SF URBAN PROPERTIES AG for instant publication
29 August 2017
SFPI posts excellent business result for first half of 2017 Property income increased by 12.7% to CHF 10.76 million
Net asset value (NAV) improved to CHF 91.95 (+6.6%)
Net profit excluding revaluation effects declined to CHF 4.15 million
Vacancy rates remain very low at 2.75%
Swiss Finance & Property Investment AG (SFPI) had a very successful first half of 2017. The strategy of consistent portfolio optimisation is still having a positive impact on the figures, even though the lack of sales-‐related special effects in the reporting period meant that the net profit excluding revaluation effects declined by CHF 6.31 million from CHF 10.46 million in the prior-‐year period to CHF 4.15 million. Operating income before revaluation also dropped by CHF 19.91 million from CHF 32.08 million in the same period in 2016 to CHF 12.16 million.
Consolidated interim result
The very good performance on property rentals is reflected in the earnings increase of 12.7% set off by a moderate increase in costs of 4.9%, as a result of which the operating margin for the portfolio also improved. In contrast to the income on sales of CHF 5.55 million earned in the prior-‐year period, no properties were sold in the first half of 2017. As the promotion income on the Parco d'Oro project was primarily recognised last year, the operating income before revaluation effects declined to CHF 12.16 million in the first half of 2017 (first half of 2016: CHF 32.08 million). Because of the loss of sales-‐related positive one-‐off effects in the previous year, EBIT declined to CHF 12.81 million in the first half of 2017 (first half of 2016: CHF 21.67 million), while the net profit excluding revaluation effects/deferred taxes dropped year-‐on-‐year to CHF 4.15 million (first half of 2016: CHF 10.46 million). This translates into earnings per share of CHF 3.22 (first half of 2016: CHF 5.23). The earnings per share excluding revaluation effects amounted to CHF 1.55 (first half of 2016: CHF 4.19). Net profit including revaluation effects amounted to CHF 8.63 million (first half of 2016: CHF
13.04 million).
Swiss Finance & Property Investment AG · Seefeldstrasse 275 · CH-8008 Zurich
Phone +41 (0)43 344 61 31 · Fax +41 (0)43 344 61 30 · www.sfpi.ch · CHE-261.764.843 MWST
Financial income
Financial income for the first half of 2017 amounted to CHF 2.02 million (first half of 2016: CHF 0.84 million), including interest income from interest rate swaps and a revaluation gain on interest rate swaps of CHF 1.04 million. Financial expenses increased from CHF 3.59 million in the first half of 2016 to CHF 4.00 million in the first half of 2017.
Equity
Equity rose in the reporting period by CHF 59,000 from CHF 246.51 million to CHF 246.57 million. The net profit of CHF 8.63 million and a total hedge accounting valuation gain of CHF 1.08 million on interest rate swaps were offset by a distribution of capital reserves of CHF 9.65 million. The net asset value (NAV) per share was therefore CHF 91.95 on 30 June 2017 (31 December 2016: CHF 91.93). The NAV per share before deferred taxes amounted to CHF 102.13 on 30 June 2017 (31 December 2016: CHF 101.43).
Real estate portfolio
The value of the portfolio improved by 4.4% in the first half of 2017 to CHF 520.49 million. Three purchases totalling CHF 14.25 million were made in the first half of 2017, two residential and commercial buildings in Basel at Elsässerstrasse 1 + 3 and a residential building at Universitätsstrasse 51 in Zurich. The revaluation effect was CHF 5.97 million in the first half of 2017 compared to CHF 5.08 million in the first half of 2016. What is also notable is the period-‐related decline in the vacancy rate for the real estate portfolio from 5.7% at the end of June 2016 to just 4.5% on 30 June 2017.
Outlook for second half of 2017
The company will continue in future to focus consistently on its strategy of portfolio optimisation through targeted purchases and sales in the economic centres of Zurich and Basel. This comprises the continuation of the strategy of consolidation around Badischer Bahnhof in Basel, the integration of the 40,000 m2, inter-‐ municipal industrial complex in Münchenstein/Arlesheim acquired in July 2017, and the rental of the few remaining offices at Klausstrasse 4 in Zurich and Picassoplatz 4 in Basel. Coupled with the revenue effect of the low vacancy rates, the company has good reason to feel very confident about its success in the second half of 2017.
