Varia US Properties 2019 Half-Year Report

Varia US Properties significantly increases total income (+ 42%) and EBITDA (+ 18%)
Profit boosted to USD 22.2 million (+ 82%)
Earnings per share increases 79% to USD 2.47

  • Total income of USD 66.1 million (June 30, 2018: USD 46.4 million; + 42.4%)
  • EBITDA 1 of USD 19.4 million (June 30, 2018: USD 16.4 million; + 18.4%)
  • Net gain from fair value adjustment on investment property of USD 19.0 million (June 30, 2018: 7.4 million; + 156.3%)
  • Property portfolio value at USD 793.7 million as of June 30, 2019 (December 31, 2018: USD 767.5 million; + 3.4%)
  • Funds from operations (FFO 2 ) of USD 8.8 million (June 30, 2018: USD 8.1 million; + 8.8%)
  • Potential gross income up 2.3% to USD 103.3 million (December 31, 2018: USD 101.0 million)
  • Rental income increased by 3.5% on a like for like basis (comparing results for assets that were held for the full half year in both 2019 and 2018)
  • Targeted dividend of CHF 2.60 per share to be paid after Annual General Meeting 2020

Varia US Properties continued to perform positively in the first half-year of 2019. Varia focused on improving and optimizing the portfolio through the further consistent implementation of its growth and value-add strategy. It continued to implement the Company’s green initiative program that will be further executed in the near term. Overall, the half-year results are in-line with Varia’s expectations and underpin the efficiency of its strategy.

Manuel Leuthold, Chairman of the Board of Directors of Varia, said: “We are very pleased with the performance of Varia for the first six months of this year. These results reflect the strong and growing financial performance of the portfolio as well as the initiatives we set forth in 2019. Our promising portfolio in growing suburban markets in the US creates attractive perspectives to our shareholders. We continued this work by further implementing our proven
value-add strategy as well as our water conservation program in the first half of 2019.

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