25. August 2010 
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conwert - EBIT climbs 9% to €51.7 million
Listed company conwert Immobilien Invest SE has concluded the first half of 2010 with an encouraging interim balance sheet. The residential property company significantly improved on its satisfactory operating performance in the opening quarter of the year in the second quarter of 2010. The strong demand for residential property and the push in sales activities had a positive impact on all business areas. For example, conwert recorded 5% growth in rental income (€41.3 million), 62% growth in revenues from the sale of properties (€73.3 million) and 30% growth in service revenues (€10.7 million) in the second quarter of 2010 as against the first three months of the financial year.
With this strong operating development in the second quarter of 2010, the previous year’s earnings levels were maintained or even outperformed in the first six months of 2010. With revenues down slightly on the previous year at €218.0 million in the first half of 2010 (1-6/2009: €227.9 million) conwert generated a year-on-year rise in EBIT of 9% to €51.7 million.
“As forecast, our momentum improved substantially in all areas in the second quarter of 2010 – with sales business in particular developing very well and double-digit profit margins yet again. Our strategy of covering the entire value chain in our attractive markets is now paying off in full. Despite not having the non-recurring positive effects from the buy-back of convertible bonds as we had in the previous year, we maintained or even increased our earnings in the first half of the year. This development and our strong positioning give us confidence that we will continue to grow again in the second half of 2010,” said Johann Kowar, Chairman of the Executive Board, of the company’s performance.
Furthermore, the full inclusion of ECO Business-Immobilien in consolidation will improve value and income from the third quarter of 2010 onwards: Thus, conwert is anticipating a positive earnings effect of around €35-50 million from first-time consolidation.
With this strong operating development in the second quarter of 2010, the previous year’s earnings levels were maintained or even outperformed in the first six months of 2010. With revenues down slightly on the previous year at €218.0 million in the first half of 2010 (1-6/2009: €227.9 million) conwert generated a year-on-year rise in EBIT of 9% to €51.7 million.
“As forecast, our momentum improved substantially in all areas in the second quarter of 2010 – with sales business in particular developing very well and double-digit profit margins yet again. Our strategy of covering the entire value chain in our attractive markets is now paying off in full. Despite not having the non-recurring positive effects from the buy-back of convertible bonds as we had in the previous year, we maintained or even increased our earnings in the first half of the year. This development and our strong positioning give us confidence that we will continue to grow again in the second half of 2010,” said Johann Kowar, Chairman of the Executive Board, of the company’s performance.
Furthermore, the full inclusion of ECO Business-Immobilien in consolidation will improve value and income from the third quarter of 2010 onwards: Thus, conwert is anticipating a positive earnings effect of around €35-50 million from first-time consolidation.
