LAMDA Development First Quarter 2008 Financial Results in accordance with International Financial Reporting Standards (IFRS)
Net Asset Value before taxes increased by 13% and reached 461,4 million compared to 408,2 million in the first quarter of 2007. LAMDA Development consolidated turnover increased by 9,4% in the first quarter of 2008. Also, consolidated EBITDA and net profits after tax and minority interest increased by 8,9% and 6,7% respectively.
Consolidated net profits after tax and minority interest reached 11,2 million compared to 10,5 in the first quarter of 2007. The increase is due to the improvement of the recurring profitability of the two Commercial and Leisure Centers from 5 million last year to 7 million this year and to the increase in revaluation gains by 3,2 million. These increases though, are partially counterbalanced by the increase in the net interest expense due to new real estate investments from 2,8 million to 4,8 million.
Summary consolidated financial information
(million) | 2008 | 2007 | % change |
Net Asset Value (NAV) | 461,4 | 408,2 | 13,0% |
Turnover | 16,3 | 14,9 | 9,4% |
E.B.I.T.D.A. | 20,8 | 19,1 | 8,9% |
Profit after tax and minority interest | 11,2 | 10,5 | 6,7% |
LAMDA Development consolidated group turnover is comprised of the following segments:
million | Real Estate Investment | Real Estate sales | Other Revenue | TOTAL |
1st quarter 2008 | 10,0 | 1,0 | 5,3 | 16,3 |
1st quarter 2007 | 8,9 | 2,1 | 3,9 | 14,9 |
It should be noted that the increase in the consolidated group turnover is primarily attributed to the improvement in the generated rental revenue of both the two Commercial and Leisure Centers The Mall Athens and Mediterranean Cosmos and the increased turnover from the Flisvos Marina.
(million) | Q1 2008 | Q1 2007 | % change |
Revenues from «The Mall Athens» | 8,9 | 7,9 | 12,7% |
Revenues from «Mediterranean Cosmos» | 4,6 | 4,1 | 12,2% |
Revenues from Flisvos Marina | 2,3 | 1,6 | 43,8% |
Note: Figures refer to 100% operation
The Groups major growth and strategic goals can be summarized as follows:
· Further improvement in the operating performance of the existing developments.
· Pursue and secure total investments of 700 million for the years 2007 and 2008.
· Completion and operation within 2008 of Golden Hall, the companys new commercial center in Athens, which is already 99% pre-leased.
· Completion during the next two years, of its new developments which are: second home residential development in Aegina Island, office building, logistic spaces and residential developments in Bucharest, office buildings, commercial spaces and luxurious residential complex in Sofia, residential development, commercial and residential complex in Serbia and luxurious second home development in Montenegro. The total cost of these investments in Greece and South-eastern Europe is estimated to reach 500 million with an anticipated additional NAV creation exceeding 30%.
· Pursue a strategy of new developments in Greece regarding commercial uses (malls, outlets, big boxes) as well as high quality second home residential developments. The company will pursue its participation in Public Private Partnerships (PPPs)
· Further intensify its activities in Romania, Bulgaria and Serbia in order to enter into new agreements for residential, office and retail developments. Furthermore, exploit opportunities primarily in Turkey, Ukraine and later on in Russia.
· Further exploit international and local corporate strategic alliances
The summary of the financial figures of the first quarter 2008 will be published in the newspapers Imerissia and Apogevmatini on 29/5/2008 and will be posted on the companys website (www.lamda-development.net) on the same day.