Further information
Thomas Prajer, CEO Stephan Ehrsam, CFO
Swiss Finance & Property Investment AG Swiss Finance & Property Investment AG Seefeldstrasse 275 Seefeldstrasse 275
CH-‐8008 Zurich CH-‐8008 Zurich
Tel. +41 43 344 61 31 Tel. +41 43 344 61 31
prajer@sfp.chehrsam@sfp.ch
The half-‐year report 2017 and the corresponding presentation are avalaible under:
http://www.sfpi.ch/investoren/reporting
http://www.sfpi.ch/investoren/praesentationen
Press and Analyst Web Conference Tuesday 29 August 2017, 2 pmThomas Prajer (CEO) and Stephan Ehrsam (CFO) will present the results of Swiss Finance & Property Investment AG (SFPN; CH0032816131) for the first half-‐year 2017 as a web-‐conference in German
Dial-‐in number: +41 58 262 07 11 / Conferenz-‐ID:15 55 54 Participants access the conference via the link below:
https://conferencing.swisscom.ch/conference/urllogin.do?L=de&TOKEN=a148d82cf6b09619e5c315329306a 9fc62be54c7
The presentation will be followed by a Q/A session in German and English. A registration is not necessary.
Key financial figures as at June 30, 2017Income Statement Unit | 1 Jan to 30 June 2017 | 1 Jan to 30 June 2016 | |
Total operating income before revaluation CHF 1 000 | 12 163 | 32 076 | |
Profit from revaluation CHF 1 000 | 5 967 | 5 084 | |
Operating result (EBIT) CHF 1 000 | 12 814 | 21 667 | |
EBIT margin % | 70.68 | 58.31 | |
Net profit including valuation results1/ deferred taxes CHF 1 000 | 8 634 | 13 036 | |
Net profit excluding valuation results2/ deferred taxes CHF 1 000 | 4 150 | 10 462 | |
Balance | 30 June 2017 | 31 Dec 2016 | |
Total assets CHF 1 000 | 554 591 | 539 163 | |
Equity capital CHF 1 000 | 246 573 | 246 512 | |
Equity ratio % | 44.46 | 45.72 | |
Interest-‐bearing debt CHF 1 000 | 244 467 | 227 528 | |
Interest-‐bearing debt in % of total assets % | 44.08 | 42.20 | |
Leverage % | 55.54 | 54.28 | |
Debt ration per property 3% | 45.43 | 43.95 | |
Return on equity including valuation results (annualised) 4% | 7.00 | 10.61 | |
Return on equity, valuation results excluded (annualised) 5% | 3.37 | 6.31 | |
Portfolio Data | 30 June 2017 | 31 Dec 2016 | |
Number of properties Number | 45 | 42 | |
Total property portfolio CHF 1 000 | 520 489 | 498 535 | |
Total property portfolio and investment properties for sale CHF 1 000 | 17 644 | 19 186 | |
Gross return 6% | 4.57 | 4.61 | |
Portfolio valuation's weighted real discount rate % | 3.33 | 3.43 | |
Portfolio valuation's weighted nominal discount rate % | 3.88 | 3.94 | |
Vacancy rate at the end of the period % | 2.75 | 2.67 | |
Investment properties Vacancy rate End of period % | 2.75 | 2.67 | |
Current vacancies in the reporting period 7% | 4.48 | 6.05 | |
Average interest rate (exclusive SWAPS) % | 0.73 | 0.78 | |
Average interest rate (inclusive SWAPS) % | 1.68 | 1.54 | |
Average fixed interest Years | 7.60 | 8.29 | |
Key Figures per Share | 30 June 2017 | 30 June 2016 | |
Net asset value (NAV) per share of CHF 6.25 / CHF 6.25 CHF | 18.39 | 18.39 | |
Net Asset Value (NAV) per share of CHF 31.25 / CHF 31.25 CHF | 91.95 | 91.93 | |
Net Asset Value (NAV) per share of CHF 6.25 / CHF 6.25 before deferred taxes | CHF | 20.43 | 20.29 |
Net Asset Value (NAV) per share of CHF 31.25 / CHF 31.25 before deferred taxes | CHF | 102.13 | 101.43 |
Share price | CHF | 97.20 | 90.90 |
Premium (+) and discount (-) on NAV % | 5.71 | - 1.12 | |
Swiss Finance & Property Investment AG published this content on 29 August 2017 and is solely responsible for the information contained herein.
Distributed by Public, unedited and unaltered, on 29 August 2017 08:07:03 UTC.
Original documenthttp://www.sfpi.ch/fileadmin/sfpi.ch/pdf/medienmitteilungen/2017_08_29/20171728_SFPI_posts_excellent_business_result_for_first_half_of_2017_final.pdf
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