BERLIN (dpa-AFX) - Vonovia SE (DAIMF), a German residential property company, reported that its first-quarter adjusted total EBITDA increased by 6.1% to 456.1 million euros from 429.9 million euros in the previous year.
Group FFO or operating earnings rose by 10.5% to 335.5 million euros from 303.6 million euros in the prior year.
Vonovia said it has expanded its development business in Germany with the acquisition of the project developer Bien-Ries in early April 2020.
Vonovia is expanding from its previous locations of Vienna, Berlin, Hamburg and Leipzig. In sum, Vonovia has completed 122 apartments in the first quarter of this year. Safety precautions during the coronavirus pandemic will delay several of the new construction projects originally planned for 2020 until 2021. Therefore, the completion of more than 1,600 apartments instead of 2,000 apartments is planned this year.
The company said that the positive financial start to the year will continue despite the effects of the coronavirus on public life.
The company expects annual adjusted EBITDA to be between about 1.875 billion euros and 1.925 billion euros. Group FFO is expected to range between around 1.275 billion euros and 1.325 billion euros.
Vonovia said it has postponed this year's ordinary Annual General Meeting to June 30, 2020. It will likely be held virtually. The targeted dividend payment of 1.57 euros per share remains intact.
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