Graphisoft Park Q1 earnings up despite lower rental revenue
Image by graphisoftpark.com
First-quarter after-tax profit of Graphisoft Park, which owns and operates a business park in the north of Budapest, rose 17.5% year-on-year to EUR 1,340,000, the company said in an earnings report released after the closing bell on Tuesday, according to state news wire MTI.
Graphisoft Park said the earnings were "in line with our expectations", in spite of a 3% decline in rental revenue to EUR 3,640,000.
The earnings are "pro forma" which show profit and loss according to the cost model and serve as the basis for Graphisoft Park's dividend. As the local form of a real estate investment trust (REIT), the company pays 90% of its pro forma earnings as dividend.
Graphisoft Park acknowledged occupancy "declined slightly" by the end of 2020, but said it did not expect "any further significant vacancies".
Graphisoft Park confirmed earlier guidance for flat revenue of around EUR 14.5 mln and pro forma earnings of EUR 4.3 mln in 2021.
Estimated fair value of Graphisoft Park's property portfolio stood at EUR 241,571,000 at the end of March.
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