SFPI: Revenue increases, profit decreases

Swiss Finance & Property Investment increased net income excluding revaluation effects/deferred taxes by CHF909,000 or 7.6% year-on-year to 12.9 million. According to the company, this is mainly due to the 3.3 million increase in real estate income of 26.7 million.

However, significantly lower revaluation effects would have held back the increase in operating profit after revaluation, which rose from 38.6 to 39.3 million. Accordingly, earnings before interest and taxes (EBIT) fell from 29.8 in fiscal 2017 to 21.9 million. Net profit reportedly fell by a good 31% from 19.3 to 13.4 million.

SFPI further reported that the portfolio value increased by 40.2 million (6.6%) to a total of 645.3 million as of December 31, 2018, due to two acquisitions in the Basel and Zurich regions and revaluation effects. The vacancy rate increased from 1.66% to 3.84% (as of December 31, 2018).

SFPI to be renamed

The Board of Directors intends to propose to the Annual General Meeting on April 10 this year that the company be renamed SF Urban Properties AG. The name change is in line with the investment strategy of the vessel and offers a clearer distinction from the asset manager Swiss Finance & Property AG, says SFPI.

At the Annual General Meeting, Andreas Hämmerli is also to be elected as a new member of the Board of Directors. Hämmerli was responsible for development on Mobimo's management board for ten years. In addition, Alexander Vögele, member of the Board of Directors since 2014, is to be elected as Chairman of the Board. The incumbent Chairman, Dr. Hans-Peter Bauer, will step down from office but remain a member of the Board of Directors.

The cash distribution will remain stable despite the decline in earnings: CHF 3.60 is to be distributed per registered share of CHF 12.60 each. The distribution per registered share of CHF 2.52 each is to be CHF 0.72. (ah)