Frankfurt-based DIC Asset has posted total revenues of EUR 39.1mln for the first quarter of the 2008 financial year. The figure represents an increase of EUR 21.8mln on the same period last year. Operating profits also increased from EUR 9mln in the first quarter of 2007 to EUR 10.2mln in 2008.
Frankfurt-based DIC Asset has posted total revenues of EUR 39.1mln for the first quarter of the 2008 financial year. The figure represents an increase of EUR 21.8mln on the same period last year. Operating profits also increased from EUR 9mln in the first quarter of 2007 to EUR 10.2mln in 2008.
DIC said a decline in consolidated net income to EUR 3.3mln from EUR 4.9mln in 2007 was largely due to higher financing expenses on disposals in the previous year. Rental income rose sharply to EUR 33.8 mln, representing a 78% year-on-year increase.
In 2008, DIC plans to add to its existing real estate portfolio, currently valued at EUR 2 bn. The DIC ONSITE real estate management platform accounted for the leasing of approximately 124,000 m2 of commercial floor space last year, the equivalent of EUR 13.5mln in annual rental income. In the first quarter of this year a further 49,000 m2 (EUR 5.8mln in rental income) was let through the platform.
Ulrich Holler, chairman of the management board of DIC Asset, said that the company's real estate portfolio had reached the critical size to generate a relevant level of continuously growing rental income, as a core source of income. 'This enhances the company's operational freedom, even in times of difficult markets, whilst our shareholders benefit from a continually attractive return that provides them with a significant cushion against market volatility. We will continue to pursue our acquisition and selling activities in 2008.'
