Intershop makes less profit in 2023 and increases dividend
Net profit amounted to CHF 82.5 million after CHF 145.5 million in the previous year. The dividend is to be increased by 10%.
Intershop Holding describes 2023 as a "pleasing year" in operational terms. According to the real estate company, increased net property income and successes from the sale of condominiums and investment and development properties were the drivers of the good performance. Net profit amounted to CHF 82.5 million (previous year: CHF 145.5 million).
The Board of Directors is proposing to the Annual General Meeting that the ordinary dividend be increased by 10% from CHF 25 per share to CHF 27.50 "due to the pleasing net profit and the good equity base".
Property income increased by 5.8% to CHF 80.5 million, which, according to Intershop, is mainly due to successful lettings and rent increases as a result of index adjustments. The gross yield of the yield portfolio amounted to 5.6% and the net yield to 4.9%.
Sales significantly below previous year
Income from the sale of properties amounted to CHF 31.6 million; three investment properties, one development property and one plot of land were sold, and 60 condominiums in Baden were also transferred. However, Intershop did not match the previous year's sales profit of CHF 133.2 million, which was largely attributable to the sale of the development project in Au-Wädenswil.
Another condominium unit was acquired in the "Sihlcenter" in Zurich.
Slight appreciation in the portfolio
The portfolio comprises 43 properties, including development and promotional properties, with a value of CHF 1.38 billion. According to Intershop, the revaluation of the portfolio resulted in an increase in value of CHF 12 million or 0.9% of the portfolio value. The vacancy rate of the overall portfolio fell by 2.6 percentage points to 10.7%, while the vacancy rate of the investment properties amounted to 7.4% (previous year: 10.1%).
The "Métiers Vernier" commercial building with around 12,500 square meters of space on four floors is scheduled for completion in the first quarter. "Lease negotiations are at an advanced stage with several interested parties," says Intershop.
In Basel, Intershop is building a new replacement for the Lehenmattstrasse shopping center. By the end of the year, 1,800 square meters of retail space will have been created, and long-term rental agreements have been concluded with Migros as the anchor tenant and a bakery. The renovations and extensions to the high-rise residential buildings on the site have already been completed.
Focus on acquisitions
Following a phase of divestments, the focus in the current year is now back on acquisitions, according to Intershop. However, sales that promise a profit contribution are also planned. The further reduction of vacancies and real estate development are also high priorities. (ah)
