turned to EUR 0.3 million after a pro forma loss of EUR 0.7 million a year earlier.
The reported figures naturally do not yet include the effects of the contribution of publity Investor GmbH to PREOS. As a result of this transaction, the value of the real estate portfolio in the PREOS Group has multiplied and PREOS gains access to the attractive market segment of high-priced commercial properties with market values between EUR 40 million and EUR 300 million. The real estate pipeline enables PREOS to expand its real estate portfolio to over one billion euros by the end of the year.
In operational terms, PREOS will focus on the further successful integration of publity Investor GmbH and its extensive real estate portfolio in the coming months. The focus will continue to be on active work with the real estate portfolio, which also manifests itself in the exploitation of market opportunities both in the purchase and sale of properties. For example, in autumn 2019 publity Investor GmbH succeeded
in profitably selling the St. Martin Tower in Frankfurt a.M. with around 26,000 square metres of rentable space to renowned real estate investors after only a few months. Furthermore, an attractive office building with approx. 17,000 square metres was purchased in Eschborn near Frankfurt.
Frederik Mehlitz, CEO of PREOS Real Estate AG: "We are satisfied with the first half of 2019. After the balance sheet date, our company entered a new dimension in terms of size and market access by bringing in publity Investor GmbH. We now intend to continue to exploit the resulting opportunities as a relevant and active player in the German office real estate market, increasing the value for our shareholders".
About PREOS Real Estate AG
PREOS Real Estate AG ("PREOS") is an active real estate investor focused on office properties. PREOS acts as an efficient management holding company. The acquisition focuses on office properties with development potential in German metropolitan regions. Value creation is generated by targeted asset management measures. Developed portfolio properties are sold in the event of adequate sales opportunities. The corporate strategy is to significantly expand the real estate portfolio through acquisitions in the coming years. The PREOS share (ISIN DE000A2LQ850) is listed in the over-the-counter segment m:access of the Munich Stock Exchange (PAG.MU) and on Xetra (PAG.DE). The company headquarters of PREOS is located in Leipzig.
Investor & Public Relations
edicto GmbH
Axel Mühlhaus
Eschersheimer Landstraße 42
60322 Frankfurt am Main
Phone +49(0) 69/905505-52
Mail: preos@edicto.de
Disclaimer
This publication may contain future-oriented statements. Future-oriented statements are all statements that do not refer to historical facts or events. This applies in particular to statements about the intentions, beliefs or current expectations of the Company with respect to its future financial performance, plans, liquidity, prospects, growth, strategy and profitability as well as the economic environment in which the company operates. The future-oriented statements are based on current estimates and assumptions made by the company to the best of its knowledge. However, such forward-looking statements are subject to risks and uncertainties because they relate to future events and are based on assumptions that may not occur in the future. The company is not obliged to update or modify the future-oriented statements contained in this publication to reflect events or circumstances occurring after the date of this publication, unless they contain insider information subject to publication requirements.
22.10.2019 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.
The DGAP Distribution Services include Regulatory Announcements, Financial/Corporate News and Press Releases.
Archive at www.dgap.de
End of News DGAP News Service
894105 22.10.2019