Varia US doubles earnings

Varia US Properties reported rental income of $107.9M for FY2021, up 9.7% year-over-year (2020: 98.4M); rental income on a comparable basis increased 6.5% to 82.5M (2020: 77.4M).

Excluding the gain on property sales, revenue was 122.6 million (2020: 109.8 million). The increase was primarily due to improved operations of properties with higher rents, Varia US Properties reports. Effective gross income increased to 138.0 million from 106.7 million.

EBITDA increased by one-third to 80.7 million (2020: 60.3 million), and EBITDA margin increased to 49.3% (2020: 46.5%). Operating profit including revaluation increased by almost 190% to 237.1 million (2020: 83.0 million), according to Varia US. Operating expenses increased by 20% to 82.9 million (2020: 69.4 million).

Varia US puts the net gain from fair value adjustments at 197.4 million (2020: 42.5 million), which includes a gain of 41.0 million from property sales. Total comprehensive income (net income) for the period was 156.0 million, up from 35.5 million a year earlier. Total income amounted to 320.0 million (2020: 152.4 million).

As of December 31, 2021, the real estate company's portfolio consisted of 43 properties with 11,887 units in 15 U.S. states. This compares to 44 properties with 10,269 units in 19 U.S. states in 2020. The portfolio was valued at 1.4 billion, up from 928.2 million a year earlier. The occupancy rate decreased slightly from 95.4% to 94.6%. (ah)