DGAP-News: Noratis AG

Noratis AG announces pre-tax profit adjusted for IPO costs of EUR 6.9 million for the first half of 2017

Eschborn, 29 September 2017 - Noratis AG (ISIN: DE000A2E4MK4, WKN: A2E4MK, "Noratis") can look back on a highly successful first half of 2017. Pre-tax profit adjusted for IPO costs for the first half of the year totalled EUR 6.9 million. Profit after tax and IPO costs was EUR 3.3 million, a multiple of the profit for the first half of 2016 of EUR 0.7 million despite the one-off costs of the IPO. Earnings before interest and taxes (EBIT) rose to EUR 8.4 million in the first half of 2017 before the deduction of IPO costs, up from EUR 2.8 million in the same period last year. At EUR 33.1 million, revenue was approximately 89 percent higher than the prior-year figure of EUR 17.5 million. The sharp rise in profits for the first half of the year was primarily attributable to the sale of a real estate portfolio in Dormagen at the start of the year, and to the sale of individual apartments. Noratis AG also disposed of an additional portfolio of 221 apartments in Dormagen after the end of the reporting period.

In addition to a strong operating performance, the corporate structure was also carefully expanded to help the company take advantage of further dynamic growth in the near future. Despite the completion of real estate sales in the first half of 2017, the value of the portfolio increased to approximately EUR 98 million as of 30 June 2017. At the end of 2016, this figure was still at around EUR 80 million. As a result of its IPO in June 2017, Noratis AG received gross proceeds of approximately EUR 17.25 million for the expansion of its portfolio. In addition to selling a real estate portfolio of 221 apartments in September, the company has already acquired two real estate portfolios with 59 apartments and a commercial property in Frankfurt as well as 354 apartments in the Hamburg metropolitan region. Noratis AG is also planning to purchase further real estate after completing these acquisitions.

Based on the strong development of the business in the first half of the year and the positive outlook, the Management Board anticipates consolidated revenue of around EUR 65 million and consolidated profit before tax of around EUR 13.5 million before the deduction of IPO costs for the full year 2017. Noratis has currently 2.92 million shares outstanding.

In accordance with its dividend policy, the company is planning to propose a dividend payment of around 50 percent of annual net profit for the 2017 financial year to the Annual General Meeting.

The full half-year report is available in the Investor Relations section of the company's website, www.noratis.de.

Igor Christian Bugarski, CEO of Noratis, explains: "We continued the dynamic growth of recent years seamlessly in the first half of 2017. We believe that Noratis AG is well positioned to continue benefiting from the opportunities presented by the real estate market."

Noratis AG (www.noratis.de), located in Eschborn near Frankfurt, is a dynamically growing portfolio developer of residential real estate. The company purchases properties with development potential across Germany, mostly employee dwellings and housing estates built from the 1950s to 1970s in cities with more than 10,000 inhabitants or on the outskirts of conurbations. After acquisition, Noratis significantly enhances the value of the properties and subsequently sells them in block sales or individually as condominiums. This strategy enables Noratis to conserve and offer affordable housing for tenants with medium and small incomes. Since 2014 alone, Noratis has successfully completed 15 projects comprising more than 1,500 residential units. The company generated revenues of EUR 44.6 million in fiscal year 2016 and has grown at an annual average of 63% since 2014.

Investor relations contact:

edicto GmbH
Axel Mühlhaus/ Dr. Sönke Knop
Eschersheimer Landstrasse 42
60322 Frankfurt
Phone: +49 69 905505-52
E-mail: noratis@edicto.de