Frankfurt, 29 September 2016
DIC Asset AG Raises FFO Forecast for 2016
- FFO forecast for 2016 raised to EUR 46-47 million
- Rental income of c. EUR 109-111 million now anticipated
- Positive net absorption and rental income from warehousing for retail fund leads to revision of outlook
Frankfurt-based real estate company DIC Asset AG (German securities code number: WKN A1X3XX / ISIN DE000A1X3XX4) has raised its FFO (funds from operations) year-end forecast for 2016 from EUR 43-45 million to EUR 46-47 million. The upward revision of the annual forecast is explained by the successful letting performance that led to a better-than-expected take-up. For the 2016 financial year, DIC Asset is now projecting a rental income of approx. EUR 109-111 million rather than EUR 105-107 million. The increase is due not least to the rent revenues expected from the property that were notarised in July 2016 in conjunction with the warehousing for the planned new retail property fund. Moreover, the transfer of rights and duties for the properties that were sold out of the commercial portfolio will be delayed, so that the company will collect rental income from them longer than predicted.
Aydin Karaduman, CEO of DIC Asset AG: "The FFO growth in 2016 demonstrates that our property management platform and our active asset management have succeeded in enhancing our cash flow from the commercial portfolio. During the marketing stage of the planned new retail property fund, we additionally benefit from the lucrative rental income generated by the recently acquired properties."
DIC Asset will publish its quarterly statement for Q3 on 04 November 2016.
About DIC Asset AG:
Established in 2002, DIC Asset AG, with registered offices in Frankfurt/Main, is a real estate company with an investment focus on commercial real estate in Germany, pursuing a return-oriented investment policy. The Company's investment strategy is geared to the continued development of a high-quality, highly profitable and regionally diversified portfolio. Real estate assets under management comprise 210 properties with an aggregate market value of EUR 3.2 billion. The real estate portfolio is structured in two segments: the Commercial Portfolio (EUR 1.7 billion) comprises existing properties with long-term rental contracts generating attractive rental yields. The Co-Investments segment (EUR 1.5 billion) comprises fund investments (accounting for a share of EUR 1.2 billion), joint-venture investments, and interests in development projects. In-house real estate management teams provide a direct service to tenants, working out of six different locations in each of the portfolio focus regions. This market presence and expertise creates the basis for preserving and enhancing earnings and real estate values. DIC Asset AG has been included in the SDAX(R) segment of the Frankfurt Stock Exchange since June 2006. The Company's shares are also included in the EPRA index, which tracks the performance of the most important European real estate companies.
Phone: +49 30 2844987-65
Fax +49 30 2844987-99
DIC Asset AG
Neue Mainzer Strasse 20 - MainTor
Phone: +49 69 9454858-1221
Fax +49 69 9454858-9399
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