Greek property company Babis Vovos said it has swung to a pre-tax loss of EUR 25 mln in the first nine months of 2009, from a profit of EUR 41 mln in the same period a year before. Earnings dropped to EUR 15 mln in the third quarter as a result of 'adverse market conditions'. The figure compares to a profit of EUR 85 mln in the corresponding period in 2008.
Greek property company Babis Vovos said it has swung to a pre-tax loss of EUR 25 mln in the first nine months of 2009, from a profit of EUR 41 mln in the same period a year before. Earnings dropped to EUR 15 mln in the third quarter as a result of 'adverse market conditions'. The figure compares to a profit of EUR 85 mln in the corresponding period in 2008.
'This decrease stemmed mainly from the fact that in the first nine months of 2009 the adverse market conditions led to a EUR 27 mln net loss from fair value adjustment on investment property,' the company said.
The company said that its investment portfolio lost 2% in value since the beginning of the year with the value of its land portfolio also being negatively affected by the current market conditions.
Net asset value per share stood at EUR 13.60 at the end of September 2009, a 33.4% decrease year-on-year. Rental revenue rose by 9% to EUR 38 mln, as a result of new lease agreements being signed, which contribute an annual EUR 3 mln in rents.
