WIESBADEN (dpa-AFX) - Aareal Bank AG (AAALF.PK) raised its consolidated operating profit forecast for the current year to a range between 310 million euros and 350 million euros from the prior range of 260 million euros - 300 million euros.
At the same time, the earnings per share forecast for the 2017 financial year is raised from between 2.45 euros and 2.90 euros to 2.85 euros and 3.30 euros.
Following the final settlement of contractual issues with a third party that were still unsolved at the time Aareal Bank Group acquired Corealcredit Bank AG and following the receipt of tax assessment notices, Aareal Beteiligungen AG (previously Corealcredit Bank AG), a subsidiary of Aareal Bank AG included in the consolidated financial statements of Aareal Bank Group, has reversed provisions of 66 million euros which are recognised in income.
These are offset by corresponding expenses totalling 42 million euros, of which 16 million euros will be recognised in operating profit and 26 million euros in the tax item. The positive effect on consolidated operating profit of Aareal Bank Group in the second quarter of 2017 will thus total 50 million euros before taxes and 24 million euros after taxes.
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