DJ EANS-Adhoc: Warimpex Finanz- und Beteiligungs AG / First quarter of 2009 Business impacted by the adverse conditions - beginnings of recovery expected at the end of 2009
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25.05.2009
. Occupancy rates and revenues down in the first quarter
. Difficult conditions on the hotel market pull sales down by 19 per cent
. Cautiously optimistic outlook for the real estate market in CEE
|Key figures in EUR millions |Q1/2009 |Change |Q1/2008* |
| | | | |
|Total revenues |14,715 |-19% |18,240 |
|Gains from the sale of project
companies |- |- |9,219 |
|EBITDA |-3,840 |- |9,843 |
|EBIT |-7,316 |- |6,888 |
|Profit for the period |-10,276 |- |-1,884 |
|Earnings/loss per share |-0.28 |- |-0.05 |
|in EUR | | | |
| | | | |
|Number of hotels** |18 |2 |16 |
|Number of rooms (adjusted for |2,916 |427 |2,489 |
|proportionate share
of ownership) ** | | | |
|Number of office and commercial |6 |-1 |7 |
|properties | | | |
|Number of hotel development
projects |6 |-10 |16 |
| | | | |
|Gross asset value (GAV)
in EUR millions |666.7 |8% |614.8 |
|*** | | | |
|Triple net asset value (NNNAV)
in EUR |301.9 |- 22% |387.4 |
|millions *** | | | |
|NNNAV per share in EUR *** 8.4 |- 22% |10.8 |
* restated, ** andel's hotel in ?ód? opened in May, after 31 March 2009,
*** 31 December 2008
Vienna, 25 May 2009 - The first quarter of 2009 saw lower occupancy rates and
lower revenues at Warimpex's hotels. Group sales fell by 19 per cent from EUR
18.2 million to EUR 14.7 million in the first three months of the 2009
financial year.
"Tourism is very sensitive to economic trends and cycles. The Warimpex hotels
were not able to escape the effects of the currently poor economic environment
and saw significant decreases in sales, especially in the Czech Republic and
France. However, business at our hotel in Munich has grown nicely as of late,
and conference business at the newly opened andel's in Berlin has gotten off to
a promising start. And in Prague, we are seeing a slight turnaround after the
significant declines in recent months," reported Franz Jurkowitsch, chairman of
Warimpex's Management Board. "Falling interest rates and rising property yields
in CEE are causing increased interest among institutional real estate
investors. Because of this change, I expect that the volume of real estate
transactions will begin rising again at the end of 2009. Cheap money is
effective, even if it is only flowing very slowly into the economy right now
because banks are still pursuing cautious lending strategies," said
Jurkowitsch, expressing his cautious optimism.
Financial result
Consolidated sales fell by 19 per cent from EUR 18.2 million to EUR 14.7
million in the first three months of financial year 2009. Revenues from the
hotel segment declined to EUR 13.3 million compared to EUR 16.8 million in the
first quarter of 2008 in spite of the fact that the average number of rooms
increased. Most of this decline in sales can
be attributed to the adverse
conditions in Prague and Paris. According to HotStat (European Chain Hotels
Market Review - March 2009), occupancy rates at four- and five-star hotels in
Prague were down by 17 per cent compared to the first quarter of 2008, while
average occupancy fell by roughly 7 per cent in Paris. The Warimpex hotels were
not immune to the effects of these adverse market conditions and saw turnover
decline significantly. Revenues from the rental of offices and the provision of
development services remained stable at EUR 1.5 million.
EBITDA fell from EUR 9.8 million to EUR -3.8 million, and
EBIT were down from
EUR 6.9 million in the first quarter of 2008 to EUR -7.3 million. This EUR 14.2
million decline can primarily
be attributed to the higher revenues achieved
through the sale of properties and shares in development projects in the prior
period. The Group's financial result improved from EUR -9.5 million to EUR -2.6
million. Above all, this EUR 6.9 million change can
be attributed to
adjustments in the fair values of short-term financial investments in the
amount of EUR 5.9 million in the first quarter of 2008.
Key events
The largest four-star superior andel's design hotel to date was opened in
Berlin at the beginning of March 2009. Compared to 31 March 2008, the number of
available hotel rooms (adjusted for the proportionate share of ownership) rose
by 427, from 2,489 to 2,916, as of 31 March 2009. This is primarily
attributable to the opening of the angelo hotel in Munich, the 69 additional
rooms at angelo airport hotel in Bucharest, the opening of the angelo in Plzen,
and the opening of the andel's in Berlin. The Hansa hotel ship, which was
operated as a branch of the Amber Baltic hotel, was closed.
Real estate assets
At 31 March 2009, the real estate portfolio of the Warimpex Group comprised
eighteen hotels with a total of 4,300 rooms (2,916 rooms when adjusted for the
proportionate share of ownership), plus seven office properties with a total
lettable floor area of some 32,000 square metres (23,000 square metres when
adjusted for the proportionate share of ownership). Eleven real estate projects
are currently under construction or in advanced stages of development (not
including the planned budget hotels).
Outlook
Our strategic focus in 2009 will
be on the completion of the projects that we
currently have under construction. The andel's in Berlin is one of the largest
conference hotels in the city and enjoyed a very successful start to business
in the first quarter. The andel's in ?ód? opened in the middle of May 2009. The
angelo airport hotel in Ekaterinburg will
be completed in the third quarter of
2009, and Airport City in St. Petersburg (including the Crowne Plaza Hotel)
will follow at the end of 2010.
end of announcement euro
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May 25, 2009 02:04 ET (06:04 GMT)
