Aroundtown share still lower: Aroundtown with strong middle growth – full-year outlook confirmed

The MDAX-listed company confirmed its forecast for the year as a whole.

Net rental income climbed by almost a third year-on-year to EUR 309 million in the quarter, which was due to the first-time consolidation of Grand City Properties, which was acquired last year. On a comparable basis, growth was just 0.9 percent. For exclusive hotels it would have been 1.7 percent. Because of the impact of the pandemic, Aroundtown has only been able to collect 45 percent of its hotel rentals. Thanks to the ongoing recovery, the group expects a so-called collection rate of 70 to 80 percent for the rest of the year.

FFO 1, a standard indicator of operational earning power in the real estate industry, rose by 3 percent to EUR 89.3 million in the first quarter. FFO 1 per share was EUR 0.08. Net profit fell to 125 million from 146 million euros due to a weaker financial result and a higher tax burden.

For the current year, Aroundtown is still targeting FFO 1 of EUR 350 to 375 million or EUR 0.31 to 0.34 per share. In the previous year, FFO 1 was EUR 353 million or EUR 0.30 per share. Shareholders can look forward to a dividend of EUR 0.23 to 0.25 per share for 2022. For 2021 they get 0.23 euros.

On Wednesday, the Aroundtown share initially rose moderately on XETRA. In the meantime, however, it has changed direction and is temporarily falling by 1.17 percent to EUR 4.41.

FRANKFURT (Dow Jones)

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