2016-05-10 08:00:03 CEST
2016-05-10 08:00:03 CEST
REGULATED INFORMATION
Technopolis - Interim report (Q1 and Q3)
Technopolis Group Interim Report January 1 – March 31, 2016
TECHNOPOLIS PLC INTERIM REPORT May 10, 2016 at 9:00
a.m.
Technopolis Group Interim Report January 1 – March 31, 2016
Steady Start to Year, Guidance Unchanged
- Net sales EUR 41.1 (41.2) million, down 0.3%. On a constant currency basis,
net sales were up 1.4%.
- EBITDA EUR 21.9 (22.2) million, down 1.5%. On a constant currency basis,
EBITDA was up 0.5%.
- Financial occupancy rate 92.5% (93.8%). In Oulu, financial occupancy rate
dropped 7.3%.
- Earnings per share EUR 0.10 (0.06)
- Direct result (EPRA) EUR 12.3 (12.7) million, down 3.1%
- Direct result per share, diluted (EPRA) EUR 0.12 (0.12)
- Net asset value per share (EPRA) EUR 4.65 (4.47)
1-3/ 1-3/ 1-12/
Key Indicators 2016 2015 2015
Net sales, EUR million 41.1 41.2 170.6
----------------------------------------------------------------
EBITDA, EUR million 21.9 22.2 93.0
Operating profit, EUR million 21.4 15.3 88.9
Net result for the period, EUR million 13.8 9.2 50.0
Earnings/share, EUR 0.10 0.06 0.38
Cash flow from operations/share, EUR 0.19 0.13 0.60
Equity ratio, % 38.0 37.7 39.3
Equity/share, EUR 4.22 4.15 4.36
----------------------------------------------------------------
----------------------------------------------------------------
1-3/ 1-3/ 1-12/
EPRA-based Key Indicators 2016 2015 2015
----------------------------------------------------------------
Direct result, EUR million 12.3 12.7 55.0
Direct result/share, diluted, EUR 0.12 0.12 0.52
Net asset value/share, EUR 4.65 4.47 4.70
Net rental yield, % 7.7 7.8 7.7
Financial occupancy rate, % 92.5* 93.8 94.6*
----------------------------------------------------------------
* 3/2016: 15,250 m² under renovation. 12/2015: 16,700 m² under renovation.
The EPRA-based (European Public Real Estate Association) direct result does not
include unrealized exchange rate gains and losses, fair value changes or any
non-recurring items, such as gains and losses on disposals.
Future Outlook
Technopolis expects its net sales and EBITDA in 2016 to remain on the same
level (+/- 5%) as in 2015.
The Group’s financial performance depends on the development of the overall
business environment, customers’ operations, financial markets, market yields,
and exchange rates. Furthermore, any changes in the property portfolio may have
an impact on the guidance.
Keith Silverang, CEO:
“We had a solid first quarter despite the expected drop in occupancy in Oulu.
Without currency impact, net sales grew 1.4% while EBITDA was up 0.5%. EBITDA
included a EUR +0.8 million one-off, and the EBITDA margin came in at 53.3%
(53.9%). Our financial occupancy declined to 92.5% (93.8%) from 94.6% in Q4
2015. The reason for this is a 7.3 % drop in Oulu occupancy year-on-year. On
the other hand, we were able to boost our average rent over the previous
quarter in Finland, as well as year-on-year.
In the long term, Oulu is gradually recovering. The challenge now is to find
customers for the 15,800 m2 of office space released from the agreements that
we prematurely terminated in 2015. To put this into perspective, in 2015 we did
24,000 m2 in new deals in Oulu and in 2016 so far another 12,000 m2 of new
deals. To achieve equilibrium, we must be successful in our sales efforts, but
we must also reduce capacity in Oulu. This process may take a couple of years.
There have also been positive developments in the first months of the year. Our
service business grew by 14.5% and service penetration reached 12.6%. In
Tallinn, we completed the new Lõõtsa 5 building with a 100% occupancy rate. In
April, Innopoli 3 in Espoo received a LEED Gold certificate, and our flagship
coworking space, UMA Esplanadi, was opened in the heart of Helsinki in May.
We are pleased with the lower loan-to-value ratio and improved operational cash
flow. We also paid off the remainder of our EBRD loan, which will reduce
currency-related volatility since the euro-denominated loan was funding our
Russian operations.
The transaction market shows no signs of cooling down. In Europe interest rates
are expected to stay low at least through 2017, which means that a lot of
capital is looking for yield from properties. This is having an impact on the
execution of our growth strategy. However, there are opportunities on our
target markets that offer good strategic fit and risk adjusted returns. We will
be disciplined in our pursuit of deals and we will not stray from our
investment criteria. As for divestitures, the appetite among both foreign and
domestic investors in the Finnish real estate market still appears to be
increasing and gradually expanding outside prime locations.
We will keep growing organically. The pre-let rates of our current projects
grew nicely in Tampere and Vilnius during the first quarter. In Helsinki, we
have started planning the third phase of our Ruoholahti campus.
We will continue to focus on operational excellence, superior customer service
and cost-efficiency in order to enhance our competitive advantage in a
challenging business environment. We will continue to build our service
penetration, and expand our network of shared working environments under the
Technopolis brand.”
Full version of Technopolis Plc’s Interim Report January 1 – March 31, 2016
attached.
Additional information:
Keith Silverang
CEO
tel. +358 40 566 7785
Distribution:
Nasdaq Helsinki, main news media, www.technopolis.fi
Technopolis provides the best addresses for success in five countries in the
Nordic-Baltic region. The company develops, owns and operates a chain of 20
smart business parks that combine services with flexible and modern office
space. The company’s core value is to continuously exceed customer expectations
by providing outstanding solutions to 1,700 companies and their 47,000
employees in Finland, Norway, Estonia, Russia and Lithuania. The Technopolis
Plc share (TPS1V) is listed on Nasdaq Helsinki.
© 2024 Nasdaq, Inc. All Rights Reserved |