TAG Immobilien AG: TAG Immobilien AG announces detailed forecast for 2012

TAG Immobilien AG / Key word(s): Forecast

06.12.2011 / 13:44


TAG Immobilien AG announces detailed forecast for 2012:

- EBT expected to reach EUR 75 million

- Estimated operating profit of EUR 35 million

- FFO of EUR 27 million expected

- Target NAV of EUR 9.75 per share

- Dividend payment in 2011, increasing in 2012

Hamburg (6 December 2011) - After having stipulated in November of an EBT target of approximately EUR 75 million for 2012 and announced a dividend payment for 2011 based on the strong results achieved in the year to date, TAG Immobilien AG ('TAG' in the following) today issued a detailed forecast for fiscal 2012.

The company successfully put its expansion strategy into practice in the German real estate market in 2011. After integrating Colonia Real Estate AG and acquiring various other portfolios, the residential real estate inventory now amounts to about 1.9 million m² or approximately 30,800 units. In other words, the TAG Group has more than doubled its volume of real estate compared to 2010. With the resulting value creation potential, next year the company expects to be able to achieve rental profits of EUR 110 million from rental income of around EUR 144 million. The net profit from sales to further optimise the property holdings is expected to total EUR 8 million, mainly from one residential and one commercial property. TAG is aiming for operating profit of over EUR 35 million and for the first time will also report FFO (Funds From Operations), with a target figure of EUR 27 million. Net Asset Value (NAV) per share is forecast to be EUR 9.75 in 2012 (previous year: EUR 6.09, currently EUR 8.43, forecast for year-end 2011: EUR 8.75).

As well as continued improvements at operational level, the payment of a dividend is at the forefront of future fiscal policy. Above and beyond financing further growth, the company is striving to pay a dividend of 20 cents per share for 2011. The earnings performance in recent quarters demonstrates the Group's increased profitability. The synergies that can be realised from the acquisitions and the continuous improvement of the Group over the past few quarters show the potential that will positively affect future dividends. The company intends to continue distributing a significant portion of profits to shareholders in the years ahead as well.

TAG Group CEO Rolf Elgeti comments: 'Following the restructuring and acquisitions of recent years, TAG will significantly increase its operational profitability in 2012. For the first time, TAG is also issuing an FFO forecast at EUR 27 million for 2012. While this is a level that leaves room for improvement, it shows that we are on the right track and will reap the fruits of our asset management efforts. At the same time, this also results in significant potential for increasing our dividend for 2012.'

Press enquiries:
TAG Immobilien AG
Investor & Public Relations
Britta Lackenbauer / Dominique Mann
Phone +49 40 380 32 300
Fax +49 40 380 32 390

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Company:TAG Immobilien AG
Steckelhörn 5
20457 Hamburg
Phone:040 380 32 0
Fax:040 380 32 390
Listed:Regulierter Markt in Frankfurt (Prime Standard), München; Freiverkehr in Berlin, Düsseldorf, Hamburg, Hannover, Stuttgart
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148793  06.12.2011