Varia US Properties presents figures for 2016
Varia US Properties AG posted a profit of $16.2 million in its extended 2016 fiscal year (ending September 2015 to the end of December 2016). Of this amount, Varia itself accounted for 8.9 million, according to the company.
The effective gross income generated by Varia US Properties was $39.1 million in the reporting period. Operating income before debt, taxes and special items was $17.4 million.
As of December 31, 2016, the portfolio of the real estate company, which invests in the U.S. residential real estate market, consisted of 38 properties with a total of 5,353 residential units. Property value was $343.5 million, and the occupancy rate was 95.5 percent.
The portfolio generated annual rental income of 36.5 million and 64.6 million in total revenue in 2016, according to the company. Operating expenses were 33.9 million, resulting in an operating profit of 30.6 million.
Portfolio revaluation delivers income of 21.1 million
After deducting financing costs and provisions for income taxes, profit for the period amounted to 16.2 million, of which varia accounted for 8.9 million. Income from the impairment of investment property amounted to 21.2 million. The net target rent increased to 49.7 million at the end of 2016.
In terms of operating profit, effective gross income is 39.1 million and operating costs are 19.3 million. This results in a net operating profit of 19.9 million and an operating profit before debt, taxes and exceptional items of 17.4 million.
Reinforcement for the Board of Directors
As Varia further announces, the Board of Directors is to be strengthened. To this end, Stefan Buser is to be elected to the board. Buser (49) was most recently a member of the management of the Tertianum Group. Prior to that, he held various management positions, including Chief Financial Officer and Head of Central Services at SENIOcare and Head Risk & Sustainability Services at KPMG Switzerland.
