Reuters logo
UPDATE 1-Austria's CA Immo boosts Q2 profit on cost cuts
August 27, 2013 / 5:53 PM / 4 years ago

UPDATE 1-Austria's CA Immo boosts Q2 profit on cost cuts

* Q2 rental income flat at 69 mln eur

* Net income 16 mln eur vs Reuters poll avg 14 mln

* Sees more transactions including Tower 185 in H2 (Adds details on profits, outlook, background)

ALPBACH, Austria, Aug 27 (Reuters) - Austrian real estate group CA Immo said it boosted net profit by 76 percent in the second quarter as it cut costs, especially in personnel, and raised its rental operating margin.

CA Immo, which is focusing on residential property management mainly in Germany, said it anticipated a dynamic second half in terms of transactions, including the sale of Tower 185 in Frankfurt, after a quiet first half.

“Given the operating result achieved in the first half in spite of the persistently challenging economic environment, there is cause for optimism regarding the annual result for CA Immo,” Chief Executive Bruno Ettenauer said on Tuesday.

CA Immo lifted earnings before interest, tax, depreciation and amortisation (EBITDA) by 8 percent in the quarter to 57 million euros ($76.34 million), in line with a Reuters survey. EBIT fell 39 percent in the quarter.

The company posted flat rental revenue of 69 million euros as project completions in Germany were offset by last year’s sale of the Warsaw Financial Center.

Funds from operations fell 21 percent in the first half to 44 million euros, after a positive effect from a financial restructuring of its eastern Europe segment in the year-ago period, it said. ($1 = 0.7466 euros) (Reporting by Georgina Prodhan; Editing by Louise Heavens)

Our Standards:The Thomson Reuters Trust Principles.
0 : 0
  • narrow-browser-and-phone
  • medium-browser-and-portrait-tablet
  • landscape-tablet
  • medium-wide-browser
  • wide-browser-and-larger
  • medium-browser-and-landscape-tablet
  • medium-wide-browser-and-larger
  • above-phone
  • portrait-tablet-and-above
  • above-portrait-tablet
  • landscape-tablet-and-above
  • landscape-tablet-and-medium-wide-browser
  • portrait-tablet-and-below
  • landscape-tablet-and-below