HIAG: Higher earnings and improved result
In the first half of 2017, HIAG Immobilien Holding AG increased its property income by five percent year-on-year to CHF 27.4 million.
Annualized rental income grew by 0.7 percent to 54.6 (December 31, 2016: 54.2) million. On a like-for-like basis - adjusted for the impact of the acquisition of the Village 52 SA property in Yverdon in September 2016 - the increase in rental income collected was 2.1 percent year-on-year.
At 24.4 million, net profit exceeded the comparable figure for the previous year by 12.7 percent. The sale of production facilities in Biberist contributed to this increase with non-recurring income of 6.5 million. In the first half of 2017, revaluation effects amounted to 10.8 million. The overall portfolio consisted of 113 properties at the end of June and was valued at 1.25 billion as of the reporting date.
Following the distribution of a dividend of 28.9 million (CHF 3.60 per dividend-bearing share), HIAG had an equity ratio of 53.5 (Dec. 31, 2016: 54.7) percent at the end of June 2017, or 58.8 (59.8) percent on an EPRA basis. The vacancy rate in the overall portfolio was reduced to 15.1 (15.3) percent due to new leases in Füllinsdorf, Cham and Biberist. The net yield in the existing portfolio was 5.4 (5.5) percent.
In the second half of the year, HIAG expects to set the course with regard to anchor users and development steps. Above all, the management is confident that it has found a subsequent user for the recruitment center at the Windisch site in the Faro Foundation. The foundation plans to use the entire complex for assisted living in the long term after the center moves out in April 2018.
