LEG Immobilien SE Financial Results H1 2023 | Strong Growth and Forward Planning with IR

LEG Immobilien SE H1 2023 Financial Results: Key Highlights Operational StrengthFrank Kopfinger, Head of Investor Relations and Strategy, provided insights into LEG's strong operational performance in H1 2023, driven by a significant supply-demand imbalance in the German housing market. This dynamic has heightened the demand for affordable rental apartments, where LEG excels. Rent and Earnings Performance Rent Growth: LEG achieved a 4.3% increase in rents on a like-for-like basis and 4.6% on a reported basis, primarily due to new constructions outpacing asset disposals. Vacancy Rate The company reduced its vacancy rate to 2.6%, indicating nearly full occupancy and effective asset management. AFFO Boost Adjusted Funds From Operations (AFFO) surged to €118.6 million, reflecting a nearly 50% increase. This was driven by strong financial results, benefits from elevated energy prices in 2022, and significant cost reductions. Portfolio Valuation Despite strong operational performance, LEG experienced a 7.4% devaluation of its portfolio, influenced by market adjustments and higher cost assumptions, following a 4% devaluation in H2 2022. Financing & Liquidity LEG's financial strategy remains robust, benefiting from low-interest rates, with an average debt interest rate of 1.4% and an average debt term of 6.1 years. The Loan to Value (LTV) ratio slightly increased to 46.6%, but the company is well-positioned to refinance upcoming maturities. Guidance for 2023 LEG reaffirmed its AFFO guidance for 2023, projecting between €165 million and €180 million, supported by higher rental incomes and green energy sales. The company also remains committed to its ESG targets. ConclusionLEG Immobilien's strong performance in H1 2023 highlights its ability to deliver sustained value to stakeholders amid challenging market conditions. Other Videos: Elevator Pitch Company Presentation Deep Dive Presentation Financial Results Presentation ESG Presentation Terms & ConditionsThis publication is for informational purposes only and does not constitute investment advice. By using this website, you agree to our terms and conditions outlined at Legal and Imprint.