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Immoeast up 1.2%, earnings dive 07/08 NAV

Austrian property investor Immoeast posted a 1.2% rise in net asset value for its financial year 2007/2008.

Net asset value -- a key performance measure for property companies -- at the unit of Austrian property group Immofinanz rose to €10.27 ($15.22) per share. However, earnings before tax (EBT) fell nearly 60% to €266.0 million compared to the previous year and earnings before interest and tax dropped to €15 million from €541.3 million.

This was due to changing market conditions as rising yields meant Immofinanz’s real estate portfolio appreciated by just €11.1 million, the company said in a statement. Revenue increased by more than 50% to €297.2 million over the same period.

Immoeast, whose core property markets are in Hungary, Poland, Romania, Bulgaria and the Czech Republic, said it expected growth rates in its region to clearly surpass those in western Europe. “Further growth corresponding with the growth rates in the region can be expected,” it said. (Reuters)