Züblin records a decline in profit in the 2022/23 financial year
As revaluations in the 2022/23 financial year were lower than in the previous year, profit fell compared to the previous year. However, EBITDA increased significantly.
Züblin Immobilien Holding, which focuses on office properties, is satisfied with the performance of the 2022/23 financial year despite inflation and the turnaround in interest rates. The value of the investment properties rose by CHF 1.1 million to CHF 227.1 million. In the previous year, the increase was CHF 5.2 million. The company has deliberately pursued a conservative valuation policy in recent years and believes the portfolio is well prepared for possible market changes and value corrections, the company writes in a press release accompanying the publication of the annual report.
Rental income increased by CHF 0.3 million to CHF 8.8 million (previous year: CHF 8.5 million). The vacancy rate increased from 7.9% to 8.9% due to the expiry of a long-term rental agreement at Morgenstrasse 136 in Berne. The weighted average lease term (WALT) is 2.9 years; the remaining lease term of the largest tenant is just under 2.1 years.
Züblin did not make any acquisitions in the past financial year - due to the "persistently high price level and the shortage of supply", according to the company. Instead, the real estate company says it has concentrated on repositioning and optimizing the space on offer and has also focused on the consumption values of the properties.
EBITDA increases by over 20 percent
EBITDA (earnings before interest, taxes, changes in market value and depreciation and amortization) increased by CHF 22.41 K from CHF 4.9 million to CHF 6.0 million. According to Züblin, the reasons for this growth were, on the one hand, higher operating income from rentals of CHF 8.3 million (+CHF 5.1%) and, on the other hand, a reduction of CHF 26.1% in personnel and administrative expenses (CHF 2.4 million). The bottom line - taking into account the lower changes in market value and taxes - is a profit of CHF 5.3 million for the 2022/23 financial year after CHF 6.0 million in the previous year. As in the previous year, the dividend is expected to be CHF 1.00 per share.
Züblin is not giving a concrete outlook for the new financial year: the Swiss real estate market is stable despite the turnaround in interest rates, inflation and economic influences, the company writes. However, the company sees itself confronted with growing demand for flexible space in the marketing of office space because tenants want to implement modern space concepts. (ah)
