Warimpex boosts revenues by 23% in the first three quarters of 2008

Vienna-based developer Warimpex Finanz- und Beteiligungs AG saw total revenues, EBITDA and EBIT all rise significantly in spite of the adverse conditions on the international real estate markets and the repercussions of the financial crisis. Nevertheless, net profit tumbled to EUR 2 mln from EUR 11.5 mln a year ago due to lower valuations and higher construction costs.

Total revenues in the first nine months of this year grew from EUR 57.7 mln to EUR 70.9 mln compared to the same period of 2007, an increase of 23%. EBITDA and EBIT also improved with the EUR 2.5 mln increase in EBIT attributed above all to higher proceeds from the sale of properties and property development projects.

Proceeds from the sale of project companies rose to EUR 9.6 mln in the first nine months of 2008 from EUR 2.4 mln in the year-earlier period thanks to the sale of a 10% stake in the Airport City development project in St. Petersburg.

At end September 2008, the Warimpex Group portfolio comprised 24 assets including 17 hotels and seven office buildings. The company also holds a large number of undeveloped plots and development projects in eight countries in Central and Eastern Europe. The primary regional focus is on Hungary, the Czech Republic, Poland, Romania and Russia.

\Warimpex is currently developing 13 projects. The expansion of the Angelo airport hotel in Bucharest was concluded in September and the Angelo in Plzen opened at the beginning of October. Two Andel’s hotels are set to open in Berlin and Lodz and one Angelo hotel in Ekaterinburg by the second quarter of 2009. The development of budget hotels under a joint venture with Louvre Hotels is proceeding according to schedule, the company said.