Profit increase at Intershop Holding
Intershop reports net income of CHF41.9 million for the first half of 2019 - up 28% year-over-year.
According to Intershop, on the balance sheet date the portfolio comprised 53 properties including development and promotion properties. The market value was CHF1.28 billion, up CHF8.4 million or 0.7% on the previous year. Almost half (48%) of the rental income in the reporting period came from use as offices or for educational facilities. The vacancy rate is 9.5%.
Rental income decreased by 4.2% to 41.9 million. This was due to several property sales in 2018 and 2019, Intershop said. The gross return on investment properties was 6.4%. The net return of the investment portfolio is put at 5.5%.
According to Intershop, the return on equity was 12.7%. The total return of the share, which comprises the price gain and the dividend paid, amounted toTP2T 6.41 in the first half of the year and was thus below the benchmark index SXI Swiss Real Estate Shares TR withTP2T 15.11.
For the full year 2019, Intershop expects a further decline in rental income, as the loss of income from the development property in Baden will probably not be fully compensated by new leases. Furthermore, the company expects to further reduce the vacancy rate. Furthermore, smaller bolt-on acquisitions are planned for the portfolio. (ah)
