VIB Vermögen with further profitable growth in the 2015 fiscal year

Press releases

  • Operating revenue increased by 7.2% to EUR 75.6 million
  • Earnings before taxes (EBT) improved by 37.8% to EUR 52.8 million
  • Forecast for 2015 fully met
  • Dividend proposal of EUR 0.51 per share
  • Further rise in revenue and earnings in 2016 expected

Neuburg/Danube, March 16, 2016 – Based on preliminary IFRS figures VIB Vermögen AG, a company specialising in commercial real estate management, achieved a further significant growth of revenue and earnings in the 2015 fiscal year. The Group revenue grew by 7.5% to EUR 75.1 million after EUR 69.9 million the previous year. This was mainly due to higher rental income from new investments as well as from properties, which were acquired the previous year and in 2015 for the first time generated rental income for the full fiscal year. Subsequently, the total amount of the operating revenue increased by 7.2% to a value of EUR 75.6 million (previous year: EUR 70.5 million).

The expansion of the portfolio, especially by the completed inhouse development in the Interpark, led to an above-average high change in value of the investment properties. This item was more than doubled and amounted to EUR 16.4 million in the reporting year (previous year: EUR 7.5 million). According to the expansion of the company personnel expenses increased to EUR 3.3 million in the reporting period (previous year: EUR 3.0 million). At the same time, other operating expenses decreased to EUR 1.6 million especially due to lower legal, advisory and administrative costs (previous year: EUR 2.1 million).

Above-average high earnings improvement
As a result of the positive operative development as well as the change in value the earnings before interest and taxes (EBIT) rose disproportionately by 24.2% to EUR 73.4 million (previous year: EUR 59.1 million). Despite further additions to the portfolio in the course of the last year the interest expenses remained lower with EUR 20.4 million than the previous year with EUR 20.6 million. The main reason for this were more favourable financing conditions. After the deduction of the entire financial result the earnings before tax (EBT) amounted to EUR 52.8 million (previous year: EUR 38.3 million) – a year-on-year increase of 37.8%. Adjusted for effects from the valuation of properties and financial derivatives the EBT increased by 17.1% to EUR 36.5 million (previous year: EUR 31.2 million). The Group result also improved significantly in 2015 by 35.9% to EUR 44.0 million (previous year: EUR 32.4 million). This resulted in a higher result per share, which reached a value, diluted and undiluted, of EUR 1.46 (previous year: EUR 1.23), an increase of 18.7%.

Holger Pilgenröther, CFO of VIB Vermögen AG: “We are delighted that we were able to reach or even exceed all of our financial goals in 2015. Moreover, in the reporting year we have secured the currently favourable interest rate level in the long-term for the largest part of our loans whose fixed interest rates expire in 2016 and 2017. Thus, today we are better positioned than ever before”.

Due to the positive operative business development in the year 2015 the Management Board and the Supervisory Board of VIB Vermögen AG will propose a dividend to the Annual General Meeting amounting to EUR 0.51 per share (previous year: EUR 0.48 per share).


All real estate-specific figures improved
The net asset value (NAV) of the portfolio of VIB Vermögen AG increased as at the balance sheet date by EUR 52.3 million to EUR 412.8 million (December 31, 2014: EUR 360.5 million). Based on the number of shares it rose by 7.9% to EUR 15.69 (December 31, 2014: EUR 14.54). Despite the further expansion of the portfolio in the reporting year and the slightly increased total indebtedness the loan-to-value ratio (LTV) remained with 53.1% below the prior-year level (December 31, 2014: 53.7%). As an indicator of operating cash inflows, funds from operations (FFO) increased too and amounted to EUR 1.18 per share (December 31, 2014: EUR 1.07)

As of the end of the fiscal year the equity grew by EUR 35.1 million to EUR 406.8 million (December 31, 2014: EUR 371.7 million), especially due to the positive Group earnings and the conversion of the mandatory convertible bonds into shares. In this context the equity ratio improved by another 0.9% percentage points to 40.3% (December 31, 2014: 39.4%).

Outlook 2016: Continuation of the growth course
For the fiscal year 2016 the company expects a total operating revenue between EUR 78.0 million and EUR 82.0 million. Furthermore, the EBIT is supposed to grow between EUR 58.0 million and EUR 61.0 million and the EBT between EUR 38.0 million and EUR 40.5 million, each before valuation effects. In addition, the company expects operating cash inflows (FFO) for the current fiscal year between EUR 33.0 million and EUR 35.5 million.

“We continue to see a positive market environment and attractive growth perspectives for VIB in our focus industries logistics and retail in the current fiscal year. Therefore, we expect that we will continue to grow profitable in 2016, too. Here we will benefit especially from our competence in the field of project development”, said Ludwig Schlosser, CEO of VIB Vermögen AG.

The company will publish the final results for the year 2015 together with its annual report 2015 on April 27, 2016. A corporate presentation with information on the preliminary business results 2015 is available under vib-ag.de.