NPRO 2Q 2016: DIVIDEND, GROWTH IN RENTAL INCOME AND INCREASED PROPERTY VALUES

Rental income up by 12.3 per cent

Continued phasing-in of new leases and reduced vacancy in the portfolio have resulted in increased rental income. This rose overall from NOK 219.7 million in the same period of 2015 to NOK 236.4 million. When the sale of properties is taken into account, the increase was 12.3 per cent. Operating profit before fair-value adjustments came to NOK 194.7 million. Profit before tax and fair-value adjustments was NOK 90.8 million.

Epra NAV up by NOK 0.58 per share in the second quarter

Positive fair-value adjustments for investment properties totalled NOK 257 million, while positive fair-value adjustments for financial derivatives came to NOK 36.5 million. After NOK 95.6 million in tax expense, net profit for the period came to NOK 288.8 million. That yielded ordinary earnings per share (EPS) of NOK 0.53 for the second quarter. Carried equity per share came to NOK 11.20 at 30 June 2016, up from NOK 10.72 at 31 March 2016 (Epra NAV: NOK 12.84 and Epra NNNAV: NOK 12.01 at 30 June 2016).

Dividend

Pursuant to the mandate awarded by the AGM for 2016, the board has resolved that a dividend of NOK 0.05 per share will be paid for the second quarter. This dividend will be paid to registered shareholders at 12 July 2016.

After closure of the sale of the Skøyen portfolio in the third quarter, the board will assess the level of dividend payments in connection with later interim reporting.

The quarterly report and the presentation for the second quarter 2016 are attached.

Webcast link:

http://webtv.hegnar.no/presentation.php?webcastId=36173317

For further information, please contact: 

Svein Hov Skjelle, CEO

Telephone: +47 930 55 566

Email: shs@npro.no 

This information is subject of the disclosure requirements according to §5-12 of the Norwegian Securities Trading Act (’Verdipapirhandelloven’).

Norwegian Property is a focused and fully integrated office property company with 37 properties located in the Oslo area and Stavanger in Norway. The portfolio, which has a total fair value of NOK 16.4 billion, is characterized by central location and attractive premises high quality tenants. The group’s properties consist largely of office premises, associated warehousing and car parking, as well as retail and catering space. The company has identified four value drivers for long-term value creation; Marketing & letting, Property management, Property development and Transactions & finance.

Norwegian Property is listed on Oslo Stock Exchange with the ticker NPRO.

www.npro.no