Vonovia Sells Five Real-Estate Portfolios for $620 Million; Backs 2023 Guidance
By Adria Calatayud
Vonovia said Thursday that it agreed to sell five real-estate portfolios in Germany CBRE Investment Management for around 560 million euros ($619.6 million) and confirmed its guidance for 2023 after reporting a swing to a first-quarter net loss.
The German real-estate company said the five portfolios it is selling comprise properties with 1,350 residential units in Frankfurt, Berlin and Munich. The sale is expected to be completed during the second and third quarters and, coupled with recent transactions, means the company is able to cover its refinancing needs for this year and the main part of its refinancing due for 2024, Vonovia said.
The company posted net loss of EUR1.96 billion for the first quarter compared with profit of EUR22.7 million for the year-earlier period. It booked a loss of EUR3.61 billion from fair-value adjustments of its investment properties.
Total segment revenue for the quarter fell 12% to EUR1.43 billion.
Group funds from operations--the company's key figure for operational profitability also called FFO--was EUR462.6 million in the quarter, down 18% on year.
The company said it continues to expect segment revenue of EUR6.4 billion to EUR7.2 billion and FFO of between EUR1.75 billion and EUR1.95 billion in 2023.
Write to Adria Calatayud at adria.calatayud@dowjones.com
(END) Dow Jones Newswires
May 04, 2023 01:15 ET (05:15 GMT)
Copyright (c) 2023 Dow Jones & Company, Inc.-
What’s the Difference Between the CPI and PCE Indexes?
-
Powell Unfazed By Sticky Inflation, but Rate Cuts Are Far Off
-
After Earnings, Is Microsoft Stock a Buy, a Sell, or Fairly Valued?
-
Best- and Worst-Performing Stocks of April 2024
-
Magnificent 7 Stocks Earnings Updates: AI Remains the Focus
-
Small-Cap and Value Stocks Are Undervalued
-
Why We Expect the Job Market’s Slowdown to Renew in 2024
-
5 Undervalued Stocks to Buy to Play a Little Defense
-
10 Top-Performing Dividend Stocks of the Month
-
Marathon Petroleum Earnings: No Change to Competitive Position, but Shares Look Expensive
-
Charlie Munger and How Not to Invest
-
Look Inside Berkshire Hathaway’s Portfolio Before Its Annual Meeting
-
After Earnings, Is AT&T Stock a Buy, a Sell, or Fairly Valued?
-
Mastercard Earnings: A Stable Environment Highlights the Firm’s Strengths
-
Pfizer Earnings: Solid Results Supported by Steady Tracking Toward $4 Billion In Cost Cuts
-
Starbucks Earnings: Not a Lot to Like About Results as Global Traffic Sputters