DGAP-News: Coreo AG publishes preliminary consolidated figures (IFRS) for 2018

Coreo AG publishes preliminary consolidated figures (IFRS) for 2018

• Coreo reports for the first time on a group basis (IFRS)
• Rental income increased by almost 400 % from EUR 383 K to EUR 1,507 K
• Property portfolio quadrupled to EUR 40,963 K
• Consolidated net income for the year at EUR 1,660 K
• Dynamic growth expected to continue in 2019

Frankfurt am Main - 30 April 2019 - Coreo will prepare consolidated financial statements in accordance with IFRS for the 2018 fiscal year for the first time in order to increase transparency.

The company continued its dynamic growth course in 2018 on the basis of preliminary group figures. The acquisition of 430 micro apartments in Göttingen and the Hydra portfolio of twelve office and commercial buildings in city centres quadrupled the property portfolio to EUR 40,963 (2017: EUR 10,280 K). As a result of the first-time valuation of investment properties, there was a positive change in value of EUR 2,643 K.

Simultaneously, rental income rose by EUR 1,124 K to EUR 1,507 K compared with the previous year. In addition to the apartments acquired in 2018, the revenues from the properties acquired in 2017, which were received for a complete year for the first time, were also a contributing factor. In addition, property sales made a substantial contribution to sales and earnings. With total Group sales of EUR 8,894 K (2017: EUR 482 K), earnings of EUR 1,660 K (2017: EUR 3,084 K) were achieved. The previous year's result was characterised by write-ups and income from the disposal of financial investments in the amount of EUR 3,999 K.

In the course of the issuance of an option bond with a coupon of 10 % and a volume of EUR 20,000 K, financial expenses increased by EUR 2,395 K to EUR 2,527 K. The partial repayment of EUR 5,000 K at the end of 2018 reduces the interest expense on the bond by 25 % in 2019. Financial liabilities totalled EUR 35,316 K as of the balance sheet date, compared with EUR 7,456 K in the previous year.

Financial assets declined from EUR 12,016 K to EUR 8,120 K as a result of partial sales of EUR 2,206 K and changes in value of EUR 1,690 K.

The net asset value including deferred taxes rose from EUR 19,437 K in the previous year to EUR 30,816 K. The number of shares rose from 9,360,000 to 15,945,880 as a result of the capital increase carried out in December at a subscription price of EUR 1.60. Based on the 70 % increased number of shares, the net asset value per share Board is confident that there is considerable potential for write-ups on Hydra properties and the Göttingen micro apartment portfolio once the planned measures have been completed.

For the current financial year, the Board expects the dynamic growth of the real estate portfolio and of the rental income to continue. Along with new properties, first-time lettings of properties in the Hydra portfolio are expected to make a special contribution to that development. The company can draw on liquid funds amounting to EUR 14,033 K (2017: EUR 4,864 K) for the ongoing expansion.

The company will publish the definitive financial results together with the consolidated financial statements in due time before the Annual General Meeting. The individual financial statement of Coreo AG prepared according to the German Commercial Code (HGB) is now available for download at www.coreo.de in the "Investors" section.
 

About Coreo AG
Coreo AG, which has its registered office in Frankfurt am Main, is a dynamically growing real estate company with a focus on German commercial and residential properties. Investments are made in real estate with considerable potential for appreciation thru refurbishment and repositioning, preferred in A and B macro locations. The goal is to build up an efficiently managed, high-yielding real estate portfolio through prudent development and the sale of non-strategic properties.