German commercial property lender Aareal said net income for the second quarter of 2009 - when Aareal received financial support from the German bank stabilisation fund Soffin - was down 30% to EUR 35 mln from EUR 50 mln last year.
German commercial property lender Aareal said net income for the second quarter of 2009 - when Aareal received financial support from the German bank stabilisation fund Soffin - was down 30% to EUR 35 mln from EUR 50 mln last year.
Aareal Bank's consolidated operating profit for the first half of 2009 totalled EUR 42 mln (H1 2008: EUR 75 mln). Taking into consideration taxes of EUR 7 mln and income attributable to non-controlling interests of EUR 9 mln, net income attributable to shareholders of Aareal Bank amounted to EUR 26 mln. After deduction of the return on the Soffin deposit, consolidated net income stood at EUR 14 mln.
Aareal's property finance business came to EUR 22.8 bn at the end of H1 this year, almost equal to the level for the six months to the end of 2008. International business accounts for 18.8 bn.
The bank emphasised that both its Structured Property Financing and Consulting/Services businesses posted positive quarterly results in spite of the dramatic slump affecting the global economy and financial markets. Aareal Bank Group, according to the bank's statement, is therefore one of the few banks, in Germany and abroad, to have achieved a positive result in all quarters since the outbreak of the financial markets crisis two years ago.
'Aareal Bank Group remained on track in a difficult environment', said Dr Wolf Schumacher, chairman of the Management Board. 'Thanks to its conservative business policy and its robust client business, the bank continues to generate solid results. We are still in a good position to manage the manifold burdens and difficulties posed by the crisis affecting financial markets and the sharp recession.'
