HOCHTIEF Real Estate Division
| (EUR million) | Q1 2009 |
Q1 2008 |
Percentage change |
Full year 2008 |
|---|---|---|---|---|
| New orders | 47.0 | 153.5 | -69.4 | 618.2 |
| Work done | 144.7 | 124.4 | 16.3 | 813.9 |
| Order backlog | 609.0 | 1,033.7 | -41.1 | 705.3 |
| Divisional sales | 154.8 | 111.3 | 39.1 | 811.6 |
| External sales | 151.5 | 108.8 | 39.2 | 791.1 |
| Operating earnings (EBITA) | 7.3 | 8.6 | -15.1 | 81.7 |
| Profit before taxes | 0.2 | 3.5 | -94.3 | 54.2 |
| Capital expenditure | 7.7 | 2.7 | 185.2 | 11.1 |
| Net assets | 1,128.2 | 787.0 | 43.4 | 1,047.7 |
| Employees | 1,026 (End Q1 2009) | 814 (End Q1 2008) | 26.0 | 874 (2008 average) |
Despite today's harsh market environment and the fact that the first quarter is generally a difficult season, the division generated a small profit before taxes. This was the result of planned project sales in the reporting period as well as the completion of projects already sold in prior years.
Net assets increased by 43 percent in the reporting period thanks to the ongoing completion of projects under construction.
At the same time, the number of employees rose, due in particular to outsourcing contracts taken on by HOCHTIEF Property Management.
The first quarter brought a string of successes: For example, three care properties being built by HOCHTIEF Projektentwicklung in collaboration with the operator BeneVit were sold to the life insurance company Swiss Life. The care properties, which have a house community concept, will open in 2009.
In Berlin, the former AEG appliances factory building on Ackerstrasse was sold to Provinzial Rheinland.
HOCHTIEF Projektentwicklung also successfully leased a number of properties. Almost 85 percent of the 19,000 square meters of rentable space in the Trianon office building in Prague has now been let. Even before construction began, Siemens secured for itself an entire building with a gross floor area of 11,400 square meters in the Airport City in Düsseldorf. The building is scheduled for completion in 2010. Also in Düsseldorf, the green light was given for the residential and business district Le Quartier Central: Together with a joint venture partner, HOCHTIEF Projektentwicklung will develop approx. 800 residential units and commercial premises on a residential site purchased by subsidiary aurelis Real Estate.
Topping-out ceremonies included the first project of Swiss subsidiary HOCHTIEF Development Schweiz: The Portikon office and business property in Zurich has a gross floor area of more than 19,500 square meters and almost 40 percent has already been leased to Baxter Healthcare. The topping- out of the Zentraler Omnibusbahnhof (ZOB) central bus station in Munich was also celebrated. By summer 2009, it will house a transportation, service and commercial center on a gross floor space of some 25,000 square meters. Eighty percent of the rentable space in the ZOB has already been let.
aurelis Real Estate sold property and real estate worth more than EUR 8 million in the traditionally weak first quarter. Several larger sales are set to be finalized soon. In addition, lease agreements worth some EUR 2 million per year were concluded.
HOCHTIEF Real Estate outlook
HOCHTIEF Projektentwicklung will continue to focus on growth in selected European markets and profitable product market segments. The high pre-lease rate of 79 percent and sales rate of 45 percent of projects under construction will continue to ensure business success in the future. aurelis also expects positive development to continue.In light of the financial crisis, the effects of which are difficult to predict, the division anticipates another healthy pretax profit for fiscal 2009, albeit below the prior-year figure.
