In Q3 2020, effective gross income reached USD 27.6 million, a 10.2% increase from Q3 2019. Rental income was up by 9.9% to USD 24.9 million. On a like for like basis*, rental income grew by 5.0% to USD 22.4 million. Net Operating Income (NOI) amounted to USD 13.4 million compared to USD 11.9 million (+12.4%) in Q3 2019. NOI margin improved 1.0% to 48.3% (Q3 2019: 47.3%). NOI less finance cost amounted to USD 7.9 million, an increase of more than 16%. The occupancy rate increased at 95.4% in Q3 2020 (Q3 2019: 94.3%).
Patrick Richard, Executive Member of the Board of Directors of Varia, said: “In spite of COVID-19 challenges, the third quarter of 2020 generated strong financial results. A big thanks goes out to our asset management team and our property managers for their hard work in the last months. The very solid balance sheet of the Company and the well diversified portfolio as well as a very experienced organization allow us to be in a good position to face this extraordinary situation. As the initial shock of the pandemic subsides, Varia is ready to exploit attractive investment opportunities in the most promising suburban markets of the US in the next few months. Overall, we are confident providing solid results for the full year 2020.”